Rising Ford stock has taken the Dearborn-based automaker’s market cap above that of General Motors for the first time since 2016.
Ford closed the day yesterday with a market cap of $83 billion, surpassing GM’s market cap of $82.9 billion. This was the first time Ford’s market cap was higher than GM’s since September 14th, 2016, when the company had a market cap of $48.2 billion.
Ford’s stock price has more than doubled this year and is currently trading at 20-year highs on the back of large-scale investment into battery-electric vehicles. Ford also enjoys a valuable 12 percent stake in start-up automaker Rivian, which is now worth roughly $12 billion after Rivian’s hugely successful IPO in November. Rivian is more valuable than both GM and Ford with a market cap of $93.5 billion.
The Blue Oval’s stock has been on the rise since the appointment of CEO Jim Farley last August. Farley accelerated the automaker’s transition to EVs, overseeing the debut of the Ford F-150 Lightning electric pickup and the rollout of the Ford Mustang Mach-E crossover. The automaker has sold out of the first year of production slots for the F-150 Lightning and recently announced it would triple the production capacity for the Mach-E between now and 2023.
General Motors, to its credit, has also seen a positive reaction from Wall Street as it rolls out more EVs. GM stock is up 38.6 percent this year as of this writing, with investors reacting positively to the automaker’s plan to invest $35 billion in EVs and AVs between now and 2025. GM is also ahead of many competitors with regard to battery manufacturing thanks to its Ultium Cells joint venture with LG, which is currently building two new battery plants in Ohio and Tennessee.
We’ll continue to keep an eye on both Ford and GM stock prices, so be sure to subscribe to GM Authority for more GM investment news, GM electric vehicles news and around-the-clock General Motors news coverage.
Comments
Ford has had a great year, and both in marketing and product hit some home runs. Bronco, Maverick, Mach E, and Lightning have been very well received by the market and investors. Ford also did not get hammered nearly as hard by chip shortages in Q3 2021, which sent GM Tumbling.
GM is about to hit their stride in 2022, as they start introducing their mass market EV’s and their battery supply chain starts to ramp up. GM revealing the Silverado E, and Equinox E will be huge catalysts for the stock in January, then they launch the refreshed Silverado and Sierra, which are going to sell well, and I think in the spring we will see the refreshed Silverado Sierra HD’s and talk about the refreshed Duramax, which will be interesting.
Donavan: What is the talk on the refreshed Duramax that you have commented on? Have not received / heard anything to date on this.
Are you pumping the stock?
You should dump unless you think it’s cool to be a bag holder like the WSB GME boys.
The V8 Duramax will get a substantial upgrade in HP and Torque and be class leading again. It will be unveiled sometime in the next few months.
Class leading for how long? Don’t the big 3 play this game? Chevy will take the lead for a month then ram will beat them by 10 or 20 hp then they put a commercial out saying this then a month later ford beats them. It doesn’t have to be in that order either.
True, the customer is the winner… My current Duramax L5P and 10 speed does not lack power that I have ever noticed, but nothing wrong with having 10% or so more on tap. I predict the 2023 Duramax will have HP around the magical 500, and torque around 1100 lb ft. Ford will upgrade the Powerstroke too, but it needs emissions strategy changes first, GM’s emissions strategy is more robust as we have found in testing when turning the current engines up.
Donovan: Engine life and durability for a 3.0 diesel aluminum block and head engine at 500 hp and 1,100 pounds of torque. ??? What grade of Cannabis are you smoking? Must be the good stuff. Clessie Cummins, RIP, is wondering about your comment from his grave in amazement.
Do you know what a Duramax L5P is? idiot! It is a 6.6L iron block, aluminum head engine, that is capable in stock form of producing nearly double the power GM rates it at reliably . Follow Banks Power “Killing a Duramax” series. There is lots of safety margin in the L5P, but the new one for 2023 will also use a new block and head.
The 3L diesel, is for half ton pickups which are essentially oversize luxury cars, and never intended for the duty cycles of the 6.6L in HD pickups
That would be nice I hope you are right.
And don’t forget the Lyriq and Hummer EV’s
Exactly as I predicted last year.
