Chip shortage hits F150s (and more)

[mds5917]

https://www.f150gen14.com/forum/thr...ut-certain-modules-due-to-chip-shortage.2481/

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[Nellman]

It isn't just F150s. F150s will be built but missing parts along with the Edge. Plants in Cologne, Germany and Louisville, Kentucky will be idled for the time being.

 

[Bronco4lyfe85]

 

[mds5917]

It isn't just F150s. F150s will be built but missing parts along with the Edge. Plants in Cologne, Germany and Louisville, Kentucky will be idled for the time being.

Indeed - sorry for not noting that... thanks for the clarification!

 

[Nellman]

Indeed - sorry for not noting that... thanks for the clarification!

You are good. If people don't read the article it is nice to know other vehicles are effected.

I hate to see this holding Ford stock.

 

[Carbon Bronco]

This is affecting heavy truck manufacturers now as well.

 

[Bronc-Itus]

 

[Newbie]

https://www.f150gen14.com/forum/thr...ut-certain-modules-due-to-chip-shortage.2481/

 

[Razorbak86]

You are good. If people don't read the article it is nice to know other vehicles are effected.

I hate to see this holding Ford stock.

The potential financial impact of this news was already announced with the Q4 results several weeks ago (2/4/21), so the market has already absorbed the news. Ford simply restated its previous guidance this week. The only potential price movement will be to the upside if the shortages are not as severe or don’t last as long as the guidance indicated (which was conservative). There is simply no way they will lose 10% to 20% of planned first-quarter production company-wide over this issue.

https://s23.q4cdn.com/799033206/files/doc_financials/2020/q4/Ford-4Q2020-Earnings-Press-Release.pdf

 

[Mattwings]

Almost every manufacturer is getting hit now. This could end up very problematic for the short term. Makes my 18 F150 worth a ton. I may buy it off lease and flip it now.

 

[Nellman]

The potential financial impact of this news was already announced with the Q4 results several weeks ago (2/4/21), so the market has already absorbed the news. Ford simply restated its previous guidance this week. The only potential price movement will be to the upside if the shortages are not as severe or don’t last as long as the guidance indicated (which was conservative). There is simply no way they will lose 10% to 20% of planned first-quarter production company-wide over this issue.

https://s23.q4cdn.com/799033206/files/doc_financials/2020/q4/Ford-4Q2020-Earnings-Press-Release.pdf

Normally I would agree with you, but the way the market has been who knows. I don't want Ford to become a Gamestop. I was more hoping for the dividend to be reinstated but this probably won't help that.

Thanks for the article though. I read others that touched on it.

 

[Razorbak86]

Normally I would agree with you, but the way the market has been who knows. I don't want Ford to become a Gamestop. I was more hoping for the dividend to be reinstated but this probably won't help that.

Thanks for the article though. I read others that touched on it.

I watch the news feed closely, because I have way more invested in F than I will ever spend on my Bronco.

Ford will provide an update on the semiconductor issue when it reports first-quarter 2021 financial results on April 28.

What’s really driving the share price right now is the new CEO (Farley) and the electric vehicle (EV) strategy and investment timeline.

There was a short-term dip early this week (which I bought) when the company announced a $2 billion convertible note sale. This frequently leads to widespread shorting, as convertible holders often short the stock to convert the debt to equity at a lower price. However, the pricing was announced yesterday, and the initial conversion price was pegged at $17.49 per share ($5.00 above the current price), so the short pressure quickly dissolved. Doh!

 

[Razorbak86]

What’s really driving the share price right now is the new CEO (Farley) and the electric vehicle (EV) strategy and investment timeline.

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