In this guide, we will provide you with a comprehensive guide on how to buy Ford stock from the most reputable and highly regulated brokers in 2023. It will touch on where to buy Ford stock and teach you what to consider when looking for the best Ford share brokers. We will also discuss factors influencing Ford's share price and help you decide if Ford is really worth buying today.
Founded in 1903, Ford is one of the oldest and most successful vehicle manufacturing companies. It has maintained a lead as one of the leading vehicle manufacturers in the world thanks to its resilience and innovativeness. For decades, Ford company revenues and stock price have been on an overall uptrend.
But are these reasons enough to make you consider investing in Ford in 2023? Or should it cool off in your stock watchlist for a while longer as we wait for it to recover from the downtrend that characterized its share price action throughout 2022?
Read on to learn where to buy Ford stock, how to buy, and whether the automotive manufacturer is worth investing in today.
Your capital is at risk. Other fees apply.
Below, we break down this process and cover each step in detail. Continue reading to learn how to vet brokers and everything you need to know before buying the FORD stock.
The Ford Stock Buying Guide - Reviewed
Step 1: Decide Where To Buy Ford Stock
Ford is a hugely popular growth and dividend stock. This has helped it list with arguably all the most popular online stock brokerages. Deciding where to buy Ford shares, therefore, involves vetting these brokers to find one that best aligns with your investing goals and strategies.
But what do you look for when vetting an online trading platform? Here are a few features that you need to consider when comparing trading platforms and searching for the best Ford stock broker today:
- Cost of trading: Understand that the fees and commissions levied by a broker have a direct impact on the profitability of your FORD trades. Therefore, familiarize yourself with all the charges imposed by a broker and assess the impact they will have on your investment. Only go for a broker with the most affordable fees.
- Ease of use: Your preferred broker should also be easy to use. They should have an easy onboarding process and an easily navigable trading interface.
- Investing options: Do you wish to buy actual shares or trade FORD CFD derivatives like CFDs? Do you wish to invest in long-term or active trade? Ensure your preferred broker’s mode of operation is in line with your investing goals and strategy.
- Research and tools: Check the number and effectiveness of research materials and trading tools integrated into the trading platform. Only register with a brokerage that integrates sufficient research/analysis material and trading/risk-management tools.
- Regulation and reputation: Only create a trader account with a regulated broker. Additionally, the broker must be of solid repute with regard to customer service, transaction processing speeds, reliability of their systems, and security of client funds and sensitive information.
Here is a brief overview of what our analysts consider the best Ford share brokers today.
eToro – Best Ford Stock Broker for User Friendliness and Social/Copy Trading
eToro is one most popular online stock trading platforms, with a user base of 25 million investors across the world. It is also one of the most regulated brokerages seeing that it is licensed by the FCA, SEC, AISC, CySEC, and more. It is also a multi-platform and multi-asset brokerage supporting the buying and selling of stocks, commodities, forex, indices, ETFs, and even crypto.
These notwithstanding, we believe eToro to be the best FORD share broker primarily because of its user-friendliness, affordability, and support for social and copy trading.
For starters, eToro runs a quick and straightforward client onboarding process. And the account approval process takes anywhere between a few minutes and a few days. The broker then runs a resource-rich but easily navigable trading interface that appeals to both novice and pro investors.
The trader platform integrates such beginner-friendly tools as demo accounts, how-to guides, and visual tutorials. It also integrates a wide range of premium trading, analysis, and risk management tools. These include customizable charts, hard stop limits, and negative balance protection.
eToro also stands out among the best Ford share brokers because of its affordability. For starters, eToro is commission free. You will only pay a small and variable spread when trading FORD CFDs on the platform. And these can be margin traded with leverages of up to 1:5. Plus, you can start investing in Ford shares when you deposit at least $10 into the platform.
You may also want to buy FORD stock on eToro while taking advantage of its copy trading feature. This makes it possible for novice traders to earn while they learn how to trade when they copy the trade settings of highly successful brokers. And you only need to have an account balance of $200 to start copy trading. Experts who allow their trades to be copied also receive a commission from eToro – based on the value of assets under copy.
Your capital is at risk. Other fees apply.