Maybe gm should do less bragging and build actual product.
Ford stole the 2021 SEMA show. I could see their market cap going over the top just from this. Ford’s marketing, displays, signage and drifting at the SEMA show rocked. GM’s display was carpet and lights. Meh at best.
Ford’s displays and drifting were mobbed. GM’s display was easy walk around.
I don’t think you understand Ford goes all out and willingly showcases Aftermarket companies. Whereas, GM brings completely near bland “midnight” “carrhart” “hot wheels” stickered trucks/cars. They do bring out oddballs like a EVd Chevy Apache???what why? Or their COPO Camaro that again serves no real world environment.
Hell they introduced a Supercharged LT4 Silverado, but NEVER BUILT IT. GM needs to open to aftermarket showcases. The Beast, that should be built but why neglect the tried trucks??????
Yet another solid accomplishment for Mary. Need to give her another award and an increased bonus.
Ford started paying dividends. Don’t forget that.
The Ford family, which has 40% voting power, wants their dough.
You can’t vote to have the company pay dividends it’s only something the BODs vote, of which only 40% are company selected the 60% are public shareholders voting.
If the company wants to pay dividends it’s the Preferred Shareholders (stock price doesn’t move, no voting rights) that get paid FIRST. IF AND ONLY IF the Preferred Shareholders (their Dividend is a set % of the stock par value, which is sad GM can’t even pay that, for all we know they did) get their dividends paid then the COMMON Stockholders get paid.
With all that said, GM is most likely saving Cash to pay dividends and when they come back I imagine the dividends will be up in the .70 quarterly. Ford going to $20 a share is crazy considering they only were at $9. GM should do a stock split 2:1 (Stockholders can vote) to lower their price to $30ish a share to try to attract more investors.
Ford family won their position by lucking out in the Ovarian lottery. Fortunately the family has hired stellar top bosses starting with the Whiz kids in mid century. Ioccoca was an exceptional kingpin. Only problem was that Lee flew too close to Hank the Duce. Hank had an ego as big as Texas.
Like many GM Authority articles miss the boat, by the time this one was posted GM’s market cap had gone back above Ford’s where it remains currently.
Donavan: The stock market is partially a momentum game based on algorithms that measure purchase and sale volume transaction activity, and auto execute trades. A large group of investors and hedge funders called ” Quants” play this game. Bernie Madoff was a mega player in this class. Only the market trended South for him and he couldn’t cover his bets winding up with egg all over his face and shxt in his pants.
Just look at the insane market value of Tesla stock. Buffet wouldn’t touch it with heavy insulated welders gloves. GM stock will roller coaster throughout 2022. Fasten your seat belt.
Thanks, If I need advise from you on the stock market, I will ask for it…
I agree with you Tesla market value is high and a bubble, but I have learned it does not pay to bet against momentum, and with a new class of investors that entered the market in the last decade, you can make a lot of money riding their coat tails.
As for Buffett, he has a pretty big GM position, just under 5% of the total shares.
I prefer GM to roller coaster in 2022, thats how I make money, I always trim my positions when they make new highs, and then add back as they correct. Maybe that is why I like GM so much, it’s been mostly predictable in 2020 and 2021. GM always tends to oversell on bad news, and then springs back as the news gets better. Like I have said repeatedly, I think GM will go over $68 sometime between now and January 15th 2022. I also think $100 is very realistic sometime in 2022…
Triggered much?
My boy big donnie said he don’t need no advice.
Thanks, If I need advise from you on the stock market, I will ask for it…
With the delivery of 30 EV models by 2025 GM will make their presents known.
So far most investment has been on promise not product.
Imagine how many years it will take Tesla to intro 30 new vehicles? They are still struggling with the Y, the truck and the semi. Oh ya the sports car we have only seen shot yo space so far.
The deal here is the transformation is not a race but a marathon. The goal is to get the prices down, charge times faster and get the quality right. If an automaker muffs the new products up it will take years to undo the image if it even gets undone.
Next week GM will show how far ahead they are on the trucks over Ford.
