Why Ford Is a Great Dividend Stock
There are only a handful of iconic automakers, and Ford Motor Company (NYSE: F) certainly makes the short list with its well-known Blue Oval brand. For dividend investors, the Detroit automaker offers a compelling stock, with its share price down 12% over the past year, trading at a price-to-earnings ratio of 11. It has some fixable problems, plenty of cash, and a dividend policy that often includes special dividends.
Here are some other reasons why Ford is a great dividend stock.
One of the first headwinds Ford needs to fix is China. The automaker has consistently lost sales ground in recent years as it's failed to keep up with the rapid switch to electric vehicles (EVs) -- over half of China's new passenger car sales were EVs in July. In fact, in 2016 Ford sold 1.3 million vehicles in China and in 2022 that spiraled to below 500,000.
Source Fool.com
