Ford Stock Dividend 2022: Ford CEO convinces to go full EV. More dividends ahead?

Ford Stock Dividend 2022: Ford CEO convinces to go full EV. More dividends ahead?
Ford is investing $22 billion in electrification through 2025 as part of its plan to lead electrification in areas of strength. The company is electrifying its most iconic products – the Mustang, F-150 and Transit – with many more to come in the years ahead. In addition to offering zero-emissions versions of its most popular vehicles, Ford is harnessing electrification to deliver more of what customers love about them: Performance, capability and productivity.
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FORD STOCK DIVIDEND 2022: ANALYSING THE SCOPE OF FORD MOTOR CO. AS A DIVIDEND STOCK IN 2022.

FORD STOCK DIVIDEND 2022: FORD AS A DIVIDEND PAYING STOCK

Dividends have always been an important source of income to many shareholders. At the same time, the soundness of the business is essential to maintain those dividends. Ford stock has been recognized as regular dividend-paying stock and it had been able to grow its dividends consistently before the pandemic hit. Over the last decade, the automobile company has raised its dividend by around 7% on average each year. 

Recently, the company resumed the payment of dividends again. Ford paid out 0.03% of its FCF as dividends last year which is comparatively lower than the other dividend-paying stocks. Moreover, the company EPS has fallen around 17% per year over the last five years and, since dividends are disbursed from the company’s earnings, a sharp decline in earnings presents the future sustainability of the dividend in a negative light.

DIVIDEND YIELD
1.94%
ANNUAL DIVIDEND
$0.4
P/E RATIO
4.05

FORD STOCK DIVIDEND 2022: RESUMPTION OF QUARTERLY DIVIDEND

After declaring its third-quarter financial reports at the end of October last year, Ford announced that its executive board had agreed to resume a regular quarterly dividend from the fourth quarter. Since the company had suspended its quarterly dividend in March 2020 to curb costs in the wake of the pandemic, it is the second instance when Ford would be giving dividends to its shareholders.

Ford declared the first-quarter regular dividend of $0.10 per share for its outstanding common stock on the 10th of the previous month, which would be payable on March 1st to the shareholders recorded as of the closing on January 31. The new amount is two-thirds of the previous $0.15 quarterly dividend discontinued in 2020. In 2021, Ford was the company that observed the highest-growth automobile segment, though the stock has cooled down over the past few weeks

After the company announced the resumption of the dividend, the stocks of Ford has witnessed substantial growth from their prior level. The move has also benefited shareholders who have been very patient with the company and show management’s commitment to its investors.

FORD STOCK DIVIDEND 2022: DIVIDEND HISTORY

EX. DATE
TYPE
AMOUNT
DECLARATION DATE
RECORD DATE
PAYMENT DATE
01/28/2022
CASH
$0.10
01/10/2022
01/31/2022
03/01/2022
11/18/2021
CASH
$0.10
10/27/2021
11/19/2021
12/01/2021
01/29/2020
CASH
$0.15
01/08/2020
01/30/2020
03/02/2020
10/21/2019
CASH
$0.15
10/10/2019
10/22/2019
12/02/2019
07/22/2019
CASH
$0.15
07/11/2019
07/23/2019
09/03/2019
04/23/2019
CASH
$0.15
04/08/2019
04/24/2019
06/03/2019
01/30/2019
CASH
$0.15
01/16/2019
01/31/2019
03/01/2019
10/22/2018
CASH
$0.15
10/11/2018
10/23/2018
12/03/2018
07/20/2018
CASH
$0.15
07/12/2018
07/23/2018
09/04/2018
04/19/2018
CASH
$0.15
04/10/2018
04/20/2018
06/01/2018
01/29/2018
CASH
$0.28
01/16/2018
01/30/2018
03/01/2018
10/20/2017
CASH
$0.15
10/12/2017
10/23/2017
12/01/2017
07/20/2017
CASH
$0.15
07/14/2017
07/24/2017
09/01/2017
04/18/2017
CASH
$0.15
04/10/2017
04/20/2017
06/01/2017
01/18/2017
CASH
$0.20
01/11/2017
01/20/2017
03/01/2017
10/25/2016
CASH
$0.15
10/13/2016
10/27/2016
12/01/2016
07/26/2016
CASH
$0.15
07/14/2016
07/28/2016
09/01/2016
04/27/2016
CASH
$0.15
04/08/2016
04/29/2016
06/01/2016
01/27/2016
CASH
$0.55
01/14/2016
01/29/2016
03/01/2016
10/28/2015
CASH
$0.15
10/08/2015
10/30/2015
12/01/2015
07/29/2015
CASH
$0.15
07/09/2015
07/31/2015
09/01/2015
04/29/2015
CASH
$0.15
04/10/2015
05/01/2015
06/01/2015
01/28/2015
CASH
$0.15
01/08/2015
01/30/2015
03/02/2015
10/29/2014
CASH
$0.125
10/09/2014
10/31/2014
12/01/2014
07/30/2014
CASH
$0.125
07/10/2014
08/01/2014
09/02/2014
04/30/2014
CASH
$0.125
04/10/2014
05/02/2014
06/02/2014
01/29/2014
CASH
$0.125
01/09/2014
01/31/2014
03/03/2014
10/30/2013
CASH
$0.10
10/10/2013
11/01/2013
12/02/2013
07/31/2013
CASH
$0.10
07/11/2013
08/02/2013
09/03/2013

