Mr. Pratik chadhokar is an Indian Forex, Cryptocurrencies and Financial Market Advisor and analyst with a background in IT and Financial market Strategist. He specialises in market strategies and technical analysis and has spent over a year as a financial markets contributor and observer. He possesses strong technical analytical skills and is well known for his entertaining and informative analysis of the Financial markets.
One of the oldest automobile companies, Ford Motor Co. (NYSE: F) reported its Quarter 3 earnings today. The increase in the overall revenue surged up to 11%, year-over-year to $44 billion. In comparison, the net income of $1.2 billion significantly improved from a loss of $827 million during the same period last year.
The Investors Can be Bullish
As the net margins went positive once again, the investors are likely to gain that extra confidence they needed to start an uptrend. The company’s Adjusted EBIT (non-GAAP) also saw an increase to $2.2 billion as reported in the news release.
Ford’s commitment to providing leading vehicles and services to commercial customers through Ford Pro has resulted in higher revenue. It also has significantly improved the operating margins of the firm. Additionally, Ford Blue’s gas and hybrid vehicles demonstrated their strength and durable upside, with higher revenue, EBIT, and overall margins.
Pressure? What Pressure?
Ford’s Model E reported a 44% increase in shipments of electric vehicles and 26% revenue growth. However, the company has blamed the operating loss on the pressure it received from EV prices. Despite the setbacks, Ford maintained a strong balance sheet with $29B cash and $51B liquidity at the end of Q3.
Technical Analysis and Prediction of the Ford Stock Price
The Ford stock price made its year-to-date high in July of this year. The price reached $15.42, and the bears took control. This started a downtrend, which resulted in the stock breaking a primary support level of $13.05 at the start of this August. However, bulls faced rejection in September and October, confirming the downward trend.
At the press time, the Ford stock price is trading at the level of $11.35. The bulls have taken support from the level of $11.22, but the bears are pushing the price on the trendline. The 50-day EMA is at $12.17, while the 150-day EMA is at $12.61. The RSI is currently in a downtrend after coming down from the neutral point. The RSI is at 35, while its Simple moving average (SMA) is at 40.
The Price Prediction
The prediction for the Ford stock price will be bearish unless the trend is broken. However, the company has posted great financial reports today, which can help bulls to break the trend. If the stock makes a higher low above the trend line, it will be broken.
Conclusion
Ford Motor Co. (NYSE: F) has just released its quarter 3 reports today, and the results are bullish. The F stock is currently in a downtrend, and the prediction is bearish.
Technical Levels
- Support: $11.22, and $9.87
- Resistance: $13.05, and $14.54
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading in stocks or related indexes comes with a risk of financial loss.
Source: https://www.thecoinrepublic.com/2023/10/27/ford-stock-price-q3-earning-reports-are-here-start-of-uptrend/