From "Calls of the day" on @CNBC - remind me which manufacturers are increasing and which are decreasing sales/market share...
Credit Suisse initiated Ford as ‘outperform’
Credit Suisse said it sees Ford shares as having upside as the company works to reimagine its business.
“The central theme of our launch is “The Two Clocks,” reflecting the industry challenge of concurrently balancing cyclical (the “near”) and secular challenges (the “far”). Given the concept was originally cited by Ford, it is only fitting that Ford is the textbook case for our “two clocks” framework.
Ford faces a number of risks ahead, as it redesigns its business to address profitability, while concurrently pursuing a longer-term reimagining of the business. Yet we see upside for the stock, as there have been early signs of improvement with more to come. ”
Credit Suisse initiated General Motors as ’outperform
Credit Suisse said GM has done a good job in balancing both short and long term concerns.
“The central theme of our launch is “The Two Clocks,” reflecting the auto industry challenge of concurrently balancing cyclical (the “near”) and secular challenges (the “far”). While this challenge is especially relevant for automakers, when evaluating
GM on this framework, we believe it is one of the best players in our coverage in balancing the ‘near’ and ‘far,’ offering a compelling narrative on both fronts. ”
Credit Suisse initiated Tesla as ‘underperform’
Credit Suisse said Tesla is likely to “settle as a niche automaker.”
“To best understand
Tesla’s prospects in its push for electric vehicles (EV) proliferation, we believe it’s worthwhile to compare it to an auto industry incumbent – most appropriately Volkswagen (VW). With both Tesla and VW committed to EV proliferation, the Tesla vs. VW debate could be relevant for the next decade or more. Tesla currently leads in areas that will likely define the future of carmaking. Yet it faces risks ahead – reflected in our below-consensus estimates. And despite growth ahead, we believe Tesla is likely to settle as a niche automaker. ”
Read more about this call
here.