9.05 +0.02 (0.22%)
After hours: 6:56PM EDT
|Bid||9.02 x 38500|
|Ask||9.03 x 45900|
|Day's Range||9.01 - 9.24|
|52 Week Range||7.41 - 10.56|
|Beta (3Y Monthly)||0.97|
|PE Ratio (TTM)||16.72|
|Earnings Date||Oct. 23, 2019|
|Forward Dividend & Yield||0.60 (6.46%)|
|1y Target Est||10.51|
On October 18, Reuters reported that General Motors (GM) was planning to build premium electric pickup trucks and SUVs starting in late 2021.
MacRumors recently reported that Quanta Computer supplied autonomous driving solutions to Apple. Apple has tested its self-driving car in Cupertino.
Owens & Minor, Acuity Brands, Tesla, Ford and General Motors highlighted as Zacks Bull and Bear of the Day
(Bloomberg) -- Ford Motor Co.’s Jim Hackett and Wall Street analysts started this year frustrated with one another. Sure, the automaker had been underperforming, but the chief executive appealed for time to show he was fixing things. He assured them the redesigned Explorer SUV rolling out months later would be a proof point.But rather than help the earnings results Ford delivers this week, the Explorer will be a hindrance. Sales have plunged as a plant plagued by personnel problems has struggled to get the new sport utility vehicle out the door. Thousands have been shipped 270 miles away to another Ford factory for rework.The botched Explorer launch puts Hackett back in the position he was early this year -- testing the patience of investors. A downbeat assessment of how long it will take to turn the automaker around already cost the company an investment-grade credit rating. By pointing to the SUV as one of the first products he influenced, the CEO staked his reputation on it.“From a design, styling and content standpoint, it hit the marks,” Jeff Schuster, a forecasting analyst for LMC Automotive, said of the Explorer. “But if you can’t get out of the gate, that certainly is going to put some question marks not only on his credibility, but from a consumer standpoint, on the vehicle itself.”The transformation of Ford’s Chicago assembly plant was one of the most complex in the company’s history, a spokeswoman said. The company is shipping the new Explorer -- the all-time best-selling SUV nameplate in the U.S. -- to dealers now and performing additional quality inspections as needed, she said.‘Big Negative’Ford probably will report on Wednesday that third-quarter profit slipped to 26 cents a share, according to analysts’ estimates compiled by Bloomberg, down from 29 cents a year ago. Automotive revenue is expected to dip to $34.3 billion, from $34.7 billion.“This Explorer issue is going to be a big negative for the quarter,” said David Whiston, an analyst for Morningstar who rates Ford the equivalent of a buy. “It’s a viciously competitive market and you don’t want to be missing one of your big hitters.”Ford shares have fallen 15% since Hackett, 64, took over in May 2017. The stock slumped 37% during the tenure of his predecessor, Mark Fields.When Ford reported early this month that Explorer deliveries collapsed by almost half during the quarter, Mark LaNeve, the automaker’s U.S. sales chief, said dealers had adequate inventory to sell.“Availability has improved dramatically over the last 30 to 45 days,” he said in an interview. “We’ll be able to hit our stride with Explorer starting now.”Supply in showrooms may indeed be building up, but a batch of about 2,500 Explorers in need of repairs arrived recently at the company’s factory in Flat Rock, Michigan, which for weeks has been fixing and finishing vehicles shipped from the Chicago plant where the SUV is built, according to people familiar with the matter.Buggy ScreensLaNeve told analysts on Oct. 2 that the Chicago plant had started shipping Explorers directly to dealers. But most of those models also have required repairs before they can be sold, said the people, who asked not to be identified describing internal issues the company is having.And not all problems with Chicago-built SUVs are being fixed before they reach customers’ driveways. Consumer Reports had problems with the Lincoln Aviator -- a mechanically similar model built alongside the Explorer -- that the magazine’s testers purchased last month for $63,400. The digital gauges that display speed, fuel consumption and other important information shake and flip, making them difficult to read.“Ford does tend to struggle with the new introductions, especially if they’re a larger departure from the previous design,” said Jake Fisher, the magazine’s director of auto testing. “It could take a few years to get the bugs worked out.”Ford is not experiencing similar setbacks as it begins building a redesigned version of its Escape compact SUV at its factory in Louisville, Kentucky. LaNeve told analysts the Escape “is a much more normal launch.”Problematic PlantDays after the January debut of the new Explorer -- which hadn’t been redesigned in almost a decade -- Hackett described Ford’s product development as “constipated,” and said his executive team was fixing what ailed the company.