Anthony Posted March 22, 2017 Share Posted March 22, 2017 (edited) Slowly rising today, but that was a pretty considerable drop after steadily being in the mid to high 12's for the 6 months or so. This in response to all the auto talk / dereg in DC? Or something else I missed? . Edited March 22, 2017 by Anthony Quote Link to comment Share on other sites More sharing options...
Anthony Posted March 22, 2017 Author Share Posted March 22, 2017 Think I found the reason.... Morgan Stanley: Ford is 'particularly vulnerable' due to the size of its financing program https://finance.yahoo.com/news/ford-particularly-vulnerable-due-size-161100243.html Morgan Stanley: Ford Stock Should Drop Another 11% Over Next 12 Months https://www.thestreet.com/story/14051763/1/morgan-stanley-ford-stock-should-drop-another-11-over-12-months.html?puc=yahoo&cm_ven=YAHOO&yptr=yahoo Quote Link to comment Share on other sites More sharing options...
jasonj80 Posted March 22, 2017 Share Posted March 22, 2017 Used car values are killing the finance side with lease turn in, and incentives are starting to go up on the new car side, a one/two year old used car is a great deal right now. Quote Link to comment Share on other sites More sharing options...
2b2 Posted March 22, 2017 Share Posted March 22, 2017 (edited) I've given up trying to post images @BON but HERE's a handy link > I suggest looking at the 6 month chart... ...the 10 year chart is always fun too Edited March 22, 2017 by 2b2 Quote Link to comment Share on other sites More sharing options...
akirby Posted March 22, 2017 Share Posted March 22, 2017 Stock price is not an indicator of profitability, long term viability or company performance in general. Companies that have never turned a profit can have huge share prices and huge gains and rock solid companies delivering solid results and positioned well long term can see their stock prices fall. And companies that make business decisions based on short term stock prices are doomed to fail. I've seen it first hand. Quote Link to comment Share on other sites More sharing options...
akirby Posted March 22, 2017 Share Posted March 22, 2017 So here's a question - what should Ford do differently if their stock price shot up to $30/share? What if it fell to $2/share? In both cases my answer would be absolutely nothing. Quote Link to comment Share on other sites More sharing options...
AlRozzi Posted March 22, 2017 Share Posted March 22, 2017 So here's a question - what should Ford do differently if their stock price shot up to $30/share? What if it fell to $2/share? In both cases my answer would be absolutely nothing. ...and for investors it is an opportunity to buy shares Quote Link to comment Share on other sites More sharing options...
Anthony Posted March 22, 2017 Author Share Posted March 22, 2017 Stock price is not an indicator of profitability, long term viability or company performance in general. Companies that have never turned a profit can have huge share prices and huge gains and rock solid companies delivering solid results and positioned well long term can see their stock prices fall. And companies that make business decisions based on short term stock prices are doomed to fail. I've seen it first hand. That is correct, but stock price is an indicator of investor action or confidence. My question was what caused the sudden drop? Quote Link to comment Share on other sites More sharing options...
fuzzymoomoo Posted March 22, 2017 Share Posted March 22, 2017 That is correct, but stock price is an indicator of investor action or confidence. My question was what caused the sudden drop? Someone in Dearborn farted and an analyst interpreted that as the company is in deep trouble? 1 Quote Link to comment Share on other sites More sharing options...
akirby Posted March 22, 2017 Share Posted March 22, 2017 ...and for investors it is an opportunity to buy shares Of course, but the point is it shouldn't have any affect one way or the other on how you run the company. Especially at Ford where the Ford family still controls everything. Quote Link to comment Share on other sites More sharing options...
jpd80 Posted March 22, 2017 Share Posted March 22, 2017 (edited) Time will tell but I suspect that Ford Credit's leasing plans and turn in values are more on the safe conservative side. Morgan Stanley are known to grab headlines when there's a change in the market but I guarantee you that MS will say precious little about their own lending exposure over at Tesla Edited March 22, 2017 by jpd80 1 Quote Link to comment Share on other sites More sharing options...
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