FORD STOCK DIVIDEND 2022: Q4 RESULTS

Ford Motor Co. declared its Q4 results on Thursday, Feb, 3rd, which came short of analysts’ estimates of around 45 cents per share. The analyst’s expectations of 45 cents were based on the adjusted equity per share of $41.2 billion in sales. The company said that the supply constraints made it difficult to meet strong demand. After the results were declared, the shares of the company were trading down by 6.0% in the post-market hours.

The automobile company recorded $37.7 B in sales for the fourth quarter, which is a 5% increase from the previous year. Also, Ford reported $12.30 B in earnings accounting for $3.03 per share. It observed a massive increase from a loss of $2.80 B in 2021 which was $.70 per share. After the earnings were readjusted for the nonrecurring items, the earning per share stood at 26 cents per share. Lower than expected profits in the North American region and a pretax loss in Europe are cited to be the major cause of this underperformance. But despite the recent ongoing chip concerns, the company provided record guidance for 2022, which certainly puts the company in a positive light.

ALSO READ: Ford Stock Forecast

ALSO READ: Tesla Stock Forecast 2022

FORD STOCK DIVIDEND 2022: ANALYSTS’ TAKE 

Prior to Ford’s earnings release, most of the Wall Street analysts demoted the shares of the company. RBC Capital Markets analyst quoted that it would be more challenging for the shares after the substantial run-up last year. Jefferies analyst too downgraded the stock in the previous month based on similar ground. According to average analyst ratings compiled by FactSet, Ford is currently rated as overvalued with a price target of $22.62 a share. Much of Wall Street’s focus for Ford, like other automakers, is high on the company’s guidance for 2022. 

Ford, along with the other automakers, was forced to shut down its plants and drained vehicle inventories due to the lack of chips. The automobile company continues to manage through a global shortage of semiconductor chips, which some experts don’t expect to return to normal levels until the end of 2022, if not the next year. Semiconductor shortages related to the pandemic are likely to result in a hit of more than 10% vehicle wholesale volumes in the current quarter. 

FORD STOCK DIVIDEND 2022: LATEST VIDEOS

FORD STOCK DIVIDEND 2022: OUTLOOK FOR 2022

Ford’s plans in its electric vehicle segmentation could surprise investors in 2022. Over the span of the coming decade, Ford has been reported to be expending an additional $10B-$20B on converting its existing gasoline-powered car factories worldwide into electric-vehicle production. Counting another $10 billion to $20 billion over the next decade wouldn’t be absurd given automakers across the sphere are hocking billions of dollars for such measures through 2025.

For the financial year 2022, Ford forecasts its adjusted EBIT to fall in the range of $11.5 B to $12.5 B, implying growth of up to 25% compared from the last year, whereas the adjusted free cash flow is expected to stand somewhere between $5.5 B and $6.5 B, suggesting a jump from $4.6 B observed in 202. The company also expects to achieve a global production capacity of record, high-volume battery electric vehicles of at least 600,000 by 2023. 

First Principle Investor, Not CFA on Twitter: “The chart speaks itself 😏$TSLA $GM $FNote: GM’s Auto FCFs exclude dividends from GM Financials ($3.5B (2021); $800M (2020); & $403M (2019)), and include the cash burns of Cruise https://t.co/QukC44x62S pic.twitter.com/kk8w78ZV2j / Twitter”

The chart speaks itself 😏$TSLA $GM $FNote: GM’s Auto FCFs exclude dividends from GM Financials ($3.5B (2021); $800M (2020); & $403M (2019)), and include the cash burns of Cruise https://t.co/QukC44x62S pic.twitter.com/kk8w78ZV2j

FORD STOCK DIVIDEND 2022: LATEST NEWS

Ford’s CEO just made a convincing case to break his company up and go full EV

Ford stock tumbles to 3-month low as light volumes, profit miss spook Wall Street

-Pratik Kaundilya

Note: Crowdwisdom360 collates Predictions and data from all over the net and has no in-house view on the likely trends in the Stocks or Crypto Coins. Please consult a registered investment advisor to guide you on your financial decisions.

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