Ford has ways to fund its EV push

Article Excerpt

FORD MOTOR CO. $20 is still a hold. The automaker (New York symbol F; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 3.9 billion; Market cap: $78.0 billion; Price-to-sales ratio: 0.6; Dividend yield: 2.0%; TSINetwork Rating: Extra Risk; www.ford.com) owns about 12% of electric-powered truck maker Rivian Automotive Inc (Nasdaq symbol RIVN), which recently completed an IPO. Ford can’t sell those shares, currently worth $6.9 billion, until May 2022. If it does then decide to sell, the proceeds would help fund its $11.5 billion plan to expand production of electric vehicles in 2022. However, the ongoing shortage of computer chips, which is forcing the company to temporarily close some of its plants, could slow the company’s sales and earnings growth. Ford Motor remains a hold. hold…