Deutsche Bank has adjusted its stance on General Motors (GM), downgrading the stock from a Buy to a Hold rating, accompanied by a price target of $43. Analyst Edison Yu expressed concerns about GM's long-term valuation, indicating that the company might face challenges as an "impaired asset" due to ongoing uncertainty surrounding U.S. industrial and tariff policies.
The bank's analysis suggests that both General Motors and Ford (F, Financial) are expected to deliver satisfactory first-quarter earnings that could surpass market expectations. However, the firm anticipates that both automakers might retract their full-year forecasts as they navigate strategies to counteract the impact of tariffs.
This strategic shift underscores the significant influence of trade policies on domestic automotive manufacturers, potentially affecting their financial outlooks for the foreseeable future.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 24 analysts, the average target price for Ford Motor Co (F, Financial) is $9.70 with a high estimate of $15.50 and a low estimate of $7.00. The average target implies an upside of 3.93% from the current price of $9.33. More detailed estimate data can be found on the Ford Motor Co (F) Forecast page.
Based on the consensus recommendation from 26 brokerage firms, Ford Motor Co's (F, Financial) average brokerage recommendation is currently 3.2, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Ford Motor Co (F, Financial) in one year is $12.33, suggesting a upside of 32.15% from the current price of $9.33. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Ford Motor Co (F) Summary page.
