Ford Motor Company (NYSE: F) is triumphant because it received an overwhelming response for its newly designed all-electric F-150 lightning truck with 70,000 reservations. The customers need a refundable deposit of $100 to reserve Ford F-150 electric truck.
Launch of all-electric F-150 in the following spring
It shows the confidence in the gas-powered F-150, the best-selling automobile in the US. The company will introduce its all-electric F-150 in the US next spring. According to Ford, electric vehicles account for 40% of all vehicles worldwide.
Spends $8 billion
Ford will spend $8 billion to buy batteries and other parts for its electric vehicles. The total spending on its electric fleet would be over $30 billion in the next four years.
Ford fixed $40,000 for the base model of all-electric F-150 and $90,474 for a platinum-limited version.
What is the best choice for investors: General Motors or Ford?
On May 26, 2021, Ford announced its plans to invest $30 billion to ramp up its all-electric fleet to generate 40% of the Electric Vehicle sales by 2030. General Motors Company (NYSE: GM) targeted all-electric by 2035.
Ford demonstrated its new F-150 Raptor in February 2021. It expects to feature 3.5L EcoBoost V6 High-Output to deliver 450 HP. The new vehicle will have a maximum towing of 8,200 pounds.
Investors may be asking themselves to favor which stock after the recent announcement of Ford to ramp investments in the all-electric fleet. The stock of General Motors is underperforming Ford’s stock QoQ and YoY so far. In a chat with CNBC, two traders preferred Ford over General Motors to park their funds.
Chantico Global’s CEO and Lido Advisors’ chief market strategist, Gina Sanchez, said Ford is jubilant with its sales figures. Ford’s revenues and earnings have surpassed Wall Street’s estimates though it faces a chip shortage. However, the company expects to see the impact of chip shortage in Q2 2021.
Sanchez said Ford received a massive response for its newly designed all-electric F-150 truck. According to Sanchez, Mustang Mach-E is the best muscle car that everyone prefers.
In an interview with Trading Nation of CNBC, Miller Tabak’s Chief Market Strategist, Matt Maley, said Ford’s stock is up by 58% on the chart as of today this year. General Motors stock expects to recover soon.
