Anyone here own Ford stock? It seems to be doing pretty well lately:

http://www.quicken.com/investments/charts/?symbol=F

I feel a lot of loyalty to Ford, so I wonder if I should own a piece of the company?

 

The stock was at a low point a few months ago, but with projected earnings looking pretty rosie the stock is on the rise. Now notice I said "projected" earnings. It is based on speculation.

 

With the new f-150 out and mustang and GT on the horizon, I would think that a worthwhile investment. But then again, Im no broker. Wonder why they call them that?

 

My point exactly. Right now, my avg purchase price is around $10.31/share. I'm in it for the long haul.

Another thing to consider is that Ford pays dividends to its shareholders. For as long as I've held on to the stock, it has been paying 10 cents a share per quarter. May not sound much, but if you have some major loot in Ford stock, it will add up. Hell, it pays more for dividends than your average checking/savings account for the same $$$ invested.

 

I wouldn't look at Ford as a long term investment. Unless they can somehow restructure the company they are in for some very rough times ahead. The life time union pensions and health insurance liability they are facing stands a good chance of breaking the company in the next 15 years. Very similar to the social security/medicare problem the federal government faces. Actually I had read a few stories about the Ford family is quietly attempting to break profitable peices of the company off to minimize their loss when it all happens.

 

I'm holding some Ford. It's almost up to what I bought it for.

The stock I'm really kicking myself on is Capital One. Bought it when it first took a major dump at $28, sold it for around $36, bought it again just over $25, sold it just under $40 and it's done nothing but go up since. It's down to $60 now but too rich for my blood. If only I would have thought about doing that "stop loss" thing.

 

I would not suggest buying any individual stock unless you have studied the financials of the Company. Allot of people lost allot of money in 2000 by buying stock they knew nothing about.

When you study the financials please pay attention to the debt, unfunded pension obligations, and rising health care costs of the employees. After you understand the financials you could consider your (and many others) loyalty to the brand (which you will not find in the financials).