Shares of Ford Motor (F) exceeded $10 for the first time in more than four years on Dec 23 as the automaker continues to benefit from market share gains and other successes. The shares rose 18 cents to $10.08 on Dec 23 compared to Dec 22.
This is a recovery from a historic low of $1.50 in March this year, helped by the company’s aggressive restructuring plan, which also helped it bypass bankruptcy unlike its cross town rivals General Motors (MTLQQ) and Chrysler Group.
According to Autodata, Ford’s market share has climbed 1 percentage point to nearly 20% during the first 11 months of the year. In November, the automaker succeeded in sustaining a strong position in the U.S. market by posting flat sales at 122,846 vehicles. The automaker’s sales of crossovers grew 26% while its car sales rose 14%, driven by a fuel-efficient product line.
Ford’s sales in Europe’s 19 core markets have leapt 19.8% to 113,100 vehicles in November. This resulted in a year-to-date market share of 9.1% for the company, the highest since 1999.
The European sales included a registration of 99,800 Ford cars, the highest since November 1999. The automaker’s market share in the month went up in 14 out of 19 European markets.
Recently, a report suggested that the projected resale value of 2010 Ford vehicles (Ford, Lincoln and Mercury) after 36 months in service has gone up by an average of $1,310 per vehicle compared to the 2009 model year. This is the largest increase compared to other automakers based in the U.S.
With this, some of Ford’s vehicles have also succeeded in defeating Asian automakers including Toyota (TM), based on residual value after 36 months in service. For example, the 2010 Ford Fusion midsized sedan has been expected to be worth more than the 2010 Toyota Camry by $687. The residual value of the 2010 Ford Flex full-sized crossover also commands a $1,800 premium over Toyota Highlander.
In the third quarter of the year, Ford reverted to profitability by posting a net income of $873 million or 26 cents per share, overriding the Zacks Consensus Estimate loss of 15 cents per share as well as the year ago loss of 6 cents per share. The company also boasted an operating profit of $873 million in the third quarter or 26 cents per share compared with a loss of $3 billion or $1.32 per share a year ago.
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