As it continues to push toward electrification, Ford presents its new Maverick compact pickup vehicle. The Ford Maverick, the brand’s entry-level model, goes on sale with a basic five-passenger, four-door pickup, equipped with a full-hybrid engine. On the EPA-estimated rating of 40 mpg city fuel efficiency and 500 miles of range, the vehicle has a predicted rating of 40 mpg. A 2.5-liter Atkinson-cycle four-cylinder hybrid powertrain (comprising an electric motor, an Atkinson cycle four-cylinder, and a continuously variable transmission driving the front wheels) provides 191 horsepower when com
What is Ford?
The Ford Motor Company (NYSE: F) became one of the largest car manufacturers in the U.S. in the 1900s. The company is widely recognized as a strong American automotive manufacturer that has been fully committed to developing new vehicles. Ford designs, manufactures and sells cars, trucks, and sport utility vehicles in the United States, Canada, and Mexico under the Ford brand name. The company also markets vehicles under the Lincoln brand name. From its beginnings in 1903, Ford began producing automobiles in 1908, launching its first vehicle as to the Model A in October of that year.
What are the benefits of investing in Ford stock?
A problem is presented by the strong demand for gasoline-powered pickups. The trendline toward full electrification of Ford products will cause its profits to come under pressure. As things stand, however, there are two core ways to invest in Ford stock: By buying and holding a Ford preferred stock: With a weighted average interest rate of 6.5%, Ford’s Series A Preferred Stock has a current dividend yield of 5.13%. With Ford’s outstanding common stock, which is one of the most stable and reliable companies in America: I’ve held stock in Ford for several years and am optimistic about the company’s ability to perform in the future, irrespective of its lower expectations for revenue growth in the coming years. Ford’s dividend is safe, at least in my opinion.
How to invest in Ford stock
ETFs to buy Ford: SPDR S&P Automobile ETF Trust (NYSEARCA: XAT ) I’ve previously discussed the merits of the iShares MSCI Global Auto ETF (NYSEARCA: GLO ) and its use in trading individual auto stocks, so I won’t go into that here. This article, however, does touch on another fund that could make for an interesting trading vehicle, the SPDR S&P Automobile ETF Trust (NYSEARCA: XAT ). Though not exactly all-inclusive when it comes to Ford’s footprint in the auto world, XAT holds the ticker F and has a solid underlying index that, judging from past performance, has underperformed its relative benchmark index. Why buy the XAT fund? The fund, which currently has over $7.4 billion in assets under management, has an expense ratio of 0.
The automotive space will continue to grow as a result of emissions mandates in the United States and China. As manufacturers attempt to satisfy the end market with the latest and greatest in vehicles, Ford will remain a company to watch. The company is building a solid lineup of high-quality, efficient vehicles, and if it can continue to maintain its leadership in that segment, it’s possible for the stock to continue to move higher. How To Trade Ford Stock: Buy The Dip As Ford shares continue to move to the upside, investors may want to consider buying the shares at these levels. As mentioned, the stock is one of the more oversold in the auto sector, with the Relative Strength Index (RSI) currently at 32.