It has been about a month since the last earnings report for Ford Motor Company (F). Shares have added about 5.8% in that time frame, outperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Ford Motor due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.
Ford Q2 Earnings Top Estimates
Ford reported reported second-quarter 2025 adjusted earnings per share of 37 cents, which surpassed the Zacks Consensus Estimate of 34 cents but declined from 47 cents recorded in the year-ago quarter. The company’s consolidated second-quarter revenues came in at $50.18 billion, up 5% year over year. F’s total automotive revenues came in at $46.94 billion, beating the Zacks Consensus Estimate of $41.72 billion and rising from $44.81 billion generated a year ago.
Segmental Performance
In the second quarter, total wholesale volume in the Ford Blue segment decreased 6% year over year to 696,000 units, but exceeded our expectation of 579,000 units. Revenues from the segment decreased 3% year over year to $25.8 billion but topped our estimate of $21.05 billion due to higher-than-expected units sold. Earnings before interest and taxes came in at $661 million, below our projection of $979.4 million. EBIT margin of 2.6% was down 1.8 percentage points from the corresponding quarter of 2024.
Total wholesale volume in the Ford Model e segment rose 218% year over year to 60,000 units, topping our estimate of 41,000. Revenues from the segment jumped 105% year over year to $2.4 billion, and topped our estimate of $1.63 million on higher-than-expected units sold. The segment incurred a loss before interest and taxes of $1.33 billion compared with our model estimate of a loss of $1.23 billion.
Total wholesale volume in the Ford Pro segment increased 15% year over year to 429,000 and topped our expectation of 381,000 units. Revenues from the segment rose 11% year over year to $18.8 billion, surpassing our expectation of $16.57 billion on higher-than-expected units sold. Earnings before interest and taxes came in at $2.32 billion with an EBIT margin of 12.3%. EBIT was ahead of our projection of $2.17 billion.
Second-quarter revenues from the Ford Credit unit came in at $3.24 billion, up 8.3% year over year and ahead of our estimate of $3.21 billion. Pretax earnings were roughly $645 million, up 88% year over year.
Financial Position
Ford reported adjusted free cash flow of $2.83 billion for the quarter. It had cash and cash equivalents of $23 billion as of June 30, 2025. Long-term debt, excluding Ford Credit, totaled $16.74 billion on June 30, 2025.
2025 Outlook
Ford expects full-year 2025 adjusted EBIT in the range of $6.5-$7.5 billion (down from $10.2 billion in 2024), which takes into account a net tariff-related headwind of nearly $2 billion. It expects adjusted free cash flow in the range of $3.5-$4.5 billion, down from $6.7 billion in 2024. Capital expenditures are expected to be around $9 billion.
How Have Estimates Been Moving Since Then?
It turns out, estimates review have trended downward during the past month.
VGM Scores
At this time, Ford Motor has a nice Growth Score of B, however its Momentum Score is doing a bit better with an A. Following the exact same course, the stock has a grade of A on the value side, putting it in the top quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions looks promising. Interestingly, Ford Motor has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
Ford Motor is part of the Zacks Automotive - Domestic industry. Over the past month, General Motors (GM), a stock from the same industry, has gained 9.7%. The company reported its results for the quarter ended June 2025 more than a month ago.
General Motors reported revenues of $47.12 billion in the last reported quarter, representing a year-over-year change of -1.8%. EPS of $2.53 for the same period compares with $3.06 a year ago.
General Motors is expected to post earnings of $2.32 per share for the current quarter, representing a year-over-year change of -21.6%. Over the last 30 days, the Zacks Consensus Estimate has changed +1.6%.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for General Motors. Also, the stock has a VGM Score of A.
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Ford Motor Company (F): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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