Shares in Ford (F) are up almost 25% this year. Toyota’s (TM) are down about 15%. GM (GM) is the share price champion, rising about 35% since January 1.
Ford does not deserve the big run. While GM has cut costs, has a better UAW deal, and has watched its sales increase in North America each of the last two months, Ford is missing the key component. Its sales have fallen by about 20% during the same period. And, that does not show any signs of abating.
Ford also lacks GM’s strong market position in China. GM runs neck-and-neck with VW in that huge market. Ford trailed by a large margin.
And GM has caught Ford in sales in another large market–India. According to CNN Money: GM’s market share in India has grown to 3.6 percent, topping American rival Ford for the first time."
GM is almost certainly out of the woods now. Ford is not even close.
Douglas A. McIntyre