Ford stock surges on upbeat Q3 earnings and dividend return

Ford (F.US) stock jumped more than 12.0% early in the session despite the automobile manufacturer reported mixed quarterly results. Company earned 51 cents per share, well above analysts' estimates of 27cents per share. Revenue of $35.683 billion came in below market estimates of $38.213 billion. Ford also increased its full-year guidance amid strong demand, despite inventory being crimped by the worldwide chip shortage. Company said adjusted earnings for the full year would come in between $10.5 billion and $11.5 billion, up from its prior estimate of $9 billion to $10 billion. The automaker said supply chain constraints should slowly ease this quarter and throughout 2022. Auto giant also decided to resume paying its dividend. The company had suspended the 15-cent quarterly dividend in March 2020, as the pandemic spiraled out.

Ford (F.US) stock launched today's session with a bullish price gap and surged to $17.60 which is the highest level in more than seven years after the publication of quarterly results. Later in the session upward momentum faded away and stock price pulled back. Currently price is testing the earlier broken upper limit of the ascending channel. Should break lower occur, downward move may accelerate towards support at $15.70. Source: xStation5