FINWIRES · TerminalLIVE
FINWIRES

Ford Motor's Battery Storage Plan More Linked With AI Trade, RBC Capital Markets Says

By

Ford Motor (F) recently reiterating its battery energy storage business plans likely more linked with the AI trade rather than on business fundamentals, RBC Capital Markets said in a research report emailed Friday.

The company will produce batteries domestically, making it eligible for regulatory benefits. The energy business value could range from $1 billion to $5 billion, assuming a 10% earnings before interest, taxes, depreciation, and amortization margin consistent with a systems integrator approach and 15% margins driven by a more insourced strategy at the high-end, analysts wrote.

For the Ford Model E segment, the guided path to breakeven by 2029 is multi-pronged, given that the energy unit is expected to generate positive earnings before interest and taxes, legacy electric vehicle losses are likely to narrow, the universal EV platform launches in 2027, and European margins are likely to benefit from the Renault partnership, according to the note.

The brokerage said it reiterated its sector perform rating on the stock and price target of $13 per share.

Price: $13.37, Change: $-1.11, Percent Change: -7.67%

Related Articles

Wire

Aardvark Therapeutics' Investigational New Drug Application for ARD-101 Put on Clinical Hold by FDA

Aardvark Therapeutics (AARD) said late Thursday the US Food and Drug Administration placed a full clinical hold on its investigational new drug application for ARD-101 to treat hyperphagia associated with Prader-Willi Syndrome.The hold applies to all ongoing clinical studies under the IND, the company said, adding that it is in discussions with the FDA for resolution of the clinical hold and to fix a path forward for the drug candidate.The company also plans to unblind clinical data from the HERO and OLE trials to assess the totality of efficacy and safety data, according to the company.The company said it had $91.2 million in cash and cash equivalents as of March 31, adequate to fund operations into mid-2027.

$AARD
Wire

Sky Harbour Q1 Loss Narrows, Revenue Rises; Shares Fall After Hours

Sky Harbour Group (SKYH) reported a Q1 loss late Thursday of $0.16 per diluted share, narrowing from a loss of $0.19 a year earlier.Analysts polled by FactSet expected a loss of $0.13.Revenue in the three months ended March 31 rose to $8.73 million from $5.59 million a year earlier.Analysts surveyed by FactSet expected $9.8 million.Sky Harbour shares fell 4.9% in after-hours trading.

$SKYH
Wire

KinderCare Learning Q1 Adjusted Earnings Fall, Revenue Rises; Shares Drop After Hours

KinderCare Learning (KLC) reported Q1 adjusted earnings late Thursday of $0.04 per diluted share, down from $0.23 a year earlier.Analysts surveyed by FactSet expected a loss of $0.01.Revenue in the three months ended April 4 rose to $672.5 million from $668.2 million a year earlier.Analysts surveyed by FactSet expected $669.1 million.The company boosted full-year adjusted EPS guidance to $0.15 to $0.25 from the previous forecast of $0.10 to $0.20. It affirmed the revenue outlook of $2.7 billion to $2.75 billion.Analysts expect EPS of $0.15 on revenue of $2.71 billion.KinderCare shares fell 6.2% in after-hours trading.

$KLC