Webull - Best for Affordability and Long-Term Investing
Webull is a US-based multi-asset trading platform. Several factors help it stand out as one of the best Ford share brokers, including its support for a wide range of stocks. In addition to Ford, you can trade 5000+ shares and international ADRs on the platform. The broker doesn’t even have a minimum initial deposit limit, even though the minimum trade amount is set at $5.
Like eToro, Webull is a commission-free broker implying that you will only have to deal with a highly competitive spread when buying shares on the platform. The only other costs you will have to contend with are the deposit and withdrawal fees of $8 and $25 – respectively – if you use bank transfers. ACH Check deposits into Webull are free.
We must also observe that Webull appeals to long-term share investors because it supports share investing via IRA accounts. This means that you can invest in shares for your tax-advantaged IRA account via Webull.
Other factors that help Webull stand out among the best FORD share brokers include its user-friendly and resource-rich trading platform. This is multi-platform – available both as a web trader and a mobile app. It also integrates a sufficient range of premium trading, analysis, and risk management tools.
Step 2: Research Ford Stock
After identifying where to buy Ford shares, you now need to gather as much actionable information as possible about Ford Motor Company and its share price action. Learn about the company’s revenue history and use all this information to determine the factors that have the most impact on FORD stock price.
In this section, we will tell you everything you need to know about the ford company, its financial standing, and its historical share price action. We will also discuss some of the factors expected to have the most impact on FORD share price in 2023 and beyond.
What is Ford?
Ford Motor Company (commonly referred to as Ford) is a multinational car manufacturer headquartered in Dearborn, Michigan, US. It was founded and incorporated in 1903 by the innovator Henry Ford.
More than a century later, Ford remains a major player in the global automotive industry. It is the second largest car manufacturer in the US – behind General Motors (GM) – and the fifth largest in the world – behind Toyota, Volkswagen, Hyundai, and General Motors.
Ford’s journey to the top of the automotive manufacturing industry has been made possible by innovativeness, strategic acquisition, and solid leadership. The company has, for example, come up with innovative car designs that went on to become wildly popular in the US and beyond.
It also pioneered industry-shaping technologies that reshaped the vehicle manufacturing process. For example, Ford pioneered the moving assembly line in 1914, the safety glass in the windshield in 1927, rear seatbelts and seatbelt lights, and the first hybrid electric SUV with a flexible fuel capability in 2004.
Its exponential growth also came against the backdrop of strategic acquisitions and the launch of different brand names to market different products that appeal to different consumers. For example, while regular automobiles and commercial vehicles like trucks are sold under the Ford brand, the Lincoln brand is used for marketing luxury cars like Navigator, Nautilus, and Corsair.
Ford’s strategic acquisitions include Land Rover and Jaguar - which have since been sold to Tata Motors, Volvo - which was also sold to Geely (a Chinese automotive company), Aston Martin (sold to a private consortium), and Mazda (sold to the public through shares).
In the spirit of innovativeness and in a bid to maintain its competitiveness, Ford has turned its attention to electric vehicle manufacturing. It seeks to position itself as a leading EV manufacturer and innovator, as well as champion the international call for environmental conservation.
Ford Motor Company Financials
Ford Motor Company’s revenues have been on an overall uptrend since its establishment a century ago. And over the last 20 years, Ford’s annual revenues have been ranging between $110 and $180 Billion. In 2020, for example, Ford made $127.14 Billion – an 18.45% decline from the $155 Billion made a year earlier. And the revenue drop was largely attributed to the covid-19 pandemic.
The company recovered and reported a revenue gain in 2021, when it made $136 Billion. And in 2022, Ford’s annual revenue stood at $151 Billion – an 11.3% increase. To get here, Ford outperformed both consensus estimates and the company’s guidance on projected revenues, the total number of vehicle sales, and share earnings for the year 2022.
Looking forward, the majority of analysts are confident that Ford will sustain this growth momentum and scale to new heights in terms of revenue and stock price. Much of this will, however, be hinged on the performance of the US economy and the company’s ability to deal with a shortage of such critical parts as semiconductors in 2023 and beyond.
We observe that Ford has also been quite consistent in dividend distribution – done quarterly. But we also recognize that the automaker often suspends dividends during periods of economic uncertainty or crisis like it didn’t in 2020. In 2022 Ford’s dividend yield stood at 4.27% or $0.60 per share.
