Ford Pro Sees $1B Aluminum Tailwind After $600M Q2 Hit
F sits 45% above its 52-week low of $10.68.
Summary
Ford Pro's Q2 EBIT fell $600M YoY to $1.7B due to temporary aluminum supply constraints from Novelis, but the company expects a sharp reversal with a ~$1B net EBIT tailwind for the full year, heavily weighted to H2. The segment maintained a 9.7% margin on $17.8B revenue and held full-year EBIT guidance at $7B-$7.5B. This follows the May 4 report of an acute aluminum crisis, now quantified and with a clear recovery path. The projected H2 rebound suggests the worst of the supply disruption is priced in, and the maintained guidance signals confidence in the commercial vehicle business, which commands a 40% share of Class 1-7 U.S. sales.
At the time of this announcement, F was trading at $15.51 on NYSE in the Manufacturing sector, with a market capitalization of approximately $59.6B. The 52-week trading range was $10.68 to $17.78. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Dow Jones Newswires.