According to Gunnar Herrmann, the head of Ford’s German business, the US auto maker could initiate production of electric vehicles in Germany after 2023, when the life cycle of the companys Fiesta model is expected to come to an end.
Ford shares closed higher for the fourth time in the past eight trading sessions on Tuesday. It has also been the sharpest daily surge since February 6th. The stock went up 2.67% ($0.29) to $11.15, after touching an intraday high at $11.18, or a price level not seen since March 21st ($11.19).
In the week ended on April 1st the shares of the global automotive company added 4.92% to their market value compared to a week ago, which marked the third gain out of four weeks. It has also been the best performance since the week ended on January 7th.
The stock has gained 0.63% so far during the current month, following a 4.43% surge in March. The latter has been the best monthly performance since September 2017.
For the entire past year, the shares of the NYSE-listed auto maker rose 2.97% following a 13.91% slump in 2016.
In an interview with Germanys Handelsblatt, Herrmann noted that approximately 15 months would be needed for the company to reorganize its facility in Cologne, North Rhine-Westphalia. However, he explained that any investment effort would be worthless in case electric vehicle sales failed to exceed 30 000-40 000 units annually.
The executive also suggested that the state of North Rhine-Westphalia could offer subsidies in order to facilitate the transition towards electrified vehicles.
According to Reuters, the new coalition government in Germany intends to reduce the tax burden on electric vehicle drivers and, through subsidies, support car-sharing in an attempt to accelerate a shift towards environmentally friendly means of transportation.
The government also intends to fund autonomous driving technology research as well as facilitate the foundation of battery cell production in European Unions largest economy, the same media reported.
Ford has already revealed plans to invest as much as $5 billion in electric vehicle technology by the year 2022 and to build its first fully electric car in Europe no later than 2020.
According to CNN Money, the 22 analysts, offering 12-month forecasts regarding Ford Motor Company’s stock price, have a median target of $13.00, with a high estimate of $15.00 and a low estimate of $8.00. The median estimate is a 16.59% surge compared to the closing price of $11.15 on April 3rd.
The same media also reported that 17 out of 24 surveyed investment analysts had rated Ford Motor Company’s stock as “Hold”, while 4 – as “Buy”. On the other hand, 2 analysts had recommended selling the stock.
Daily and Weekly Pivot Levels
With the help of the Camarilla calculation method, today’s levels of importance for Fords stock are presented as follows:
R1 – $11.18
R2 – $11.20
R3 (Range Resistance – Sell) – $11.23
R4 (Long Breakout) – $11.30
R5 (Breakout Target 1) – $11.39
R6 (Breakout Target 2) – $11.44
S1 – $11.12
S2 – $11.10
S3 (Range Support – Buy) – $11.07
S4 (Short Breakout) – $11.00
S5 (Breakout Target 1) – $10.91
S6 (Breakout Target 2) – $10.86
By using the traditional method of calculation, the weekly levels of importance for Ford Motor Company (F) are presented as follows:
Central Pivot Point – $10.96
R1 – $11.25
R2 – $11.41
R3 – $11.70
R4 – $11.98
S1 – $10.80
S2 – $10.51
S3 – $10.35
S4 – $10.18
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