“The new Explorer and Ranger, which our administration kind of intercepted in process, are good examples of where we started to have influence,” said Hackett, who played football for Bo Schembechler in the 1970s at the University of Michigan.What the CEO wasn’t counting on was for a problematic plant to cause trouble again. The Chicago factory, fined twice in the last two decades by federal workplace-harassment regulators, is riven with dissension that’s hampering productivity and quality, according to people familiar with the situation.Roving groups of workers are intimidating other employees, creating a hostile environment, the people said. That’s driving up turnover and leaving some vehicle assembly unfinished, contributing to the company having to complete the work at the Michigan factory or at dealerships, the people said.Ford is unaware of any recent issues in which employees are intimidating one another, the spokeswoman said. The automaker is waiting its turn to negotiate a new labor contract with the United Auto Workers union, which has been on strike against General Motors Co. since mid-September.Explaining to DoFord spent a combined $1 billion upgrading its 95-year-old assembly plant and 63-year-old stamping factory in Chicago, outfitting them with advanced manufacturing technology to produce the Explorer, Aviator and Police Interceptor Utility.Those investments included $40 million to upgrade lighting and add security at the plants, where some employees have experienced sexual and racial harassment. In August 2017, the company agreed to pay as much as $10.1 million to settle claims following an investigation by the Equal Employment Opportunity Commission. Ford faced similar charges at the Chicago factories in 1999 that led to a $17.5 million settlement.When Hackett’s executive team discusses quarterly results with analysts this week, they’re likely to have to address how much further the plant has to go to overcome its troubled past.“You can’t afford to have these kinds of issues in this market environment. It shouldn’t have become the problem that it is,” LMC’s Schuster said. “They have some explaining to do.”To contact the reporter on this story: Keith Naughton in Southfield, Michigan at email@example.comTo contact the editors responsible for this story: Craig Trudell at firstname.lastname@example.org, Chester DawsonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- President Donald Trump said he will nominate Dan Brouillette to be his next energy secretary when Rick Perry leaves the job later this year.“Dan’s experience in the sector is unparalleled. A total professional, I have no doubt that Dan will do a great job!” Trump tweeted Friday.Brouillette has been serving as No. 2 to Perry, who led the Energy Department with its $36 billion budget and control of the nation’s nuclear arsenal and emergency crude oil stockpile. The White House arranged for Brouillette to meet with Trump on Friday after Perry gave the president a resignation letter. The deputy has been taking on increasingly high-profile roles for Perry, including sitting in for him at cabinet meetings. The White House session was described by people familiar with the matter who asked not to be named because it was private.Perry, 69, has been grooming Brouillette, 57, to succeed him for months while planning his own departure. In recent months, Brouillette has more frequently served as the public face of the Energy Department both on missions abroad and at U.S. events.Trump has elevated deputies at other agencies after the leaders departed. He made David Bernhardt acting secretary of the Interior after Ryan Zinke left the administration, then nominated him for the post. Trump used a similar approach with current Environmental Protection Agency Administrator Andrew Wheeler, who served as the second-ranking official under former chief Scott Pruitt.A Louisiana native, Brouillette worked at the Energy Department under former President George W. Bush as an assistant secretary for congressional and intergovernmental affairs.His vision for the Energy Department isn’t expected to veer from the one held by Perry, a vocal advocate of the nation’s oil and gas industry, who attempted -- so far unsuccessfully -- to subsidize unprofitable coal and nuclear plants in the name of national security and electric grid reliability.Brouillette has backed those efforts and said during a speech earlier this year that “fuel-secure units are retiring at an alarming rate,” a phenomenon that would “threaten our ability to recover from attacks and natural disasters,” if left unchecked.The nominee emerged as a key figure during internal administration debates last fall over whether to grant waivers for some countries from sanctions on Iran’s oil. Brouillette argued against the waivers, saying the administration should take a tougher stance against Iran, in a memo to the State Department.In addition to his past stint at the Energy Department under Bush, Brouillette has worked as staff director for the House Energy and Commerce Committee, where he played a role crafting major energy legislation. He also was a senior executive in the policy office of Ford Motor Co. and financial services provider United Services Automobile Association.To contact the reporters on this story: Jennifer Jacobs in Washington at email@example.com;Ari Natter in Washington at firstname.lastname@example.org;Jennifer A. Dlouhy in Washington at email@example.comTo contact the editors responsible for this story: Jon Morgan at firstname.lastname@example.org, Steve GeimannFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Ford announced that it would offer North America’s largest electric vehicle public charging network, the FordPass Charging Network, to its EV customers.
