Is Ford’s Outlook for 2025 in Limbo Amid Tariff Troubles?
From Nasdaq: 2025-05-06 11:23:00
Ford beat earnings expectations in Q1’25 but faces uncertainty for 2025 due to significant tariff challenges, expecting a $2.5 billion impact. Other automakers like GM, HOG, and TSLA are also struggling with tariffs. Ford’s stock has gained 3% YTD, but its 2025 earnings forecast has lowered, causing concern. Tesla plans to revisit its 2025 delivery volume guidance.
The automotive industry faces 25% tariffs on imported vehicles and auto parts, impacting sales and financial forecasts. Ford, GM, HOG, and TSLA have all suspended or revised their guidance due to the uncertainty. Ford plans strategic measures to offset tariff costs, but the outlook remains uncertain. Tesla CEO Elon Musk has already revised growth targets and faces challenges amid global tariff uncertainty.
Ford’s stock performance is mixed, with a forward price-to-sales ratio below the industry average. The Zacks Consensus Estimate for 2025 earnings shows a significant drop. Ford stock carries a Zacks Rank #3 (Hold). The industry as a whole is facing challenges due to tariffs and macroeconomic uncertainty.
Zacks Investment Research identifies Ford as one of the top stocks to watch as it navigates through tariff challenges and uncertain financial outlook for 2025. The automotive industry as a whole is facing disruptions and setbacks due to tariffs and macroeconomic factors. Investors should keep a close eye on how companies like Ford adapt and respond to these challenges.
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