Could Ford's Secret Weapon Soon Turn Into a Dirty Secret?
What many investors overlook is that Ford Motor Company's (NYSE: F) most profitable segment outside of North America isn't even a region on a map. This secret weapon has helped Ford print billions and billions in profits over the past decade.
But what happens when that secret weapon turns into a major cause of financial pain? That's exactly what could happen with Ford Credit in the event of a recession. Here's how brutal it looked in 2008.
Let's quickly take a look at exactly what Ford Credit is, and how much it benefits the automaker. Most investors understand that when it comes to its automotive sales by region, North America drives the vast majority of Ford's total profits. But many don't realize how much the Ford Credit auto financing segment adds to the equation.
Source Fool.com
