USA Today: Don't Buy Ford Stock
USA Today' s financial markets repoter Matt Krantz gives Ford a Boxing Day black eye, warning his readers not to touch FoMoCo's stock with a proverbial ten foot pole. Krantz proffers his prognostication of doom based on four criteria. In the area of risk versus reward, the McPaper's market maven figures "you're taking twice the risk to get a shot at a smaller return." Looking at discounted cash flow, Krantz says if "you're looking for a bargain, you're not getting it with Ford at these prices." Based on the stock's current value compared to historic range, Ford is in the "sell" range, and "that's not good, either." Finally, Krantz rates Ford's overall financial health on a scale from 1 (healthy) to 5 (mortally wounded). The Blue Oval Boyz clock-in at… 4.3. Krantz leaves no words minced. "You can do much better… there's no reason to think Ford stock is worth taking a chance on yet." Incidentally, he also warns "General Motors' stock hasn't been much better" this year, in case you were considering an American automotive alternative.