Ford’s announcement on Wednesday about its plan on increasing their investment in Electric Vehicles to $30 billion and are targeting 40% EV sales by the year 2030, in comparison with GM’s target of going all electric by 2035, have investors thinking about who to side with.
Ford has seen a boost in its sales with its first quarter earnings and revenue pushing far beyond Wallstreet estimates.
Gina Sanchez, the founder and CEO of Chantico Global and chief market strategist at Lido Advisors, told CNBC’s ‘Trading Nation’ that Ford’s sales have been booming and “The announcement of the electric Ford F-150 was massive, but I think the Mustang Mach-E is also the ultimate clean muscle car. You have to think that they’ve got a lot of momentum going into this race.”
Traders are saying they will be sticking with the leader of this race, which in this case seems to be Ford with their stock up 58% year to date. Their shares were recorded with an increase of almost 9% after the close on Wednesday.
Whereas, General Motor’s shares came in at just over 2%.
Matt Maley, chief market strategist at Miller Tabak said that General Motors could maybe “outperform slightly on a very near-term basis” if they could manage to take advantage of Ford’s temporary overbought situation.
However, he also says that taken into consideration the long-term picture, it does look like Ford will come in ahead of GM.
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