Ford Says It Will Deliver Eyes-Off Driving in 2028. The Market Prices Ford at 9 Times Forward Earnings.
The automaker put a date on autonomy, and its latest results raised guidance again. The stock's price barely acknowledges either.
Overview
Back in January, at the CES technology show, Ford Motor Company (NYSE: F) made one of the most specific promises in the auto industry: eyes-off, hands-free driving, road-ready in 2028. And not reserved for some six-figure priced luxury car. The system is slated for the company's new Universal Electric Vehicle platform, and the platform's first vehicle is a roughly $30,000 electric pickup due in 2027.
Then came Tuesday's second-quarter report, which lifted the company's full-year profit and cash flow guidance.
Details
These are some things to be excited about. Yet what exactly is the market paying for Ford's autonomy program at about 9 times forward earnings? As far as I can tell, almost nothing. And that may be an opportunity.
Source
Originally published at www.fool.com.