The Key for the Ford / Gm transition to EV’s is perception, Farley and Levine have done a great job at Ford and built a perception that Ford is leading, GM on the other hand has not done as well with market perception, and then the brutal Bolt recall, and at the same moment GM was walloped with a chip crunch much worse than Ford due to their main supplier in Malaysia having a COVID outbreak. During that time I was predicting GM’s units built by tracking Kalitta Airlines 747 charter flights to Malaysia for parts.
Where we are for real now, LG took responsibility for the Bolt, so while it’s embarrassing for GM, financially means little, The Malaysia factory is back up to speed, and the flights now are more routine cargo flights and not solely charter flights. ON EV’s GM is far ahead building infrastructure (battery and EV drivetrain) having Lordstown nearing completion, and Spring Hill Ultium Plant is steel framing. Ford has not even broken ground on their battery infrastructure, and likely will not before spring 2022. I see Ford being 2-3 years behind GM on battery infrastructure, and there is no short cut around this, Battery infrastructure takes time to build, and every supplier globally has 110% of their production spoken for. You simply cannot buy more battery cells even if you want or need them.
Your comments on Tesla struggling with the Y just show your lack of knowledge, and understanding. Model Y is the best selling EV globally right now (Tesla Model 3 is number 2). Put Tesla in perspective, Tesla sold less than 500K cars in 2020, and will sell 900K in 2021. Thats 80% YOY growth in a year the global auto industry is down. Of those 900K 2021 sales, about 400K are Model Y, thats not really a struggle in my book. Tesla sold 900K cars from only 2 plants in 2021, and they will have 4 plants in 2022, Model Y alone will go past 500K in 2022, and don’t forget that those sell for an average of $60K each, Number 1 revenue producing car globally.
We are early in the EV game and through it’s Rivian stock Ford has a more cost early electrification strategy. It’s not flashy, Ford hasn’t announced a series of platforms like Stellantis or GM, but minimal investment iwith maximum results is good since the US lacks a national EV charging infrastructure.
GM also has a significant problem due to an over reliance on China for volume considering a war regarding Taiwan is quite likely and Chinese economic nationalism will spike if any military/tariff event occurs. Th iui s would make GM mostly an Americas brand.
China is not going to war with Taiwan, that is just nonsense. China likes to rattle zippers, nothing more.
GM’s reliance on China is small, profit low. See currently GM management does not care if they are the global leader in car sales or tenth. They want to be profitable, as their top priority so they have left markets they do not make profits in and focus on products they make money on. Ford has done similar…
As for Fords investment in Rivian, that was a great investment but Rivian has a long long way to go and is currently building less then 500 cars a month.
Ford’s Lightning is a joke, it’s obsolete before delivering to a single customer. $90K for a truck with 280 mile range, no thanks…. Ford has about a week before things on the EV front are going to get “real”, GM is going to unveil the Silverado E, which is a generation ahead of the lightning, and Ford is also a generation behind in battery cost buying their batteries from a supplier rather then making their own. Let’s wait a week and see what happens, but I suspect Ford will see massive order cancellations for the lightning.
The US and China will not remain peaceful forever. The Sino-American Cold War is growing more icey.
GM would earn far smaller profits if China was not used for R&D & I’m suprised someone as bright as you doesn’t understand this. The General makes peanuts in China, sure, but China’s Pan Asian Design Center is responsible for a majority of GM’s non truck/truck-based line up whether we’re talking bones of US CUVs or global Boajun Nox. China amalgamates cost so that GM can earn pure profit elsewhere.
Slow selling brand like Cadillac and Buick need China because they would loose money if only sold in NAFTA zone. China is used for R&D much as Opel Russelheim was used by Lutz for handling all “future cars’ making it GM’s most important division.
GM, without China, can not survive as a high profit Americas-only OEM. Ford has Europe and before you say it looses money much of that us for tax purposes and, nonetheless, the region is still a R&D hub. GM needlessly gave up Opel, it makes money now, and in the process gave up the ultimate EV market.
Short sighted by GM not to ship over here their Cadillac CT6 PHEV from China.
OH MY GOSH, yes CT6 PHEV is such a seller, NOT! CT6 was a nice car, but not nice enough… Cheap interior parts and poor market strategy doomed it to be a loser.
