Drop in new car sales helps Genuine Parts

Article Excerpt

We remain optimistic that all three of the auto-related stocks we examine here will thrive anew as the pandemic eases. However, we prefer Genuine Parts for your new buying. It’s in a strong position to profit immediately as COVID-19 prompts many consumers to hang onto their old cars. That will spur demand for replacement parts. Still, all three companies should see demand start to rebound in 2021. That’s partly due to the ongoing shift from gas to electric-powered vehicles. FORD MOTOR CO. $6.82 is a hold. The company (New York symbol F; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 3.9 billion; Market cap: $26.6 billion; Price-to-sales ratio: 0.2; Dividend suspended in March 2020; TSINetwork Rating: Extra Risk; www.ford.com) is the second-largest U.S. automaker after General Motors (New York symbol GM). Most of Ford’s plants have now re-opened after shutting down for several weeks due to the COVID-19 outbreak. As a result of the shutdowns (note that most car dealerships were also affected), Ford sold just…

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