Barclays Reiterates an 'Overweight' on Ford (F); Path Now Paved for a Dividend
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Price: $14.85 -1.33%
Rating Summary:
9 Buy, 6 Hold, 1 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 11 | Down: 24 | New: 24
Rating Summary:
9 Buy, 6 Hold, 1 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 11 | Down: 24 | New: 24
Trade F Now!
Barclays reiterates an 'Overweight' on Ford (NYSE: F) price target of $15.00.
Barclays analyst says, "Contract ratification paves way for an $0.08 quarterly dividend. With the contract behind it, Ford is likely to consider instituting a regular dividend. We believe, based on comparables, Ford could likely pay a dividend for 2012 of $0.36, beginning with an $0.08 dividend in 1Q12 and 2Q12, ramping up to $0.10 per quarter in 2H12, then to $0.55 by 2015. We are firmer on the likely initial range than the initiation date, as Ford could announce a dividend as soon as 3Q11 results are released on October 26. Ford stock is currently trading at 7.2x our 2012E EPS of $1.60; as a dividend could provide a needed catalyst, we reiterate our rating."
(Barclays raises FY11 EPS estimate from $2.06 to $2.11)
For more ratings news on Ford click here and for the rating history of Ford click here.
Shares of Ford closed at $11.56 yesterday, with a 52 week range of $9.05-$18.97.
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Barclays analyst says, "Contract ratification paves way for an $0.08 quarterly dividend. With the contract behind it, Ford is likely to consider instituting a regular dividend. We believe, based on comparables, Ford could likely pay a dividend for 2012 of $0.36, beginning with an $0.08 dividend in 1Q12 and 2Q12, ramping up to $0.10 per quarter in 2H12, then to $0.55 by 2015. We are firmer on the likely initial range than the initiation date, as Ford could announce a dividend as soon as 3Q11 results are released on October 26. Ford stock is currently trading at 7.2x our 2012E EPS of $1.60; as a dividend could provide a needed catalyst, we reiterate our rating."
(Barclays raises FY11 EPS estimate from $2.06 to $2.11)
For more ratings news on Ford click here and for the rating history of Ford click here.
Shares of Ford closed at $11.56 yesterday, with a 52 week range of $9.05-$18.97.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
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