Good News for Ford and GM in Europe

By John Rosevear – May 30, 2013 at 8:00PM

NYSE: F

Ford Motor Company

Market Cap

$49B

Today's Change

(-0.48%) -$0.06

Current Price

$12.43

Price as of May 3, 2024, 4:00 p.m. ET

Ford and GM have both lost billions in Europe in recent times, as new-car sales have crashed. But now, things may be stabilizing -- and that would be great news for both Detroit giants.

Ford (F -0.48%) and General Motors (GM 0.43%) have had a terrible time in Europe recently. Each lost nearly $2 billion in the region last year, and both are expected to lose big again in 2013. Turnaround plans are under way, but continued declines in Europe's new-car sales have raised doubts about their chances of success.

But some good news for a change: Sales were up slightly last month, amid signs that the situation is stabilizing. In this video, Fool contributor John Rosevear looks at the state of the European new-car market -- and at why the latest developments bode well for the bottom lines at both Ford and GM.

Fool contributor John Rosevear owns shares of Ford and General Motors. Follow him on Twitter at @jrosevear. The Motley Fool recommends Ford and General Motors. The Motley Fool owns shares of Ford. 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.