While Ford's (F) sales in China fall 30.3% year over year in Q3, Tesla takes the U.K. market by storm with record deliveries of 6,244 vehicles.
While higher revenues in the North American market are likely to have benefited Ford (F), lower vehicle deliveries in China, Europe and Asia Pacific regions might have hampered profits.
The network of charging stations will be the largest in North America with 12,000 locations and more than 35,000 charge plugs, Ford said. The network will give Ford car owners access to fast charging station sites that will be set up by Volkswagen's Electrify America. Ford is also working with Amazon for installation of home charging setups.
DEARBORN, Mich.-- -- Ford is offering its all-electric vehicle customers North America’s largest electric vehicle public charging network, with more than 12,000 places to charge, including fast charging, and more than 35,000 charge plugs – more than any other automotive manufacturer, addressing a big concern for those switching to all-electric cars New Ford all-electric vehicles, including the Mustang-inspired ...
When it didn’t have the parts, it suggested the car could be driven despite needing ‘urgent action’. I received a letter from the Ford Motor Company advising of a safety recall on my vehicle. It told me “urgent action” was required on the engine coolant sensor system. I immediately booked my car into the local dealer and was told that the work might take up to two days. But I was subsequently informed that Ford was unable to supply the parts to fix it. After four days without my car, there is no date in sight as to when it will be fixed. It is clear that Ford has not prepared the necessary parts for the emergency recall. I am going on holiday in a week and had already booked my car for the Dart crossing and the car park at Stansted airport before learning of the recall. I now do not have a car to get me there. MF, Croydon You finally ended up spending 10 days without your car or a courtesy vehicle while parts were shipped in from Germany. Ford’s suggestion to me that you could take your car to the airport provided you top up the coolant level was not reassuring, given the urgency of the recall notice and the implications if the coolant pipes failed. In the US last year Ford undertook to pay for replacement engines after leaking coolant pipes caused overheating damage. Ford says that the recall letters had been sent in waves throughout 2018 and 2019 to ensure sufficient parts were available, potentially leaving drivers at risk of engine failure for up to 12 months. You were finally reunited with your car the day before your holiday and, as you drove it home a warning light signalled an engine malfunction. When you took it back to the dealer it was found that, after replacing the pipes, mechanics had forgotten to top up the coolant! The dealer eventually offered £200 in goodwill. In a way you were lucky. This month the BBC Watchdog programme discovered that 3.4 million cars that had been issued with a safety recall were still awaiting repairs, and that UK drivers are not alerted to some urgent problems that prompt a recall overseas. The UK car recall system relies on manufacturers reporting issues, but there are no standard rules on how serious the problem has to be before it triggers a recall. If you need help email Anna Tims at email@example.com or write to Your Problems, The Observer, Kings Place, 90 York Way, London N1 9GU. Include an address and phone number. Submission and publication are subject to our terms and conditions
(Bloomberg) -- Not all the businesses in Valencia’s industrial zone closed during Venezuela’s economic crisis. Only about two-thirds did.Survivors among the rusting factories of the nation’s former manufacturing heartland, two hours from Caracas, are enjoying a truce in the government’s war on capitalism.Without publicly acknowledging it, President Nicolas Maduro’s socialist government has ditched a decade and a half of price controls. It’s hard to put a precise date on the liberalization, because it never officially happened. However, in recent months supermarket shelves have been restocked and severe shortages of goods such as toothpaste and toilet paper have eased -- though they are sold at prices most Venezuelans can’t afford.Valencia, a city of perhaps 1 million residents, bore the brunt of the government’s ruinous industrial policy. Today, business people there are making the most of the new atmosphere -- as long as it lasts.