In today's video, analysts Brendan Byrnes and Austin Smith take a look at Ford's deceptively low price-to-earnings ratio. Brendan highlights what it is that's driving this ratio so low, and why investors should be skeptical whenever they see "Ford trading for a P/E of two." That doesn't mean the company isn't cheap, though, and Brendan still believes the company is trading at attractive multiples.
Yet, as cheap as this company is, many investors are left wondering, what's going on with Ford's stock price? The company is highly profitable, has regained the coveted investment grade status, and now pays a solid dividend. But it's stock price has been lagging over the past year, and Ford now trades at an insanely cheap six times forward earnings. Is Ford's stock set to soar, or are there hidden risks holding the stock back? To answer this question, one of The Motley Fool's top equity analysts has created an in-depth premium research report that ultimately answers the one big question: "Is Ford a Buy Today?" Simply click here to access this report that every current or potential Ford investor needs to see.
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.