Ford Stock Forecast Based On A Predictive Algorithm

In 2008, the automotive industry went through one of the worst financial crisis seen in decades. Like all the other automakers, Ford (NYSE:F) went through a dramatic slowdown that resulted in a $14.4 billion loss for 2008. Ford, along with Chrysler and General Motors, was on the brink of bankruptcy, as its shares fell

to new lows. By cutting costs and borrowing as much as they could before the credit collapse, the automobile producer was able to survive the economic downturn without needing a government bailout. By the fiscal year of 2013, Ford had miraculously recovered, reporting $7.155 billion in profit and a 30 percent increase in automobiles sold in the Asia Pacific Africa region. The region now accounts for nearly 22 percent of all worldwide units sold. Regardless of the Asia Pacific Africa region’s explosive growth, North America still remains Ford’s biggest market, with 3.088 million vehicles sold in 2013. While the North America segment has experienced sturdy growth, it has come at the cost of increased incentives. To maintain its current growth rate, Ford will have to expand its manufacturing and sales in foreign markets. The automaker is now looking towards Africa as the next economic frontier, as industrywide sales are forecasted to grow from 1.5 million vehicles to 2.1 million over the next 6 years. The abundant amount of natural resources, rising middle class, and projected growth in the driving population points to a surge in the continent’s demand for automobiles. However, the recent outbreak of Ebola, corruption in Nigeria, and disorganized leadership all pose major threats for new businesses trying to break into the region. Read The Full Analysis On Seeking Alpha