I am being cautious too, I have been trading it. These
stocks are on fire but they are trading at 15 to 20 times sales, so
I take money off the table when it is there for the taking.
I have also been long F, I think Ford has room to run to the mid
teens at lease. That said, management has to continue to deliver.
Ford today announced that it will stop manufacturing cars in
Brazil, a money losing operation. The market liked the
news.
The Ford Mustang Mach-E (all electric) is getting very good
reviews, and whenever they announce that their F-150 EV will be
available, no date on that yet, the stock should fly.
Admitedly, F has lagged in the EV market, but I believe the new
management will turn tis company around. Not without its risks
though.
The banking sector too is doing well. Treasury yields have
moved up nicely giving the banks room to run. I have BAC and
Wells Fargo, but I also added SAN (Banco Santander), like Wells,
this stock has also been a dog for years, so it is not without
risk. However this Spanish bank has potential, it is very
depressed and if yields remain at these levels or higher, it could
have a big run.
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