MBA-FPX5008_LoweryMotica_Assesment2-1

1 Analyzing Ford Motor Company Stock History Motica Lowery Capella University 5/20/2023 Table of Contents

ANALYZING FORD MOTOR COMPANY STOCK HISTORY 2 Table of Contents ................................................................................................................. 2 Ford Motor Company Background ...................................................................................... 3 Industry Participation and Overview ............................................................................... 3 History ............................................................................................................................. 3 Mission ............................................................................................................................ 4 Platforms and Products .................................................................................................... 4 Ford Passenger Cars .................................................................................................... 4 Ford Trucks .................................................................................................................. 5 Ford SUVs and Crossovers .......................................................................................... 5 Ford Commercial Vehicles .......................................................................................... 5 Electric Vehicles .......................................................................................................... 5 Competitive Advantage and Competitors ........................................................................ 5 Strong Brand Recognition ........................................................................................... 6 Broad Product Portfolio ............................................................................................... 6 Technological Innovation ............................................................................................ 6 Global Presence ........................................................................................................... 6 General Motors (GM) .................................................................................................. 7 Toyota Motor Corporation ........................................................................................... 7 Volkswagen Group ...................................................................................................... 7 Stellantis ...................................................................................................................... 7 Tesla, Inc ...................................................................................................................... 7 Graphical Representations of Data .................................................................................. 8 Descriptive Statistics ..................................................................................................... 13 Data Analysis Summary ................................................................................................ 14 References .......................................................................................................................... 17

ANALYZING FORD MOTOR COMPANY STOCK HISTORY 4 significant role in technological advancements, including the development of hybrid and electric vehicles. Mission Ford's mission is to be a leading global company in the automotive industry, providing innovative mobility solutions that enhance the lives of people around the world. The company aims to design and build high-quality, safe, and environmentally responsible vehicles that meet the evolving needs and preferences of customers (Ford Motor Company, 2020). Ford is committed to continuously improving its products, technologies, and manufacturing processes while fostering a culture of innovation and sustainability. Platforms and Products Ford Motor Company operates multiple platforms and offers a diverse range of vehicles designed to cater to various market segments and consumer preferences. The company's key platforms include: Ford Passenger Cars Ford previously offers a comprehensive lineup of passenger cars, including compact cars, sedans, hatchbacks, and electric vehicles. Models such as the Ford Focus, Taurus, Fusion, and the all-electric Mustang Mach-E are popular choices among consumers worldwide. However, “faced with plunging demand and declining profits from its passenger car lineup, Ford shifted its resources to the booming side of the market: pickups, SUVs, and crossover-utility vehicles” (Eisenstein, 2018) . The only passenger car still in production is the Ford Mustang.

ANALYZING FORD MOTOR COMPANY STOCK HISTORY 5 Ford Trucks Ford's renowned F-Series trucks, such as the F-150, F-250, and F-350, are widely recognized for their durability, performance, and versatility ( Ford Wins Two 2023 Edmunds Top Rated Awards; F-150 Named Top Rated Truck for Third Straight Year and F-150 Lightning Awarded Top Rated EV Truck | Ford Media Center , n.d.). Ford SUVs and Crossovers Ford's SUV and crossover lineup comprises models such as the Ford Explorer, Escape, Edge, and Expedition. These vehicles offer a combination of utility, comfort, and advanced features to meet the demands of customers seeking spacious and versatile transportation options. Ford Commercial Vehicles Ford provides a range of commercial vehicles, including vans, pickup trucks, and chassis cabs. The Ford Transit and Ford Super Duty series are popular choices for commercial applications, offering reliable transportation solutions for businesses. Electric Vehicles Ford is actively expanding its electric vehicle offerings. The company's electric lineup includes the all-electric Mustang Mach-E, an SUV that combines performance and sustainability, and the all-electric Ford F-150 Lightning, an electrified version of the iconic F-150 truck. Competitive Advantage and Competitors Ford Motor Company maintains a competitive advantage in the automotive industry through several key factors:

