Ford Rises, GM Slips as Goldman Shifts Automaker PreferenceMark Clothier
Ford Motor Co.’s shares rose while General Motors Co.’s fell after Goldman Sachs Group Inc. flipped its preference between the two automakers, saying Ford has a “superior growth outlook.”
Ford will benefit in this year’s second half from the redesigned F-150 pickups and is improving in China, Goldman said in a research note Tuesday after the close in New York. GM’s incentives on light trucks are climbing because of competition, and the Detroit-based company may miss its forecasts in China as that market weakens, according to the note.
Goldman analysts Patrick Archambault and David Tamberrino raised Dearborn, Michigan-based Ford to buy from neutral and increased its 12-month price target for the shares to $19 from $18. GM was cut to neutral from buy, and the target was reduced to $40 from $47.
Ford rose 1.4 percent to $15.50 in New York, the highest closing price since May 21. GM slid 3.1 percent to $35.16, the steepest daily decline since April 23.