Why Ford Shares Are Soaring This Week
Shares of Ford Motor Company (NYSE: F) have been rising fairly steadily this week, and had gained more than 13% as of 10 a.m. EDT Friday morning, according to data provided by S&P Global Market Intelligence. This upward run comes on the heels of a month that added 20% to the value of the stock. It has also lifted the automaker's shares above $19 for the first time in 20 years.
The latest move upward started when Ford reported strong third-quarter results even as many other automakers continue to struggle with the global chip supply shortage and other logistical constraints. The company said it believes its cash flow is sufficient to cover its growth plans and it announced the resumption of a regular quarterly dividend. Ford also said this week that it will use its cash on hand and other sources of liquidity to repurchase high-interest debt as it seeks to improve its credit rating.
Ford electric F-150 Lightning. Image source: Ford Motor Company.
Source Fool.com