ANALYZING FORD MOTOR COMPANY STOCK HISTORY 7 General Motors (GM) As another American automotive giant, General Motors competes with Ford across multiple vehicle segments. GM's brands include Chevrolet, GMC, Buick, and Cadillac, offering a broad range of vehicles and technologies. Toyota Motor Corporation Toyota is a global leader in the automotive industry and offers a diverse portfolio of vehicles, including popular models such as the Camry, Corolla, and Tacoma. The company has a strong reputation for reliability and fuel efficiency. Volkswagen Group Volkswagen is a prominent player in the global automotive market, with brands like Volkswagen, Audi, Porsche, and others. The company offers a wide range of vehicles, including sedans, SUVs, and electric models. Stellantis Stellantis is a multinational automotive conglomerate formed by the merger of Fiat Chrysler Automobiles (FCA) and Groupe PSA. The company's brand portfolio includes Jeep, Ram, Dodge, Chrysler, Peugeot, Citroën, and others. Tesla, Inc. Tesla, known for its electric vehicles and innovative technologies, is a notable competitor in the electric vehicle segment. Tesla's focus on sustainability and cutting-edge features has attracted a dedicated customer base. As the automotive industry evolves, Ford Motor Company continues to adapt and innovate to maintain its competitive position and contribute to the future of transportation.

ANALYZING FORD MOTOR COMPANY STOCK HISTORY 8 Graphical Representations of Data All graphs in this section were created by using Microsoft Excel and data downloaded from Yahoo Finance ( Ford Motor Company (F) Stock Price, Quote, History & News - Yahoo Finance , n.d.) . This scatter plot graph compares the highest stock prices for Ford Motor Company over the course of a year. First, I created a new tab in the Excel file and copied and pasted the data from Column A (Date) and the data from Column C (High) to generate the graph. Then, I highlighted the data, clicked ‘Insert’, and selected the scatter plot chart option. Finally, I used the ‘Chart Design’ feature to modify the look and feel of the graph and added a trend line by selecting ‘Add Chart Element’. I customized the color of the trendline and the text of the axis labels, axis titles, and graph title to white. I also modified the size of the text of the axis labels, axis titles, and graph title. Both modifications were made so these items would stand out against the grey background.

ANALYZING FORD MOTOR COMPANY STOCK HISTORY 10 This histogram chart groups the adjusted daily closing stock prices for Ford Motor Company over the course of a year into common ranges based on a bin width of 2, an overflow bin of 15, and an underflow bin of 11. I changed these specifications by clicking on the x-axis and modifying the corresponding sections to the above-identified specifications. I determined the bin width, overflow bin, and underflow bin by analyzing the numbers in my data set. I used the filter feature to see that most of the data sat between the range of 11 – 15 resulting in an overflow bin of 15 and an underflow bin of 11. I also subtracted the lowest data point from the highest data point and came up with approximately 5. When I set the bin width to 5 the data was not grouped in a manner that would allow in-depth analysis since most of the data

ANALYZING FORD MOTOR COMPANY STOCK HISTORY 11 sat between the range of 11 – 15 resulting in only 3 groupings. I chose to go with a bin width of 2 because it further broke down the data in the range of 11 – 15. First, I created a new tab in the Excel file and copied and pasted the data from Column A (Date) and the data from Column F (Adj Close) to generate the graph. Then, I highlighted the data, clicked ‘Insert’, and selected the histogram chart option. Finally, I used the ‘Chart Design’ feature to modify the look and feel of the graph and added data labels by selecting the data, right- clicking my mouse, and choosing ‘Add Data Labels’. I also removed the gridlines by selecting ‘Add Chart Element’, then selecting ‘Gridlines’, and clicking on ‘Primary Major Horizontal’. I customized the color of the text of the data labels, axis labels, axis titles, and graph title to white using the format text feature. I also modified the size of the text of the data labels, axis labels, axis titles, and graph title using the format text feature. Both modifications were made so these items would stand out against the grey background.

