Ford: shares drop on broker downgrade
(CercleFinance.com) - Ford shares fell on Wednesday after Morgan Stanley downgraded its rating on the US carmaker to "equal weight" from "overweight", saying that electric vehicles pose "both an opportunity and a threat".
"We think Ford has the sense of urgency on EVs, but the strategy is still not full clear to us", the broker said in a note, maintaining its nine-dollar target price for the share.
"We believe it can ultimately transition to EV's and can leverage strong fleet/commercial positions (F-150, Transit vans) but faces substantial headwinds on high margin ICE products that face de-adoption", it added.
Ford shares are currently down 4.5% on the New York Stock Exchange.
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