Ford initiated with Outperform on pending EV profits at Bernstein

Bernstein last night initiated coverage of Ford with an Outperform rating and $16 price target. The company continues to enjoy strong profits from its core markets and a policy driven investment cycle in the U.S., the analyst tells investors in a research note. The firm says that while Ford’s electric execution “looms large,” it sees a clear path to significant operating leverage and ultimately profits for the company’s EV unit. Bernstein sees 15% upside to consensus EBIT estimates in 2024, driven by a model refresh in the U.S., fewer losses in Model e and better cost control in the wider business.