And the new Mustang, 500, and Falcon aren't even out yet!

Guess those new high styled hot selling F series trucks aren't as expensive to make as it might seem!

http://www.detnews.com/2004/autosins...tos-129364.htm

It seems Ford continues it's reputation of being able to make obscene amounts of money when they have to, regardless as to what they spend. Last decade when Ford was producing expensive to make MN12 Thunderbirds & Cougars, Lincoln Mark VIIIs, new modular engines, and a corperate buying spree, they still amassed enough money to make it through a series of screwups that would have made any other business go under... and they are still investing bank on it's interiors and new models (though it's by using Volvo & Mazda chassis).

At this rate, the comparatively small (and supposedly financially troubled) Ford Motor Company has the potential to out earn GM 2 to one this year. Ford's moving at an $8 billion per year profit rate. GM only expects to make $4 billion this year.
http://www.detnews.com/2004/autosins...a01-129193.htm

GM tried to use massive incentives to bury it's competitors, and it seems at least one competitor did a Houdini on them.

 

Interesting. I knew the turnaround would come in the years to come, but this is a bit earlier than i had anticipated.

The futura (or falcon), 500, mustang, and whatever new product they have in the pipeline should only help.

I really hope the stupid recalls as well as the other dumb troubles they managed to get themselves into are really behind them.

 

Ford would have been a good stock to buy a year ago when it was $9 a share.

 

Look for the potential for these profits to increase in the 2nd and 3rd quarters, followed by a decline in the 4th. That is, unless they are already safegaurding their reports for a slow 4th quarter of sales. Ford has always been much stronger than everyone thought, even pro-Ford people. Look for the Big 3 to make a huge bounce-back in the next 2-4 years...

 

I only disagree with your statement on the 4th quarter for one reason...
MUSTANG.
It is scheduled for release in August, but most lots won't have them for public sale until September - orders will begin next month, and all the early cars will be order fills IMO.
So look for 50-80k Mustang units to sell during Sept-Dec of this year, which is Q4!

 

You have a valid point, but the dip in sales is a trend that VERY rarely isn't noticed. But leave it to the Mustang to turn it around. Funny, I thought a certain oem said there was no market for this type of car just a year or two ago.

 

Just cuz they said it, doesnt mean it was the real reason.

 

Oh definitely, I agree with you 100% on the trend.
It's actually been studied to death.

I believe they attribute the decline in car sales to the holiday season... people traveling (away from home, away from local dealers, financing, etc), and mostly people are spending money on gifts for the family and such - they just don't have the cash on-hand to put down payments on cars.

All I'm saying is that the timing of the new Mustang release will affect Ford's Q4 differently than everyone else's. I think Ford's Q4 will be a shinier coin than the market average, that's all.

As for the market comment... The year the Camaro was killed the Mustang sold over 150k, and it was over 150k for several years prior too. I think all of us here know the REAL reasons why the car was 86'ed now, and the "market" was not the reason.

 

Yup, that's why the was in order...I agree on your other points as well.

The 500 and Freestyle will help sales as well. These are magnificent autos. Too bad the 300 and Magnum are stealing their thunder.

 

Job 1 isn't until September 7th so I don't see how Mustangs would be out in August??? Unless of course something changed that I didn't know about?

 

That's pretty good considering:

Total Ford Motor Company sales were down 13000 units to 799670.

BTW...I pulled that from another thread. I guess sales quantity is irrelevant when you make more $ per vehicle than you were before.

 

I don’t claim to be a financial expert whatsoever but I do believe that automotive production is not 1:1 related to the actual earnings. For example GM posted a 1.3 Billion earning but that is including a loss over some 100 Million from GM Europe as well as the automobile production. Also the figures for GM have other holdings/interests included as with Ford who have PAG and various other investments that affect earnings of Ford directly. I give you Hughes as an example for GM. I know Ford has a parts distribution chain or something but I’m not too familiar with FoMoCo. So please don’t quote me on that.. perhaps some of the resident members can add some insight into a breakup of the earnings but honestly it gets very confusing.

 

I like wagers...
you like wagers?

 

Well, I know there's going to be about 300 built between now and then...what did you hear that I didn't??? Did they say something at the 40th I didn't hear?

 

I am guessing preordering is going to count for sales.