OT: Ford Shareholder Meeting and Stock Price
At today's Ford Shareholder's meeting:
"We had a very good first quarter last year and our stock was headed in the right direction," said executive chairman Bill Ford, citing the botched Explorer SUV launch in 2019 and warranty issues as factors that "knocked us back." Now, "coming out of COVID, it really is all about performance and executing on our plan,"
20 years ago, on 5/19/2000 - Ford's stock price was $30.57. 10 years ago, on 5/21/2010 - it had plummeted to $11.26. 3 months ago, on 2/14/20 - pre-Covid and with the rest of market doing great - Ford stock was down to $8.10. Today, as of this post - the stock price is at $4.83.
In 20 years - it has dropped approx. (84%).
I have never seen such putrid ownership and management of a company. Covid has nothing to do with its failure. Henry Ford would be ashamed of how his family has run his amazing company into the ground.
As for stock tumbles, GE is one of the most frustrating. When I worked there 20 years ago, the stock price got up to about $60 (after a recent 3-for-1 split). A year later, Jack Welch retired. And now the stock price is $5.68. What a painful fall for such a historically-performing company.
I now understand the frustrating part you mention. I previously never understood why these so called name brand stocks underperform so much now these days.
… and then I became a Big 4 Advisory consultant and get to see these firms from the inside out.
The picture ain't pretty. More politicians than leaders, sycophants under the clueless "leaders", cults of personality, no vision, strategy is just a buzzword, and 1980s and 90s frameworks rule the day.
Then every now and again I get to go to California and I just love my Bay Area clients. Executives there may wear jeans and hoodies but they are better at their jobs then those wearing suits and being groomed the old fashioned way.
My large underperforming company has a severe case of "the emperor has no clothes". No matter what dumbshit idea comes from above it it never questioned. There is no discourse. Our culture is broken. I council my kids to really look at company culture when contemplating job offers.
We have a key executive who was fined six figures by the SEC (never admitted wrongdoing) many many years ago for insider trading - not insider trading related to my company. He continues to move up the ladder despite his obviously challenged ethics, and is widely despised by the rank and file.
Our execs are "hip" by wearing sport jackets over their jeans.
Years ago I worked for Tom Monahan's Domino's before he sold. If you weren't a former pizza maker, police/sheriff, or football player you did not make the inner circle. We raised a lot in inbred ideas at that time.
We have a key executive who was fined six figures by the SEC (never admitted wrongdoing) many many years ago for insider trading
+1
They don't admit wrongdoing because in their heart of hearts they don't think they did anything wrong. Their bullshit is so all encompassing that lies are reality to those people. I'd wager that exec could pass a lie detector test too.
Nothing (sort of) to do with this directly but way back in the day I went out a few times with Lee Iacocca' daughter Kathy. Lee, if you remember (or watched Ford vs Ferrari) was a key executive at Ford before leaving to lead Chrysler's resurgence in the late 70's.
The one thing I remember most about that short-lived romance (besides how sad my dad was when it ended) was the after-party they hosted after our senior prom in 1977. I went to Cranbrook and their house at the time was about two driveways down Lone Pine from the main school entrance and the home was amazing.
My near brush with greatness.
Oh, and Lee had two daughters and no sons at the time. Oldest daughter was named Kathy. Her much younger sister's name? Lea.
I think he was hoping for a boy.
Banging Lee Iacocca’s daughter......Nice!
Never said that and for a good reason.
It didn't happen.
2 + 2 does not = 456
I enjoyed the story and you being a gentleman.
Ok Clarence. I bet your parents have a real good marriage.
FWIW I so wanted to comment in WDs "was your high school football team any good" thread yesterday but kept getting delayed until there were like 200 plus comments.
I was going to say no, we were beyond horrible but our hockey team kicked ass.
This was the proper response
I'd rate her a 3 out of 10
Like a lot of y'all out there, my family grew up as a 'Ford Family'. Grandfather worked at Ford, both on the assembly line and then a white collar job later in his career, for his whole life. My mom won a scholarship from Ford for her entire college.
No one in our family will drive Fords anymore. The last several purchases have been just crap and more trouble than they were worth. Pretty much just stick with Toyota and Honda now.
The last 10 years or so Ford got away from building quality vehicles to just simply building vehicles. The F150 had a few problems but being their best seller they tend to deal with the quality issues that come up pretty effectively...unlike the rest of the stuff they build.
I don't know if it's lack of good engineers, taking short cuts in testing, taking cost out of cars using inferior components or wtf but the Taurus I bought a few years ago has been nothing but problems.
Bought my wife an RX350 and it drives like an appliance.
Vehicles are just too damn expensive now and you have to buy a quality car otherwise you'll get eaten alive in repairs.
sadly i think buying cars of any brand is a crap shoot. i have always been a ford owner....i have bought 10 new fords in my life and collectively i had them in fewer times for warranty work than the one honda ive ever owned...the only blown motor of any new car ive ever experienced was grenading the 3.5 in my pilot. honda engines are supposed to last forever. to hondas credit they rebuilt it under warranty even though it had 62k on it. it was however unsettling as i was also told the engine lubrication system was a poor design and they dont have a fix for it...basically telling me dont hold on to it forever. ive had 2 f150s and 3 mustangs and an explorer that never required any warramty work. that explorer is 14 years old now and have done nothing to it but 2 coil packs and one.front bearing assembly...v8 awd and cant kill it...