Ford Historical Price Performance
Ford went public and was listed with the New York Stock Exchange in January 1956 under the ticker F. At the time, 10.2 million shares of the Class A common stock (with 60% voting rights) were offered to the public for $63 each and fetched $643 Million. At the time, this was the largest IPO in the US. On 17th January, Ford shares started trading on the NYSE at $64.50 and rallied to $69.5 by the end of that day – giving Ford a market cap of $3.2 Billion.
Sixty-six years later, Ford stock has been subjected to eight splits - with the first 5-for-4 splits taking place in June 1977. Cumulatively, each of the automaker’s shares bought in May 1977 has been split into 30.83 shares today.
Overall, F stock has sustained an uptrending price action since its launch. It traded below $10 (adjusted for the stock splits) until 1987 but embarked on its most aggressive rally yet throughout the 1990s. In 1999 – at the height of the dot-com bubble – Ford’s stock price hit its current all-time high of $35.
The resulting burst, stock market crash, and a broken-down economy would, however, see F stock price plummet. By September 2002, Ford’s share price fell below $10 before setting support of $8 in May 2003.
In the months that followed, Ford made a stab at recovery and even tore above $16 in December same year. But this rebound was short-lived as F stock price started crumbling again in January 2004
The next five years were especially tough for the company as it struggled with low sales volumes and sluggish revenue growth. These struggles were exacerbated by the 2008 financial crisis and stock market crash. For the first time in 25 years, F’s share price fell below $2 in January 2009.
The recovery from the crisis was swift, and it even helped Ford shares end that year trading above $10. It would trade within the range of $9 and $17 for the next decade – only dipping to around $4 (albeit briefly) in March 2020 when Covid-19 was declared a national crisis in the United States.
Throughout the last half of 2022, F share price has been ranging between $11 and $16 – which is a considerable drop from the $25 peak recorded in January 2022.
Looking forward, there is a growing level of optimism toward Ford. Forecasters expect Ford stock price to rise and range between $12 and $19 throughout 2023.
Factors Affecting Ford Share Price
Ford has one of the most volatile stock price actions of the leading automakers. And even though it has always assumed an overall uptrending trajectory, its rate of growth has been rather uninspiring. It has even been outperformed by the S&P 500 index.
But by examining its past price action, you get to understand the different factors that have the most impact on F stock price and learn how to trade them in the future. Here are a few factors that we believe will continue shaping Ford’s stock price for the next few years:
- Economic performance: Ford almost always shutters under the pressure of an economic recession. This happened during the oil price crisis in the 1970s, during the dot.com crash in the early 2000s, during the financial crisis in 2008, and during the covid-19 pandemic in 2020. A recession in 2023 would, therefore, mean another dip in F share price.
- Company financials: When Ford Company posts higher revenue, earnings, and increases dividends, its stock price rally. Therefore, keep an eye out for company financials and guidance.
- Market trends: In the 12 months to December 2022, Ford shares shed more than 405 of their value, not because the company revenues were depressing but because the entire market had been on a downtrend. Factor this into your future F stock buy/sell decisions.
- Affiliates performance: Ford stock dipped when Argor AI – an autonomous driving startup Ford had invested $1+ Billion in – shut down. This says that you need to watch out for the performance of Ford subsidiaries and affiliates as they, too, will have a direct impact on F stock price.
- Competitor activity: Ford faces stiff competition – especially in the electric vehicle manufacturing scene – from the likes of General Motors and Tesla. Their positive strides, innovativeness, and competitive edge will often rub off negatively on Ford’s stock price performance.
Your capital is at risk. Other fees apply.
Step 3: Open a Share Investor Account and Buy Ford Stock
Are you looking to start buying Ford shares right away? Here is a detailed step-by-step guide on how to own your first F stock (or a fraction of it) via the multi-regulated and reputable eToro brokerage.
Open a stock broker account
On your browser, open the official eToro website or download the eToro mobile trading app. Click on the “Join Now” button and complete the registration form that pops up. It only seeks to capture your basic personal information, but you will also need to come up with a username and create a strong password.
