Ford gives a tough competition and beats out Tesla to become the auto industry’s top growth stock in 2021

Ford Motors’ shares roughly soared to 140% last year leaving behind its crosstown rivals Tesla and General Motors as a host of electrical-vehicle start-ups becoming the stock king among automakers in 2021.

This all happens under the direction of Ford’s new veteran Jim Farley who took the charge in October 2020 when the Ford board showed the doorway to the outsider Jim Hackett.

Investors have praised the new pathways directed under Farley, where the new veteran aimed to be more direct and open to investors. Farley has been in the news since he took over the Ford administration. He is responsible for launching the Ford restructuring plan which is estimated to use more resources to bring into action more electrical vehicles like the one with lightning pickup F-150.

In an interview in January 2020, Farley said,

“We’re executing our plan and we’ll continue to do that so every business in our portfolio has a sustainable future. If not, we will restructure it.”

Adam Jonas an analyst at Morgan Stanley said “it was truly a breakthrough year for Ford … easily the most important year strategically for the company since the financial crisis.”

Ford announced its largest single-day increase in share on Dec 10 on Twitter. Farley confirmed that electric Mustang Mach-E production will be tripled to more than 200,000 units annually for Europe and North America by 2023. The increase in share was 9.6% the same day which was the highest in the last 20-years.

Another best day for investors was Oct.28 when the automaker showed its third-quarter earnings which were doubled from the estimated shares increase where the shares were soared up to 8.7%.

On May 26, the shares took another big jump of 8.5% when the Ford turnaround plan was detailed. Since the new veteran’s helm, within just 15 months, the shares have risen more than 200%.

The stock share can continue to soar if the company delivers the same Ford plan initiatives that mention the EV plans accelerations if Ford achieves even 8% of its initial profit margin other than interest and taxes by 20203 – Experts say.

Here you can see how popular automakers and the new start-ups have performed last year as compiled by the analysts in FactSet.

1. Lucid (LCID, since 26 July): $38.05, up 41.8%

–      Target/Rating: Overweight/$44.33

–      Market cap: $62.6 billion

2. Tesla (TSLA): $1,056.78, up 49.8%

–      Target/Rating: Hold/$878

–      Market Cap: $1.1 trillion

3. Volkswagen (VWAGY): $29.39, up 41.2%

  • Rating/target: Overweight/$28.77
  • Market cap: $127.9 billion

4. Toyota (TM): $185.30, up 19.9%

  • Rating/target: Overweight/$211.59
  • Market cap: $253.2 billion

5. General Motors (GM): $58.63, up 40.8%

  • Rating/target: Buy/$74.45
  • Market cap: $85.1 billion

6. Ferrari (RACE): $258.82, up 12.8%

  • Rating/target: Hold/$258.40
  • Market cap: $47.6 billion

7. Toyota (TM): $185.30, up 19.9%

  • Rating/target: Overweight/$211.59
  • Market cap: $253.2 billion

8. Lordstown Motors (RIDE): $3.45, down 82.8%

  • Rating/target: Underweight/$4.60
  • Market cap: $663.2 million

9. Stellantis (STLA): $18.76, up 10%

  • Rating/target: Buy/$26.51
  • Market cap: $59.2 billiond

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