I just hope GM does not make the same mistakes with the Lyriq…
As for USA and China relations, it is in neither nations best interest for a conflict, and both countries have too much to lose and almost nothing to gain. The USA likes to stir China, by constantly influencing in their region, but China is in no position to fight the USA, and likewise the USA cannot win a war against China. Its just like we were told about the Soviet Union that a first strike was imminent for decades, but history tells us neither side ever had a real plan to strike the other. Cold wars are propaganda fueled by the defense industry, and really should be ignored. We know from wiretapping intercepts that when the cold war was the hottest during NATO’s Able Archer operation the Soviet response to a perceived first strike by the USA, was to go hide their ballistic missile submarines and try to ride out a first strike. As I recall, that is not exactly the story we were told in school and media at the time.
GM is currently running the highest net margins in decades, and the crossover designs from China are not the profitable ones, GM makes its highest margins on full sized trucks and SUV’s followed by corvette, mid size trucks, then the largest crossovers, mid size and smaller crossovers, and cars built at Farifax, and Lansing GR make below average profits. Farifax, and LGR are next in line for EV changeover as they make so little profit currently.
GM is selling some products in Europe, and will be sending future EVs to Europe. Europe is not the ultimate EV market, the USA is, Europe already has a lot of good EV’s in their market and adoption is over 10% or more now, the USA with much larger addressable market is where the major EV growth potential is. By 2023 I figure GM will start get their fair share of the USA market. Right now, GM could not build any more cars even if there was demand for them (which there is massive pent up demand) as they simply do not have the parts.
Rivian has one truck. From reviews they are struggling with fit and finish. Also I expect Chevy will hold a price advantage with their new truck as they are going to have a full range for fleet or family.
Even with Rivian’s help Fords new EV is about 2 years behind per the date given on their next truck.
Stock prices are hard to call now as so many are speculating on the next big thing in tech. Automakers are playing it up as they want to be seen as tech companies not old school mfgs.
GM has already enjoyed a jump. But I expect more once the products start to roll out. If they do well and get good review may determine how much more it grows.
Same with GM introducing new tech and or selling or licensing to other mfgs.
There is a lot to happen and there is no one who knows the full results here as till it goes down. Execution of the product in how good it is and the quality of it will determine the winners.
Go read Motor Trends comments on selecting the Rivian truck of the year! Found it superior to Hummer which cost substantially more!
Motortrend found the Value lacking for the HummerEV, and it was more off road focused, go figure. Hummers are expensive and off road focused, The HummerEV is a real Hummer, and not intended to be a daily driver sport trucks, there will be SilveradoE and SierraE to compete favorably with the Rivian, an in many cases blow it away on value.
Donovan: I truly believe that full sized all electric pickups will be a big time flop. All this current popularity is novelty hipe. The Hummer EV will be popular on Sunset Blvd. asphalt. Not on Michigan or Fifth Avenue. Never in Toledo. Can you imagine a Hummer EV on a former Uranium trail in the Canyonlands of Moab, Utah? I think not. Hummer EV is another Arnold Swartzenegger novelty for Las Vegas Blvd.
BTW: I do enjoy your comments. My comments on the stock market are for the general readers. Market manipulation is rampant in today’s digital world just like MSM and Internet brainwashing plus election manipulation. The digital age we are now fully living in is truly a double edged sword.
At what point does the board give Barra her golden parachute and ask her to go away?
Well for the pending repairs, they need every cent they get.
Full Of Recall Decisions….
But not burning cars.
Because they don’t make cars anymore they burn F150s not that long ago….
You mean they don’t make ev that burn to the ground?
Lol, because the gas pickups do enough fireworks.
Strange what I just looked up said the Silverado has caught fire more then the f150. Are you sure it’s not because ford doesn’t make cheap crappy ev? I mean I guess if you wanna run a insurance scam then by a bolt right? You will get money for the car and your house when they burn to the ground.
Cheap?, I don’t see any Lincoln EVs. Besides Ford is chasing Tesla with their imposter Mustang.
