How Ford's Management Affects Its Stock

Brendan Byrnes, The Motley Fool
Updated

When evaluating a stock, one of the most important things to look at is the management team in place at the company. For Ford (NYS: F) , it all starts with CEO Alan Mulally. Mulally took out a $23 billion loan in 2006 before the credit markets dried up, which saved Ford from having to take bailout money or fall into bankruptcy. Mulally has also done a great job turning around the North American business and spearheading the "One Ford" plan to reduce costs by using common vehicle platforms. Ford recently announced that Mulally will be staying as CEO through at least 2014, which will give him time to groom new COO and likely successor, Mark Fields, for the top job. Check out the video below for more on Ford's leadership, and how it affects Ford's stock.

Ford has been performing incredibly well as a company over the past few years -- it's making good vehicles, is consistently profitable, recently reinstated its dividend, and has done a remarkable job paying down its debt. But Ford's stock still trades at a seemingly very cheap seven times forward earnings. Does this create an incredible buying opportunity, or are there hidden risks with the stock that investors need to know about? To answer that, one of our top equity analysts has compiled a premium research report with in-depth analysis on whether Ford is a buy right now, and why. Simply click here to get instant access to this premium report.

The article How Ford's Management Affects Its Stock originally appeared on Fool.com.

Brendan Byrnes owns shares of Ford and General Motors Company. The Motley Fool owns shares of Ford. Motley Fool newsletter services recommend Ford and General Motors Company. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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