“In today’s Venezuela, there are still opportunities,” said Ernesto Abbass, a Valencia industrialist with a metallurgical factory and investments in pharmacies. “There are some businesses that have managed to surf the waves of poor economic policy making. We’ve had to become creative.”The roots of the deepest slump in the history of the Americas stretch back two decades. After coming to power in 1999, President Hugo Chavez’s government gradually tried to move to a Cuba-style command economy. As it introduced price controls on staples such as beans and milk, these grew scarce, while uncontrolled goods, such as Scotch, remained on the shelves.There were frequent crackdowns on people the government called “speculators” who sold goods for more than the legal price. They risked not only fines, but also a cell in a gang-ridden prison.Business people in Valencia who spoke with Bloomberg weren’t clear whether the new state of affairs represents a real change in philosophy or a brief respite ahead of a new wave of attacks by the price-control agency. Either way, they can make a profit -- not legally, but in practice.They can even do business in dollars. In March, the country suffered massive power blackouts that lasted three days in the capital, Caracas, and even longer elsewhere. With credit-card readers out of action, people began paying for things in hoarded greenbacks.The government turned a blind eye, and it suddenly became normal to quote prices in foreign currency. In one Valencia store, a 750-gram jar of Nutella was on sale last week for $8, the same as a box of Froot Loops breakfast cereal.In its heyday, Valencia produced washing machines, bicycles, pharmaceuticals, textiles, animal feed and plastics, among other things. Above all, it was Venezuela’s motor city. Ford Motor Co., General Motors Co. and Chrysler LLC all had assembly operations there, as well as the big tire manufacturers and dozens of local parts suppliers.The industrial zone, which used to pulsate with hundreds of commuter buses, is now largely quiet and abandoned. One shuttered auto-parts factory was still full of inventory stamped with the official prices that made it unprofitable to stay in business.Companies that survived now have the market to themselves. Most competitors have gone under, and the border is shut to Colombian industry. Rents, labor costs and utility bills are all low. There is pent-up demand for goods such as car parts that were unavailable for a long time. It is, just about, possible to turn a profit.One Valencia-based business that sells radiators said that sales are up nearly 30% from last year. Traffic jams have made a comeback in Valencia, as well as in Caracas, after a long period when the shortage of parts kept much nation’s aging vehicle fleet off the roads.Even in the permissive new atmosphere, doing business remains an extreme sport, with blackouts, shakedowns by officials and out-of-control crime. As about 4 million Venezuelans have fled, the country has lost much of its skilled labor force. U.S. sanctions mean that many foreign firms are afraid to do business with any Venezuelans, in case they turn out to be tied to the Maduro government.The nation’s industry is running at only 19% of capacity, according to Conindustria, a trade organization, compared with 81% in Colombia. In Valencia, some companies stopped investing and reduced operations to a fraction of what they had been. General Motors shut down its Valencia operation in 2017 after authorities seized its plant and inventory.Ford is sticking around, waiting for better days.“Ford is working systematically to maintain operative conditions at the Valencia plant to resume production whenever enabled by industry conditions and financial viability,” the company said in reply to emailed questions. “Ford has been operating in Venezuela for 57 years and has no plans to leave the country.”A recent survey by Caracas pollster Datanalisis found that the high cost of living is now the biggest concern for Venezuelans, ahead of corruption, crime and food scarcity. Even some opponents of the government complain that the price-control agency isn’t doing more.The cost of living has roughly tripled in dollar terms since the start of the year, according to Ecoanalitica, a Caracas-based economic consultancy.In this environment, the authorities may calculate that yet another attack on private businesses would be popular. Valencia’s industrialists are highly aware of this threat, and are reluctant to invest more or ramp up production until it is lifted.“This continues to be a business in survival mode,” said Christian Palmisano, one of the partners in a factory that produces the soles for shoes, and rubber boots. “Over the last two years, we stopped evaluating whether we make a profit or a loss. It’s a question of who survives the crisis and who dies.”To contact the author of this story: Matthew Bristow in Bogota at firstname.lastname@example.orgTo contact the editor responsible for this story: Stephen Merelman at email@example.com, Robert JamesonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
China’s slowdown concerns have intensified amid a flurry of soft data points. On October 15, China released its September producer price inflation data.
