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Downgrade Drives Ford Motor Stock Lower
FFord Motor(F) Schaeffers Investment Research·2024-12-16 16:05

Group 1 - Ford Motor Co shares are down 2.8% to 10.10followingadowngradefromJefferiesto"underperform"duetoinventorybuild−upandan10.10 following a downgrade from Jefferies to "underperform" due to inventory build-up and an 8.5 billion gap between warranty provisions and cash outflows since 2020 [1] - The U.S. Energy Department has finalized a 9.63billionloanforFordandSKOntobuildthreenewbatterymanufacturingplantsinTennesseeandKentucky,highlightingtheBidenadministration′sfocusontheelectricvehiclesector[2]−Ford′sstockistradingatitslowestlevelssinceAugust,droppingbelowthesupportlevelof9.63 billion loan for Ford and SK On to build three new battery manufacturing plants in Tennessee and Kentucky, highlighting the Biden administration's focus on the electric vehicle sector [2] - Ford's stock is trading at its lowest levels since August, dropping below the support level of 10.30, and has decreased approximately 16% since the beginning of the year [3] Group 2 - Options traders are actively buying calls, with 64,000 calls exchanged today, which is double the typical amount, compared to 32,000 puts, indicating potential bullish sentiment [3] - Ford's 14-day relative strength index (RSI) is at 25.5, indicating that the stock is in "oversold" territory, suggesting a possible short-term bounce [4]