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Ford Beats Tesla, Again
- jillesvangurp 7y agoFord is pretty far done shutting down their legacy business and their partnerships with VW and Rivian look promising. So, I imagine financially things look quite good now that they've gotten rid of large parts of their legacy business and associated dead weight. However, Tesla remains a big competitor and arguably their biggest challenger and Ford has just outsourced their key technology to meet that challenge to others effectively and is now heavily dependent on their partners. I'm not sure if that's such a good move long term which is what share values are usually about. Tesla continues to look like a high risk, high reward type investment. Model 3 has been controversial but it is definitely hurting their competitors now. Pickup Trucks (Ford's remaining core business) are next. The Rivian partnership looks smart. But also risky.
- tim333 7y agoThese kind of articles - that Ford beat Tesla because it's stock did better over the previous 12 months are not very meaningful. If you want to play with the numbers you could point out that Tesla is up over 10x since its IPO in 2010 while Ford is down slightly over the same period. The relative performance of stocks over short periods are kind of random.
- karmakaze 7y agoEssentially not news. It even says why: > Ford is beating [...] Tesla. On Wall Street, that is. > "A combination of a beat-down Ford bouncing back on trade deal optimism and concerns regarding Tesla's demand that recently pushed the stock lower have resulted in the current situation,” says Thibault.“However, both Ford and Tesla's performances at the moment stem from temporary hopes and concerns, so the current trend for both might not last. I've seen Ford as undervalued and Tesla as overvalued in the past year, so to me the market is correcting both in the right direction."