What happened
Shares of Ford Motor Company (F 6.10%) climbed above $25 on Thursday, a level they last hit in 2001. By the close of trading, the 118-year-old car and truck manufacturer's stock price was up 2.3% after rising as much as 5.7% earlier in the day.
So what
Ford's share price has soared 155% over the past year, according to data from YCharts. Investors have applauded the automaker's growth strategy. Jim Farley, who became CEO on Oct. 1, 2020, has placed electric vehicles (EVs) at the center of the company's expansion plans.
Battery-powered versions of Ford's popular F-150 pickup truck and Mustang sports car have met with an exceptional response from consumers. Demand has been so strong that Ford recently announced it would double production of its F-150 Lightning to 150,000 trucks per year.
Ford's F-150 Lightning Pro. Image source: Ford Motor Company.
Like investors, Wall Street has grown more bullish on Ford's prospects in recent weeks. On Monday, Benchmark analyst Mike Ward boosted his price forecast for Ford's stock from $24 to $29, or roughly 16% above its current price.
Ward believes Ford's product lineup is the best it's been in decades. He also noted the company's cash-rich balance sheet, which should help to lessen the risks for investors.
Ward sees Ford producing record profits, fueled by strong growth in the U.S. and international markets.
Now what
Farley has done an admirable job of positioning the centenarian auto giant for an electrified future. If he and his team can deliver on their ambitious EV-focused growth targets, Ford's stock should continue to hit new highs in the years ahead.