Tesla’s electric pickup truck is one of the most anticipated vehicles in recent history. CEO Elon Musk knows how to create hype around new vehicle launches.
China, the world’s largest auto market, is faltering like never before. September was the 15th month of annual car sales decline for the company.
(Bloomberg Opinion) -- At various times during his 14-year tenure as chief executive officer of Fiat Chrysler Automobiles NV, the late Sergio Marchionne held takeover talks with Volkswagen AG.The news that VW is considering a stock-market listing of its Lamborghini supercar division suggests Marchionne continues to influence the German carmaking giant. By spinning off high-value operations such as trucks and sports cars, VW’s boss Herbert Diess would be imitating his Italian peer’s successful approach to creating shareholder value. But Diess is struggling to be as daring, which will make it harder to achieve his goals.When Marchionne took the helm at Italy’s Fiat SpA in 2004, its market capitalization was a pitiful 5.3 billion euros ($5.9 billion). During his reign, he merged Fiat with America’s Chrysler and spun off Ferrari NV and Fiat’s trucks and agriculture machinery business (CNH) into separate companies. When he died last year, the combined equity value of Ferrari, Fiat Chrysler and CNH Industrial NV was 57 billion euros. His successor then completed the 6.2 billion-euro sale of the Magneti Marelli SpA auto parts division.Diess wants VW to hit a market value of 200 billion euros — up from 80 billion euros now, Bloomberg News reported as it broke the news about Lamborghini, adding that a sale of the brand is also under consideration. (VW says there are “no plans for a sale or public offering of Lamborghini”). Including all of Volkswagen’s 12 brands, its financial services arm and its Chinese joint ventures, the company’s sum-of-the-parts valuation could top 215 billion euros, Bloomberg Intelligence analyst Michael Dean estimated in August.In an attempt to realize that value, Diess has started off by following the Marchionne playbook. Fiat began by spinning off CNH in 2012. Diess also kicked off with a June listing of VW’s trucks arm, Traton SE.Marchionne followed the CNH divestment with the listing of Ferrari in 2016, and now it looks like Diess’s next step might be his own supercar brand. A sale of Volkswagen’s industrial machinery operations Renk AG and MAN Energy Solutions, which is being considered, would be akin to the Magneti Marelli sale. Analysts have even speculated that VW’s alliance with Ford Motor Co. could evolve into a merger, similar to the Fiat-Chrysler deal.Yet there’s a difference between the boldness of the two companies. Fiat spun out CNH by distributing the stock to existing shareholders, and it did the same with what was left of Ferrari’s equity after selling 20% of the company in an initial public offering in New York. Volkswagen, by contrast, sold just 11.5% of Traton to new investors in an IPO and then kept the rest of the stock for itself. In fairness, Diess has to manage a difficult set of stakeholders. The Porsche-Piech family controls VW, while the German state of Lower Saxony has 20% of the voting shares. He also has employee representatives on the board. The Agnelli family, which controls Fiat, backed Marchionne’s ambitions — and became significantly wealthier.Because of its arcane multiple voting-class structure, most Volkswagen shareholders have no say in the running of the company. That might explain why Diess opted for an IPO of Traton rather than a spin-off: Replicating the current VW voting arrangements in a new company wouldn’t have been attractive for new investors. But the listing was so small as not to give new investors any real say in the company’s running anyway. If the Porsche-Piech dynasty really want Diess to increase their riches, they should encourage offerings that unpick some of their own control.To contact the author of this story: Alex Webb at firstname.lastname@example.orgTo contact the editor responsible for this story: James Boxell at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Alex Webb is a Bloomberg Opinion columnist covering Europe's technology, media and communications industries. He previously covered Apple and other technology companies for Bloomberg News in San Francisco.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.