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Ford Stock Downgraded on Product Strategy Change

The company recently shifted focus away from its EV unit

Deputy Editor
Jul 31, 2023 at 11:48 AM
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Jefferies downgraded Ford Motor Co (NYSE:F) to "hold" from "buy" before the bell this morning, with a price-target cut to $15 to $17. The company recently changed its product strategy, slowing production of its electric vehicles (EV) to focus on its commercial vehicle unit. The brokerage stated that no matter how sensible the change is, it is still a setback following the May 22 investor day. 

At last glance, Ford stock was down 0.5% to trade at $13.20. The security has been sliding on the charts since running into pressure above the $15 level at the beginning of the month, and is looking to end July with a nearly 13% monthly loss. Year-to-date, the shares are up 19%. 

Call traders have been eyeing F, per its 50-day call/put volume ratio of 2.39 over at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). This ratio ranks higher than 90% of readings from the past year. 

Analysts, meanwhile, are leaning bearish, with eight of the 23 in coverage carrying a "buy" or better rating, and 15 a "hold" or worse. Meanwhile, the 12-month consensus price target of $14.19 is a 7.7% premium to current levels. 

 
 

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