Michigan’s Ford crosses $100bn market valuation for first time
by SOURAV D | VIEW 1146
Ford Motor Co., the Dearborn, Michigan-headquartered second-largest American multinational conventional carmaker, had topped a $100 billion in market valuation for the first time on record, as investors seemed to have ramped up their bets on the 119-year-old Detroit carmaker’s electrification strategy. After jumping nearly 4 per cent on Thursday, valuation of Ford Motor Co., which had doubled up last year, has now been chartering above its century-old rival GM and a promising EV start-up Rivian Automotive. As of Thursday’s Wall Street closing bell, General Motor’s market valuation stood at $88.61 billion and Amazon- and Ford-backed electric vehicle start-up Rivian was last valued at $77.8 billion. Nonetheless, Ford Motor Co. has still been far behind from e-vehicle industry pioneer Tesla Inc which has a market capitalization over $1 trillion.
Ford Motor Co tops $100bn market cap for first time
In the matter of the fact, latest gain in Ford Motor Co’s market valuation came forth as the American multinational carmaker has been brewing off an option to double up output capacity of the electric edition of its immensely popular F-150 pickup trucks to 150,000 units, which happens to be a part of an aggressive electrification plan fostered by the automaker’s Chief Executive Jim Farley.
Apart from that, raising Ford Motor Co’s price target by a substantial extent, Deutsche Bank analyst Emmanuel Rosner wrote in a research note, “We see room for Ford's fourth quarter performance to come in above consensus expectations, based on continued strong pricing offsetting growing raw materials headwinds”.
So far, median Wall St. price target for Ford Motor Co stays at $21.85 per share. Ford Motor Co closed out Thursday’s Wall Street about 2 per cent higher to $25.02 apiece after jumping more than 3 per cent in pre-market trading.