Ford Motor (F) – Get report It beat Wall Street’s second-quarter earnings expectations and pushed its guidance despite a global semiconductor shortage that has plagued the auto industry.
The company posted adjusted earnings of 13 cents a share and revenue of $ 26.8 billion. Automotive revenue reached $ 24.13 billion.
Jim Cramer analyzed how Ford CEO Jim Farley approached the global chip shortage differently than other automakers, saying, “Jim is not like most executives. Jim said ‘okay, there is chip shortage … I’m going to make 100 calls. I have a lot of energy and I find where I can get the chips. And I’m going to improvise these full-featured chips so I don’t miss out on so many sales. I feel really bad about the $ 2 billion … I have than to cut back on that and stop selling anywhere it doesn’t make money, like China. ‘He found the chips … that’s what he did to fulfill those orders. He worked himself and met with just about everyone in the industry. . that’s my type. ”
“We are now primed for growth in the second half and beyond due to hot products, stifled demand and improving chip supply,” says Ford CEO Jim Farley.
“Demand for our first round of high-volume electric vehicles has clearly exceeded our most optimistic projections,” he added. “Reservations for the F-150 Lightning have far exceeded 120,000 units, and 75% of those customers are new to Ford. We are now working around the clock to break through limitations and increase our manufacturing capacity for these new and red-hot battery electric vehicles. “
In Real Money, contributor Kevin Curran writes that US-based companies that bet their growth thesis on China, such as Tesla, could find themselves in a fragile position worth reviewing for retail investors. Get more trading strategies and investing insights from real money taxpayers.
With an optimistic outlook for 2021, Farley sees a long way to go in Ford’s transition to an electric vehicle world with increased confidence in the company’s electric vehicle transition strategy.
Here’s the bottom line: See if Ford can sustain its post-earnings low to the downside and close above the 50-day moving average to the upside, TheStreet’s Bret Kenwell wrote.
General motors (GM) – Get report it closed up 3.23% on Thursday; is scheduled to report next week.
The company filed a lawsuit against automaker Ford, alleging that the name of Ford’s new automated driving system, BlueCruise, is an infringement of its Cruise trademark.
GM filed your lawsuit in the U.S. District Court for the Northern District of California seeking a court order prohibiting Ford from continuing to use the BlueCruise name, as well as actual and punitive damages, funds for future advertisements, return of any improperly obtained profits and attorneys’ fees.
Tesla (TSLA) – Get report shares rose 4.69% in regular trading on Thursday. The company received a silent response to its earnings earlier this week.
Cramer tweeted Monday after the call in which CEO Elon Musk mentioned a potential future competitor Apple. (AAPL) – Get report twice in a negative light and said that he would no longer attend earnings calls in the future unless he had “something really important” to say.
Actions of the startup of luxury electric vehicles Lucid Motors (LCID) – Get report they rose nearly 10% the Monday after their Nasdaq debut as the race to populate the world’s roads and highways with electric vehicles continues to heat up. The stock lost some momentum this week, closing down 3.03% Thursday at $ 23.35.
It also comes six months after Lucid announced that it was joining forces with Churchill in an attempt to take on Tesla and other EV makers like Fisker. (FSR) – Get report in the US and NIO (NIO) – Get report and XPeng (XPEV) – Get report in China, although Lucid has his sights set squarely on Tesla.
Here’s a list of EV stocks to watch out for:
Tesla stock doesn’t give us the kind of fireworks we’ve grown used to after the electric vehicle company reported earnings. Tesla has been something of a roller coaster in recent months, but not the roller coaster the bears were hoping for.
There has been a lot of drama surrounding the company and the CEO’s take on Bitcoin, but Tesla has continued to deliver solid results. Earlier in the month, Tesla delivered a record second-quarter delivery result. Then Tesla delivered a top and bottom beat, posting more than $ 1 billion in profit as revenue nearly doubled year-over-year.
TheStreet Quant Ratings rates Tesla as Hold with a rating of C.
Ford shares rose after the automaker beat Wall Street’s second-quarter earnings expectations and increased its guidance despite a global semiconductor shortage that has hit the auto industry. Ford raised its guidance for full-year adjusted earnings before taxes by about $ 3.5 billion, to between $ 9 billion and $ 10 billion. The company said volume is expected to increase by about 30% sequentially from the first to the second half of the year.
TheStreet Quant Ratings rates Ford as Hold with a B- rating.
Lordstown Motors, electric truck maker in trouble (MOUNT) – Get report said Monday that hedge fund YA II PN Ltd has committed to buying up to $ 400 million of the company’s shares over a three-year period. Lordstown Motors disclosed the deal in a filing with the Securities and Exchange Commission. Under the terms of the deal, YA may receive about 35 million Lordstown shares upon execution of the deal, subject to approval by Lordstown shareholders, as well as a small discount on the shares provided they are purchased.
TheStreet Quant Ratings does not have a rating for Lordstown Motors.
General Motors shares fell last week when it said it was recalling the electric Chevrolet Bolt for the second time in a year. The recall is for the 2017-2019 I hatchback model and the move came after two vehicles that had been repaired in a previous recall caught fire. GM will replace the vehicle’s battery modules after finding a defective battery. The recall applies to 68,667 battery-powered cars made by South Korea’s LG Chem, according to Bloomberg. Other Bolts, with different batteries, were not recalled.
TheStreet Quant Ratings rates GM as a Buy with a rating score of B.
NIO said that by the end of 2025 it planned to add 3,700 battery exchange stations, which would give it 4,000. A swap station is where electric vehicle drivers quickly swap their batteries for new ones, rather than waiting for them to charge. A typical electric car takes around eight hours to charge from empty to full, according to UK charging company Pod Point. The company is making charging stations a priority, co-founder and president Qin Lihong told reporters last week.
Real Money’s Carolyn Boroden signals bullish technical factors to the company. “I have a simple symmetry setup to consider in NIO,” he wrote.
TheStreet Quant Ratings rates NIO as Sell with an E + rating.
Li Auto (IN THE) – Get report, the Chinese electric vehicle maker, reported that second-quarter deliveries more than doubled and exceeded its estimates. The Beijing company delivered 17,575 vehicles in the quarter, up 166% year-over-year and nearly 40% from the first quarter. The company expected to deliver between 14,500 and 15,500 vehicles in the second period.
TheStreet Quant Ratings does not have a rating for Li Auto.
Chinese electric vehicle company Xpeng was added to the Hang Seng composite index last week. Hang Seng Indexes Company Limited announced that XPeng complies with the fast entry rule of various indices.
TheStreet Quant Ratings does not have any ratings for Xpeng.
RBC analyst Joseph Spak initiated coverage of hydrogen fuel cell technology company Plug Power (PLUG) – Get report with a superior performance rating and a $ 42 one-year price target. Spak wrote that “Plug Power’s valuation is rich, but its long path of growth justifies the premium.” He also noted that Plug Power has a substantial amount of growth opportunity, given the Hydrogen Council estimates that the hydrogen economy could generate more than $ 2.5 trillion in annual sales by 2050 to the immediate industries associated with hydrogen technology.
“They report in August and should got good numbers, “Cramer said during a recent episode of Bad money.
TheStreet Quant Ratings rates Plug Power as a sale with a score of D.