Detroit Bureau on Twitter

Posts Tagged ‘ford shares’

Atlas Concept Truck a Pick-Up for Ford Stock

Unexpected unveiling offers a hint of replacement for best-selling F-Series.

by on Jan.15, 2013

The surprise debut of the Ford Atlas concept pickup.

Ford Motor Co. stock took a sharp jump following the automaker’s unexpected unveiling of the Atlas Concept truck, a prototype offering a hint of what’s to come when the maker replaces its best-selling F-Series pickup in 2014.

In an appearance to an industry conference coinciding with the North American International Auto Show, Ford CEO Alan Mullaly marveled at the reaction to the preview.  The unveiling of the Atlas had been whispered about but unconfirmed by the maker until the huge silver truck descended from the ceiling of Detroit’s Joe Louis Arena.

Cross Over with a Free Subscription!

“How about that,” proclaimed Mulally in an off-the-cuff remark following  his speech to the Automotive News World Congress. By the time the NY Stock Exchange closed, Ford common was up 31 cents, or 2.22%, for the day, to $14.30.


Ford Reinstates Dividend

Big payout for CEO Mulally and Ford family.

by on Dec.08, 2011

Ford CEO Alan Mulally will get a big payout now that Ford is restarting its dividend payments.

Investors are showing a restrained reaction to word that Ford Motor Co. will restore its dividend for the first time in five years – a less than desirable outcome for the automaker’s senior management team who’d hoped that the nickel-a-share dividend would help drive up the Ford stock price.

With 4 billion shares of stock outstanding, the restoration of the Ford dividend is a nonetheless significant increase in its quarterly costs, totaling about $800 million annually, or $200 million every three months.  Nonetheless, Ford officials have expressed hope, in recent months, that the restoration of the dividend would be a critical step in their goal of both boosting the maker’s stock – and helping it regain a much-sought investment grade credit rating.

“We have made tremendous progress in reducing debt and generating consistent positive earnings and cash flow,” Executive Chairman Bill Ford said in a press release announcing the dividend payment, which will be issued next March 1.

Your Winning News Source!

The great-grandson of company founder Henry Ford, the automaker’s CEO will pocket $736,500 per quarter for his 14.73 million shares of Ford Motor stock.  That’s on top of the additional dividend he gets for the special Class B shares he and other family members own exclusively.  The Ford family collectively get $979,000 a quarter for that stock, which is already paying a dividend.  CEO Mulally, meanwhile, will get $875,000 for the 17.25 million shares of common stock he currently holds.


One Year Later GM Stock on a Sharp Decline

Share price barely half initial expectations.

by on Nov.15, 2011

Despite recent earnings GM stock is getting hammered by investors.

A year after it made its return to public trading, General Motors’ stock is being hammered by investors, the market driving shares of the once-bankrupt automaker down by a third of what it debuted at in November 2010.

GM shares have fallen sharply in recent weeks, though it has rebounded slightly this week, but at around $22 a share the stock is still off by nearly a third from its IPO price – and down by more than 40% from its 52-week peak.

“What we are looking at is an increasingly challenged economic environment going forward with a lot of uncertainty,” GM Chief Financial Officer Dan Ammann said after the maker announced a $1.7 billion profit for the third quarter of 2011.

Subscribe Now - It's Free!

GM is solidly back in the black after rolling up tens of billions in losses during the years leading up to its 2009 filing for Chapter 11 protection – from which it emerged only after lining up roughly $50 billion in federal aid.  The company says it ended the most recent quarter with $33 billion in cash and nearly $6 billion more in credit lines.  It has meanwhile seen its share of the global automotive market climb to 11.9%, up from 11.4% a year ago.

So, what’s not to like?


With Stock At 6-Year High, Ford Aims To Maintain Momentum

Maker’s market performance could help rival GM’s IPO.

by on Nov.08, 2010

Ford CEO Alan Mulally unveils the Focus ST at last month's Paris Motor Show.

Its stock price at a 6-year high, Ford Motor Co. hopes to maintain its momentum – and how it fares in the days and weeks ahead could have an impact on rival General Motors’ own return to public trading.

Ford shares will open at $16.21 today, having risen by 2.2% on Friday, to the highest level since June 2004 – and more than double the stock’s price a year ago.  As recently as November 19, 2008, Ford shares had plunged to just $1.26, investors and analysts alike wondering about the viability of Detroit’s Big Three automakers.

Subscribe Now!

After years of decline, however, the domestic manufacturers are showing unexpected life, Ford leading the revival.

Just last month, Ford posted its best third-quarter profit in two decades, with earnings of $1.69 billion for the July-September quarter, or 43 cents per share.  Barely a week later, the maker announced a 19.3% increase in October sales, even as rival Toyota posted a 4% decline.  The industry, overall, posted a 13.4% gain for the month.


No Plan to Restore Ford Dividend

Recovery still too early, says Mulally.

by on May.13, 2010

Still "too early" to declare victory, says Bill Ford, right, who also hopes to see CEO Alan Mulally, left, stay on past 65.

Warning that it is still “too early” to declare a turnaround, Ford Chairman Bill Ford told shareholders the automaker is not yet ready to restore its dividend.

Nonetheless, Ford CEO Alan Mulally declared that the automaker will be “solidly profitable” this year, and that its recovery is occurring faster than anticipated, during the company’s annual shareholders meeting, in Wilmington, Delaware, today.

“It is very early days in our recovery,” declared William Clay Ford, Jr., explaining why the maker is not ready to restore its once-hefty payout to shareholders.  But he added that a dividend “will be a topic for discussion…if we continue our progress.”

During their presentation to investors, the two executives painted a picture that could best be described as cautious optimism.  While Ford is “clearly on a path now of profitably growing the business,” according to CEO Mulally, Chairman Ford stressed that, “We still have a lot of debt.”

Ford has been struggling to find ways to pay down that debt, including recent moves to convert some of it to equity.

News, Reviews and More!

But the maker has made strong progress on the balance sheet, reporting unexpectedly strong $2.1 billion first-quarter earnings, on top of the $2.7 billion profit from 2009.

On the sales side, the maker has gained 2.2 points of market share in 2010, with U.S. sales rising 32.3%, or nearly double the pace of the overall market.