Why Ford's Stock Is Falling Today
Shares of Ford Motor Company (NYSE: F) were moving lower on Wednesday, following a new note from Goldman Sachs that expressed concerns about near-term cash burn and Ford's longer-term strategy around electric vehicles.
As of 11 a.m. EDT, Ford's shares were down about 5.2% from Tuesday's closing price.
In a broad research note on the U.S. auto industry, Goldman analyst Mark Delaney initiated coverage of Ford at neutral. He said that in the near term, he expects automakers like Ford to underperform auto-industry suppliers, as is typical (he argues) during an economic downturn. He thinks both Ford and rival General Motors (NYSE: GM) will burn significant amounts of cash in the first half of the year before recovering later on.
Source Fool.com
