Is Ford Stock a Buy?
Ford (NYSE: F) shares only ended up rising by 5% in 2023, which seriously lagged the 24% gain of the S&P 500 index. However, in the last two months of the year, the stock surged more than 20%. Perhaps there's hope that the strong momentum will continue into the new year.
Investors have certainly surrounded the business with fresh optimism recently. But does that mean this top automotive stock is a smart buy right now? Let's take a closer look under the hood of Ford.
Observers are likely familiar with the issues that have been plaguing Ford. The labor strike forced management to pull guidance briefly, only to reinstate it again. The impact of the work stoppages in 2023 is estimated to be $1.7 billion of earnings. Over the life of the new contract, slated to end in the spring of 2028, costs related to the deal are expected to increase expenses by $8.8 billion.
Source Fool.com
