13 January, Ford rose by 2,3%, to 25 $. Stocks hit a 20-year high, and the capitalization of the company exceeded $100 billion. The growth is linked to Ford's plans to increase the production of electric vehicles.
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Bet on electric vehicles
4 January Ford announced, which will increase the production of the electric version of the famous F-150 pickup truck to 150 thousand cars a year. The car will be released in the spring of 2022, but already now the number of pre-orders is 200 thousand.
Ford even put bookings on hold in December due to high demand. Pickup will cost from 40 up to 90 thousand dollars depending on the configuration. Its main competitor will be Chevrolet Silverado, which General Motors will start selling in 2023.
Analyst forecasts
Most experts value Ford shares better than the market. But Morgan Stanley is more reserved about the future of the auto company: “The market’s faith in Ford electric vehicles continues to baffle us. Stock performance is impressive, and management is to be commended for such strategic changes. However, we consider, that the risks of Ford and the entire sector are growing faster, than their ability".
According to the bank, Ford's main risks are industry cyclicality, problems of scaling the production of electric vehicles and entering the market of more attractive competitors.
Since the beginning of 2022, Ford shares have gained in price already 20%, and for the last 12 months — 146%.
Capitalization of automakers according to 13 January 2022, billion dollars
| Tesla | 1035 |
| Toyota | 293 |
| Volkswagen | 139 |
| WORLD | 116 |
| Ford | 100 |
| Daimler | 93 |
| GM | 90 |
| BMW | 74 |
| Rivian | 71 |
| Lucid | 68 |
1035
