Ford Motor Company (F) Stock Tumbles Amid Plans to Double Production in Mexico


While the company hasn’t yet confirmed it, Ford Motor Company (NYSE:F) apparently has plans to more than double production capacity in Mexico by the year 2018, according to The Wall Street Journal. This news comes, as somewhat of a surprise to some, but revenue potential certainly is there if the Detroit automaker is successful. Shares of Ford stock are down today, even after this seemingly positive news.

Ford Motor Company (NYSE:F) will look to add half a million units of annual Mexican capacity starting in 2018, a plan that looks eerily similar to General Motor’s plans to spend $5 billion to double their Mexican capacity by 2018 as well.

The stock is down 2.33% or $0.27 following the news, hitting $11.34 per share. Approximately 32.97 million shares traded hands. F shares have declined 21.64% since July 6, 2015 and are currently downtrending. It has underperformed the S&P500 by 12.16%.

From a total of 7 analysts covering F&M Bank (NYSE:F) stock, 4 rate it a “Buy”, 0 a “Sell”, and 3 a “Hold”. This means that 57% of the ratings are positive. The highest target price is $119 while the lowest target price is $13. The mean of all analyst targets is $26.86 which is 136.86% above today’s ($11.34) stock price. F&M Bank was the topic of 11 analyst reports since August 7, 2015 according to the firm StockzIntelligence Inc. Barclays Capital maintained shares on January 25 with a “Equalweight” rating. Compass Point initiated shares with a”Neutral” rating and a $23.0 target share price in their report from an August 7. Buckingham Research upgraded F stock in a recent report from October 15 to a “Buy” rating. Finally, Vetr upgraded the stock to a “Buy” rating in a report they issued on an August 13.

The institutional sentiment decreased to 1.11 in Q2 2015. It’s down 0.03, from 1.14 in 2015Q2. The ratio worsened, as 67 funds sold all their Ford Motor Company shares they owned while 361 reduced their positions. 82 funds bought stakes while 391 increased their total positions. Institutions now own 2.26 billion shares which is 2.80% more than the previous share count of 2.20 billion in 2015Q2.

Vantage Investment Partners Llc holds 37.57% of its total portfolio in Ford Motor Company, equating to 9.12 million shares. Western Asset Management Co owns 1.13 million shares representing 13.41% of their total US portfolio. Moreover, Evercore Trust Company N.A. has 11.51% of their total portfolio invested in the company, equating to 219.80 million shares. The Missouri-based Terril Brothers Inc. has a total of 8.38% of their portfolio invested in the stock. Athena Global Investors Llc, a Virginia-based fund reported 516,520 shares owned.

Since March 23, 2015, the stock had 0 insider buys, and 1 insider sale for a total of $1.26 million in net activity. Fleming John sold 91,576 shares worth $1.26M. Schoch David L. sold 14,903 shares worth $221,783. Leitch David G sold 140,000 shares worth $2.10 million. Rowley Stuart J. sold 12,000 shares worth $197,688.

Ford Motor Company manufactures or distributes automobiles across six continents. The company has a market cap of $45.53 billion. The Firm operates in two sectors: Automotive and Financial Services. It has 9.5 P/E ratio. Automotive sector includes North America, South America, Europe, Middle East & Africa, and Asia Pacific divisions.