Why Ford's Stock Got Crushed After Earnings, and Why That's Not Bad

Shares of Ford Motor Company (NYSE: F) fell sharply on Thursday, after Ford reported second-quarter earnings that -- at least at first glance -- fell short of Wall Street's expectations. Ford's shares closed at $9.52 on Thursday, down 7.8% from Wednesday's closing price.

What happened? Ford reported its second-quarter earnings after the market closed on Wednesday, and it initially looked like a terrible result: Ford's net profit fell 86% from the second quarter of 2018, to just $150 million. A lot of that decline was due to one-time charges -- more on those in a moment -- but even without them, Ford's $0.28 per-share earnings fell short of Wall Street's $0.31 estimate.

Long story short: Ford "missed," and traders began selling.

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