Ford is expected to report breakeven earnings and a 11% decline in automotive revenues.

From Nasdaq: 2025-05-01 09:59:00

Ford is set to release its first-quarter 2025 results on May 5, with an EPS estimate of breakeven and automotive revenues of $35.5 billion. The earnings estimate has moved up by 2 cents, with a projected 11% decline in revenues from the year-ago quarter. For the full year, automotive revenues are expected to decrease by 6% to $162.3 billion, with an EPS of $1.22.

In the first quarter, Ford’s sales declined by 1.3% to 501,291 units, driven by rental fleet timing and discontinued models. Retail sales grew by 5%, while sales of electrified vehicles increased by 25.5%. Ford’s closest competitor, General Motors, saw a 17% year-over-year increase in sales, while Tesla’s EV deliveries dropped by 13%.

Ford’s estimates for key segments in the first quarter show a decline in revenues and EBIT across different units. The Ford Blue unit is expected to see a 19% decrease in revenues, while the Ford model e unit is projected to have a significant increase. The Ford Pro unit is estimated to decline by 10% in revenues, with EBIT expected to decrease from the previous year.

Year to date, Ford’s shares have risen by 1.1%, outperforming industry peers like Tesla and General Motors. From a valuation perspective, Ford is trading at a relatively cheap price/sales ratio, with a Value Score of A. The company’s strong liquidity position and commitment to shareholder returns make it an appealing investment option.

Despite facing challenges like widening EV losses and weakening ICE performance, Ford’s Ford Pro segment shows promise with strong order books and increasing demand. The company’s high dividend yield and commitment to shareholder returns provide stability. While investing before the results may be risky, holding onto Ford stock could be a beneficial long-term strategy.



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