ANALYZING FORD MOTOR COMPANY STOCK HISTORY 13 size of the text of the data labels, axis labels, axis titles, and graph title using the format text feature. Both modifications were made so these items would stand out against the grey background. Descriptive Statistics Adjusted Daily Closing Stock Price Mean 12.12 Median 12.00 Mode 10.75 Standard Deviation 1.12 To calculate the mean, median, mode, and standard deviation for the adjusted daily closing stock price I performed the following actions:  To calculate the mean, I selected an empty cell and used the following formula =Average(F2:F252). This automatically averaged Column F (Adj Close).  To calculate the median, I selected an empty cell and used the following formula =Median(F2:F252). This automatically found the median for Column F (Adj Close).  To calculate the mode, I selected an empty cell and used the following formula =Mode.Sngle(F2:F252). This automatically found the mode for Column F (Adj Close).  To calculate the standard deviation, I selected an empty cell and used the following formula =Stdev.S(F2:F252). This automatically found the standard deviation for Column F (Adj Close). Stock Volume Mean 62,437,698 Median 57,751,300 Mode #N/A Standard Deviation 24,234,731.54

ANALYZING FORD MOTOR COMPANY STOCK HISTORY 14 To calculate the mean, median, mode, and standard deviation for the stock volume closing stock price I performed the following actions:  To calculate the mean, I selected an empty cell and used the following formula =Average(G2:G252). This automatically averaged Column G (Volume).  To calculate the median, I selected an empty cell and used the following formula =Median(G2:G252). This automatically found the median for Column G (Volume).  To calculate the mode, I selected an empty cell and used the following formula =Mode.Sngle(G2:G252). This automatically found the mode for Column G (Volume). Since there are no repeating numbers in this data set, the result came back with an error.  To calculate the standard deviation, I selected an empty cell and used the following formula =Stdev.S(G2:G252). This automatically found the standard deviation for Column G (Volume). Data Analysis Summary Standard deviation is a statistical measure that quantifies the dispersion or variability of a set of values from their mean (average). In the context of stock volatility, the standard deviation is commonly used as a measure of how much the price of a stock or the returns on a stock investment varies over a given period. A higher standard deviation indicates greater volatility in stock prices or returns, while a lower standard deviation suggests less volatility. Ford Motor Company’s adjusted daily closing stock price standard deviation of 1.12 is low and indicates that it is less volatile and is often perceived as less risky.

ANALYZING FORD MOTOR COMPANY STOCK HISTORY 16 The adjusted daily closing stock price mode of $10.75 represents the most frequently occurring value in a dataset. In the context of stock prices or returns, the mode can provide insight into the most common or typical value observed. However, the mode alone does not directly convey information about stock volatility. It is useful in understanding the concentration of data points around certain values but does not provide a complete picture of the overall volatility. In conclusion, you cannot use only one piece of data to derive insights and make decisions. It’s often many pieces of data that need to be pulled together to inform and guide the best decision possible.

ANALYZING FORD MOTOR COMPANY STOCK HISTORY 17 References Detroit Historical Society. (2019).  Ford Motor Company | Detroit Historical Society . Detroithistorical.org. https://detroithistorical.org/learn/encyclopedia-of-detroit/ford- motor-company . Accessed May 20. 2023. Eisenstein, P. A. (2018, April 26).  Ford to stop making all passenger cars except the Mustang  [Review of  Ford to stop making all passenger cars except the Mustang ]. https://www.nbcnews.com/business/autos/ford-stop-making-all-passenger-cars-except- mustang-n869256 . Accessed May 20, 2023. Ford Motor Company. (2020).  History . Ford Corporate. https://corporate.ford.com/about/history.html . Accessed May 20, 2023. Ford Motor Company - Reorganization and expansion . (n.d.). Encyclopedia Britannica. https://www.britannica.com/topic/Ford-Motor-Company/Reorganization-and-expansion . Accessed May 20, 2023. Ford Motor Company (F) Stock Price, Quote, History & News - Yahoo Finance . (n.d.). Finance.yahoo.com. https://finance.yahoo.com/quote/F?p=F&.tsrc=fin-srch . Accessed May 20, 2023. Ford Wins Two 2023 Edmunds Top Rated Awards; F-150 Named Top Rated Truck for Third Straight Year and F-150 Lightning Awarded Top Rated EV Truck | Ford Media Center . (n.d.). Media.ford.com. Retrieved May 20, 2023, from https://media.ford.com/content/fordmedia/fna/us/en/news/2023/01/180/ford-wins-two-