Ford Motor (NYSE:F) has been attracting significant attention from institutional investors, with SVB Wealth LLC acquiring 36,275 shares of the automaker in the fourth quarter. According to its latest 13F filing with the SEC, the investment firm valued its stake at approximately $359,000.
Growing Institutional Confidence in Ford
Several other institutional investors have recently adjusted their positions in Ford. Hager Investment Management Services LLC, Bank of Jackson Hole Trust, and Kentucky Trust Co all initiated new stakes in the company, ranging from $26,000 to $31,000. Crewe Advisors LLC significantly increased its position, acquiring an additional 2,068 shares, bringing its total holdings to 3,285 shares.
Institutional investors now collectively own 58.74% of Ford’s stock, highlighting continued interest in the auto giant despite ongoing market fluctuations.
Ford’s Stock Performance and Market Metrics
On Friday, Ford Motor’s stock price climbed by $0.30, reaching $9.91. Trading volume spiked to 150.53 million shares, well above its average of 85.78 million shares. Ford’s stock has fluctuated within a 52-week range of $9.06 to $14.85.
Key financial indicators include:
- Quick Ratio: 1.02
- Current Ratio: 1.16
- Debt-to-Equity Ratio: 2.31
- Market Capitalization: $39.26 billion
- Price-to-Earnings (PE) Ratio: 6.78
- PEG Ratio: 0.61
- Beta: 1.63
These metrics suggest that while Ford remains a solid player in the auto industry, challenges such as high debt levels and fluctuating demand continue to impact its valuation.
Strong Earnings and Dividend Yield
Ford reported its latest earnings results on February 5th, delivering earnings per share (EPS) of $0.39, exceeding analysts’ estimates of $0.35. The company maintains a solid return on equity of 16.88% and a net profit margin of 3.18%. Wall Street analysts expect Ford to post an EPS of 1.47 for the current fiscal year.
Ford’s quarterly dividend remains a strong incentive for investors. The company paid a $0.15 per share dividend on March 3rd, translating to an annualized dividend of $0.60 and an attractive yield of 6.06%. The dividend payout ratio (DPR) stands at 41.10%, reflecting a sustainable dividend policy.
Analysts Provide Mixed Ratings on Ford Motor Stock
Ford Motor has been the subject of various analyst ratings in recent months:
- Jefferies Financial Group downgraded Ford to “underperform” with a price target of $9.00.
- Royal Bank of Canada assigned a “sector perform” rating, lowering its target price to $9.00.
- JPMorgan Chase & Co. set an “overweight” rating with a price target of $13.00.
- TD Cowen initiated coverage with a “hold” rating and a $10.00 price target.
- BNP Paribas upgraded Ford to “hold.”
Overall, Ford has a consensus rating of “Hold,” with an average price target of $11.77, based on data from MarketBeat.com. While some analysts remain cautious, others see potential upside for long-term investors.
The Road Ahead for Ford Motor
As Ford navigates an evolving auto market, institutional investments and dividend yields continue to make it a compelling choice for income-focused investors. With analysts holding mixed views, investors will closely monitor Ford’s financial performance, EV strategy, and market positioning in the months ahead.
