TLDR
- Ford (F) stock traded near $11.73 on Thursday morning, down about 2% after earnings, having closed Wednesday at $11.95.
- Q3 adjusted EPS came in at $0.49 versus $0.41 expected, and revenue was $49.5 billion.
- Ford raised its 2026 adjusted EBIT guidance to $10.5 billion to $11 billion.
- Ford expects 2027 profit to be roughly in line with 2026, a bit behind Wall Street hopes.
- The stock is down 9% this year and sits near the low end of its 52-week range.
Ford Motor (F) stock traded around $11.73 in Thursday morning trading, down about 2% after the automaker reported third-quarter results. The stock closed Wednesday at $11.95, up 2%, and briefly traded above $12 after the report.
The company beat on both profit and sales. Adjusted earnings per share were $0.49, ahead of the $0.41 analysts expected. Revenue was $49.5 billion, topping forecasts of about $48.9 billion.
Adjusted EBIT rose 3% from a year earlier to $2.7 billion. Revenue fell 2% over the same period. Wall Street had looked for operating profit of about $2.4 billion.
Ford also nudged its full-year outlook higher. It now expects 2026 adjusted EBIT of $10.5 billion to $11 billion. Free cash flow guidance of $6 billion to $7 billion and capital spending guidance of $9.5 billion to $10.5 billion did not change.
The 2027 outlook weighs on the stock
The sticking point was next year. Ford said it expects 2027 profit to be roughly in line with 2026. That is a little behind what Wall Street was hoping for.
Morgan Stanley analyst Andrew Percoco said the results showed āstrong execution,ā with an overhang from the early 2027 view. Guidance implies fourth-quarter operating profit of about $2.2 billion, in line with analyst projections.
The stock trades at about six times expected earnings over the next 12 months. It is down 9% this year and 9% over the past 12 months. That trails the S&P 500 by roughly 20 percentage points over both periods.
At around $11.78 after hours Wednesday, Ford sat near the low end of its 52-week range of $11.11 to $17.78. Analysts hold a moderately bullish view, with an average price target implying about 33% upside.
How the business units did
Ford Pro brought in $17.8 billion in revenue and $1.7 billion in EBIT. That is down from $2 billion a year ago, with commodity costs squeezing margins. Ford Blue generated $27.1 billion in revenue and about $1.4 billion in earnings.
The EV unit, Model e, lost $1.1 billion. That compares with a $1.4 billion loss a year ago, even though sales dropped 31%. For 2026, Ford expects a Model e loss of about $4 billion.
Ford Credit earned $803 million before tax, up $172 million from last year. Ford ended the quarter with $25.3 billion in cash and $46.4 billion in total liquidity. Adjusted free cash flow was $4.7 billion.
General Motors (GM) had a stronger quarter by comparison. Its operating profit grew to $4.1 billion from $3.4 billion a year ago. Ford has dealt with its own problems, including a fire at an aluminum supplier that slowed truck production.
CEO Jim Farley called it āanother strong quarter.ā He said Ford aims for 8% adjusted EBIT margins by 2029. CFO Sherry House pointed to cost cuts that help fund the Universal Electric Vehicle platform and Ford Energy.
Ford plans to refresh 70% of its global vehicle lineup by volume by the end of 2027. Its Fathom EV opens for pre-orders in the first quarter of 2027 and launches in the fourth quarter. The companyās energy storage business is on track for 20 gigawatt hours of capacity by the end of 2027.
Ford declared a fourth-quarter dividend of $0.15 per share, a yield of about 5.1%. Ford stock was trading at $12.21, up 2.2%, at one point in Thursdayās session, according to InvestingPro data. Morning Wall Street coverage put it at $11.73.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
