Here is the article. I like to spend time to read the article and think about my 100 share investment made two weeks ago.
In Jan. 28, 2019, the S&P 500 down over 45% since its 2007 peak
Ford's stock was at the $1.94 price tag. Ford Motor Company really worth less than $5 billion? After all, the company is still doing over $160 billion in revenue, and competitors Toyota (NYSE:TM), Honda (NYSE:HMC), and Daimler carry market caps of $104 billion, $85 billion, and $28 billion, respectively.
What makes the whole situation worse is the fact that Ford is not simply a car manufacturer, it is also an auto financing company. That means that not only is the company dealing with slowing consumer spending, high legacy manufacturing costs, and tough competition from overseas manufacturers, but also with cash-strapped consumers defaulting on loans that they took out during the good times. Sure, Ford may not be Citigroup (NYSE:C) or Bank of America (NYSE:BAC), writhing under an avalanche of bad financial bets, but it doesn't need to be that bad for shareholders to suffer in 2009.
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