It's kind of like playing the lottery. In the last 20 years, you're statistically more likely to get a quality car with few issues from Toyota than you are from GM or Ford. Doesn't mean all Toyota's are going to be good, and doesn't mean all GM or Ford will be bad. It's just about playing the odds based on recent track record.
we have 3 one-ton fords on the farm and they are all good rigs. if they go under, it'd be a bummer.
Their trucks have a pretty good track record. If I was in the market for a truck I'd definitely consider a Ford.
My daughters CRV uses about 1 quart oil per 1000 miles. A common Honda issue.
The only brand I have owned that I've had repeated problems with are Chrysler/Dodge/Jeep - and sadly I really like the looks of some of the Jeep vehicles - but never again.
I do think the Japanese quality advantage mystique is really a legacy from days past and not as valid as it one was.
It's likely the VTC actuator is the problem if it's a 2.3L engine. There has been a service bulletin out on it.
Not sure what engine it is but they will not do anything about it. My sister in law has a slightly newer CRV with the same problem. I think you have to be consuming more than 1 quart for them to address it.
What year was your Pilot? We just had to replace a cylinder in our 2013 and you've got me wondering about the future.
Yeah, but at least they don’t have their name on a stadium where the most pathetic franchise in NFL history plays.......Oh, wait.
Bill Ford is Dave Brandon's brother from another mother.
Unfortunately for FMC there isn’t going to be a Patrick Doyle to come in and clean up Bill Ford’s mess, like he had to at Domino’s after Brandon ran it into the ground.
Bill Ford Jr. is a much nicer guy. He skates with Ford employees and grills with Michigan alums as a regular guy. He certainly means well if execution falls short.
I knew Ford was in serious trouble when, as their stock price and vehicle quality continued to plummet, all they could do is crow over and over “Well, at least we didn’t take any bailout money like GM and Chrysler did.”
I'm from a Ford family, and I'm upset they got rid of the Focus ST, but, this is a sports blog, not a Wendy's.
What is this "sports" thing you mentioned?
yeah wait what is a "sports"?
Doesn't help when you launch an iconic car like the RS... and have the wrong damn headgasket in a greater portion of the cars!
WHOOOPS!
The RS was an amazing machine, owned two myself, but some of their design decisions on it were piss poor. Also wondering what in the world they're thinking by discontinuing a greater portion of some of their most successful vehicles.
It's like they're intentionally dick punching themselves.
Ford's performance has been bad, but not quite as bad as you're making it out to be. You're ignoring a stock split as well as the cash dividends that were paid over much of that period. The stock split was apparently about 1.6:1, so the adjusted per-share price paid would be about $19.10. And, according to the Ford shareholder website, they've paid out a total of $10.65 in dividends since May 19, 2000. (And, that's with no dividends listed for about a six year period from 2006 to 2012; I'm assuming their dividend was suspended).
Now, if you reinvested your dividends, as most people do, you'd have lost a bit more, but if you took the dividends as cash and put it under a mattress, your original $19.10 investment would now be worth $15.48 (before taxes). Not a great return by any stretch, but not an 84% loss of value.
The family also "stole" stocks from the general public with the advent of preferred stock over common stock with that split. The family hasn't lost any money.
This is one of the main reasons I hold on to my ford stock. they actually currently pay one of the higher dividend rates of any other major company that I know.
except they suspended the dividend
...and won't be coming back any time soon. Problem with Ford is that they didn't go bankrupt because the Ford family would lose all of their money. Ford has way too much legacy cost that GM and FCA don't.
You forgot about another organization the Ford Family owns when talking about their legacy.
Greenfield Village?
I don’t know, I’ve always felt it’s a well run place and I really enjoy going out there........
Oh, you mean THAT other organization.
Ford Foundation?
I've not much heard much about it other than ads on NPR, so they probably do something....
First of all, this is a stupid FUCK post with all of the Covid Shilt going on.
Second, why were you not complaining when Alan Mulally (sp) was running the ship?
Third, why are you complaining when Jim Hackett (M) is running the ship?
If you work for the company, and feel it is being run like shilt, then leave and find a better place to work.
If you are a stock holder, then sell and find a better company to invest in.
EVERY FUCKING COMPANY stock price goes in waves, and this is no different than any other company.
STFU!!!!!!!!!!!!!!
Disclosure: I have NO connection or hold any shares of/with the Ford Motor Company, but for you to come out and rip on a company that is going through another tough time is unbelievable, especially at this time of our life.
GO BLUE.
(P.S. I have no connection with GM or FCA, but wish them and all other companies the best of luck, b/c a lot of them will not survive. This is not good for the economy,but the economy will survive, albeit, at a lower rate.)
JMFO..........DICK
Jesus dude, lower your salt intake.
I was going to say "PCP"
a stupid FUCK post
What is that?
Hatter. Can you help me out here please?
I'm also curious, though I'm not googling "fuck post" on my work machine.
I only know about fuck lions.
You probably still own a mustang II and declare it the best mustang of all time.
Hmm... someone needs a nap.
I don't like Ford vehicles or the Ford family, but I can't quite root for the company's demise...
...Oh wait, yes I can.
In Ford's defense in early 2009 ford was trading at a $1, i remember this because at time i told everyone who would listen if i i d any money i would invest it all in ford. at the time I had no money. Over the early courses of last year they were making significant gains in there stock getting up up to around $13 a share. Over the course of the last couple of years they have made a lot of investments that may very well pay off when the word returns back to normal. Including partnering with vw and major investments in electrical vehicles. Building what I believe is already the largest network of electric chargers in the country. I think in the long run Ford will be fine.
They just partnered with the largest (level 2 slow charging) company which really doesn't mean much of anything. They haven't invested any money in charging infrastructure in the US.