US Stock Market News | Downgraded by Morgan Stanley, Ford Motor and General Motors' stock prices fall
Ford Motor and General Motors' stock prices fell due to Morgan Stanley's downgrade, with Ford dropping over 4% to $10.41 and General Motors dropping over 5% to $45.435. Morgan Stanley lowered General Motors' target price from $47 to $42, changing the rating from "hold" to "sell"; Ford's target price was reduced from $16 to $12. Analysis indicates that the U.S. automotive industry is facing a more challenging situation, with rising inventory and poor vehicle affordability being the main reasons
According to Zhitong Finance, on Wednesday, Ford Motor (F.US) fell more than 4% to $10.41, while General Motors (GM.US) fell more than 5% to $45.435. Both companies were downgraded by Morgan Stanley. Morgan Stanley believes that the U.S. automotive industry will face a more challenging situation, changing its view from "attractive" to "in line with expectations." Morgan Stanley lowered General Motors' target price from $47 to $42 and downgraded its rating from "hold" to "sell"; Ford's target price was reduced from $16 to $12.
Morgan Stanley pointed out that inventory at U.S. dealerships is rising, which often leads to continued pressure on new car prices. In addition, vehicle affordability remains poor, with average car payments rising by about 40% compared to pre-COVID-19 levels, while wages have only increased by nearly 20% during the same period