Guesst that thing is not a Mustang it should be called the Pinto… Or some other Ford name maybe Falcon but not Mustang… The Cadillac is going to much better then this two plus when the Equinox EV come out you’ll have more room inside as well, that Mack E is a station wagon not a mustang!
Bolt = cheap crappy plastic burning ev. You are welcome for the tip. If you wanna commit suicide buy a bolt you can burn alive.
Keep getting dusted in a false Mustang 🐎
Dusted by what? A bolt that can’t charge to 100%? I guess the smoke from the bolt fire could make you slow down to where you would lose the race.
By a T-MY, the M/Es competitor. Why you would race a Bolt anyways?.
I don’t care how well Ford does I will never buy one. GM in my opinion is doing right taking their time to introduce EV technology instead of rushing it to market then having it recalled… Think of it as when horses went to cars over a 100 years ago yes there where cars in the very early 1900’s but people where afraid of the new technology I see history repeating itself again. I hate to say but the ICE engine in maxed out adding turbos lowers engine life besides I can’t wait to drive past a gas station.
Taking there time? How much time do they need considering the bolt fiasco.
As much time as is needed this new technology…And please stop comparing the Bolt to the Ultium Platform it’s a totally different machine different batteries, they can make any size vehicle from it, and amount of batteries and motors…. The Bolt is like a 1964 Mustang versus a Telsa or Cadillac EV. I love it when people have no idea what they are talking about garbage just comes forth my thy mouth if you like Ford so much then buy one of those F150s with electric motors and batteries bolted on to an existing truck with fancy lighting I will wait for the true Silverado EV that’s nothing like a ICE Silverado.
Yes everything is so much better because of the way they will package the batteries. Just keep drinking that EV Cool-Aid.
Rivian is great except for the God awful front crash test rating which is very poor… And where do you buy and one and have it serviced? My friend has a garage and he can’t even put an EV Telsa on his lift. This technology is going to come around but not overnight.
You just claimed they were taking there time, talking gm up but the bolt has been down for how long now? And just a reminder they have no other ev on the road now please stop shilling.
That $10 billion stock buy back was a great investment, right?
Patrick the Bolt was basically a rush job and put together as fast as possible… The new technology has been and is still being tested and I like Hawaiian Punch not Kool Aid thank you very much! You should stay stuck in the ICE stone age.
It’s funny that guys here praise the M/E roughly a couple of years on the market and it’s so the best thing in the world but Bolt on the market for 5 years, one recall not on GMs part and “derp, V8/rwd Bolt and we won’t have de problem”. IMO I don’t think the M/E is a bad vehicle but let’s not act like Bolt will be the only EV Chevy have, if anything only Nissan offer an EV within Bolt’s price range.
Guys aren’t praising anything I’m not an ev fan. The thing is whether you wanna admit this on here or not but the fires are a big a deal I don’t care who the manufacture is. It’s wild how people not saying you but it’s wild how people really try to down play that issue. I always say I would love for you to drive one of the bolts that caught fire then see the answer you would be talking.
Speaking of Bolt and EV fires what was a little kid doing in any car by themselves anyway? Yes the fires are a big deal but I will put it this way recalls in the past used to take years to reach the customer… Let’s not forget the 70’s Ford Pinto Exploding gas tank that Ford could have fixed but instead payed out in a court hearing they took the easy way out… Imagine your infant or toddler in the back of a used PINTO back in the day… instant boom 🤯 but Ford is the best there is right?
Pasquale: Give Ford a break. All automakers have safety and engineering skeletons in their closets. Let’s bury the distant past. Tit for tat to your example, what about the side mounted gasoline fuel tanks on the full sized Chevrolet and GMC pickups from a few decades back, or the all steel dashes on the vehicles of the fifties?
Ford has exceptional engineering these days as well as the other automakers. The huge army of product liability and accident attorneys such as Morgan & Morgan instill superb safety and product engineering and design.
Even Caterpillar and the various other equipment makers were lax on operator safety by not equipping their machines with roll over protective structures ( ROPS ) years ago.
I hate to see this forum as a badmouthing and bashing arena for the various automakers and their executives. Everbody is trying to be their best.