Verify your identity
The registration process is only completed after you have verified your identity. But this is simple as you only need to submit a copy of your driver’s license, passport, or national ID to the broker. Wait for the broker to email you a notification informing the account has been approved.
Log in to your approved trader account, and on the user dashboard, tap on the “Deposit Funds” icon. A funding tab will pop up, highlighting the payment options available to you. Choose one and follow the prompts to complete the deposit.
Buy FORD stock
After the funds reflect in the trader account, hit the “Discover” icon and choose “Stocks” from the list of supported assets. Then find Ford from the list of supported shares and tap on the “Buy” option. Use the trading tab that pops up to customize the trade and indicate the number of “F” shares you wish to buy, then hit the “Open Trade” button to authorize the purchase.
Ford Stock Strengths And Weaknesses
We have already established that Ford shares are wildly volatile and too sensitive to even the slightest changes in the economy. We have also said they have underperformed – in relation to their industry of operation and the S&P 500. But we have also said that the company revenues and stock price have an overall uptrending price action.
This begs the question of whether Ford shares are worth buying in 2023. And to help you answer this, we point out a few reasons why you should consider investing in Ford in 2023 and some touching on why F stock may not be the best buy today.
Reasons to Buy Ford Stock in 2023
- Positive revenue outlook: Ford’s revenue and annual sales for 2022 exceeded estimates, and it is expected to sustain this growth heading into 2022. This will most likely reflect positively on F stock price, which makes Ford worth investing in today.
- Resilience: Ford’s century-old history shouts resilience. The brand has survived some of the most devastating economic meltdowns and almost always shot to unprecedented heights after each crash. This makes it an excellent buy for long-term investors.
- Projected growth: In addition to increased sales and rising revenues, Ford has been divesting in other fields – including AI. This is expected to expand the company’s revenue base and proofing the brand’s future.
- Discounted price: You may also want to buy F shares because they are selling for a highly discounted price – more than 70% below their all-time high and as much as 50% below the January 2022 highs.
Reasons Not to Buy Ford Stock Today
- Looming economic recession: We have already mentioned that Ford is a bad stock to hold during a recession. The fact that most analysts expect the global economy to crash sometime in 2023 doesn’t make today the best time to invest in Ford.
- Low ROI: You may also want to skip investing in stock because it has posted lower ROI – historically – than most of its peers.
Conclusion - How To Buy Ford Stock
Ford is one of the oldest and most successful automakers in the world today. It is also highly innovative and has pioneered multiple innovations in the automotive industry that have helped it maintain its competitiveness and market share. Even more importantly, its revenues and stock price have been on an overall uptrend.
But like any other stock, Ford has its own shortcomings. For starters, it has posted a relatively poor ROI – even being outperformed by the S&P 500 index. Plus, its past price action shows that it is not a good recession stock.
In the above guide, we have provided you with everything you need to determine whether F stock is worth buying. We then detailed the Ford shares buying process and told of the best places to buy the stock.
eToro – Buy Ford Stock With 0% Commission
Open an account with eToro, deposit some funds with USD, and finally – buy Shares from just $10.
Your capital is at risk. Other fees apply.
FAQs About How To Buy Ford Stock
How can I buy Ford stock today?
The Ford stock buying process is simple. Start by identifying a reputable brokerage and registering a trader account with them. Deposit funds into this account and start buying Ford shares.
Does Ford pay dividends?
Yes, Ford has been rather consistent in the distribution of dividends. In 2022, for example, the automaker distributed an annual dividend of $0.60 per share.
Why did Ford stock price fall in 2022?
Despite outsized growth in vehicle sales and revenue growth, Ford shares still shed 40%+ of their value in 2022 because the bear market dominated the economy.
Will Ford’s share price rise in 2023?
We cannot tell with utmost accuracy whether Ford stock price will rebound in 2023. The high number of variables affecting Ford stock price, including revenue growth, vehicle sales, economy performance, and global economy, make it impossible to predict F stock’s most likely price direction in 2023.
Should I buy Ford shares today?
Your decision to invest in Ford shares in 2023 should be informed by such factors as your risk tolerance, understanding of the Ford Motor Company as well as the automobile industry, and your investing goals. The stock’s resilience and undervaluation make it a good long-term buy. The looming recession, however, makes it a bad short-term investment.