Ford Motor Company (F)

[pack10]

Here's what to watch for. Very different than apple. Suggest the bottom has been put in at the 4% div mark.

Adjusted earnings of 23 cents a share is the consensus of analysts polled by Thomas Reuters, compared with 31 cents a share profit a year earlier. Net income is forecast to come in at $901 million, more than $2 billion lower than a year ago when Ford received a major tax benefit in the quarter. A production slowdown for the F-150 pickup, and European and South American woes are weighing on profits.

REVENUE FORECAST: Ford’s revenue is expected to be down 2.5% at $34.7 billion. Lower production volumes in North America due to changing over truck factories for new models likely hurt Ford because revenue is booked as a vehicle comes out of the factory, not when it is actually sold to a customer. Sales in China also slowed in the fourth quarter.

WHAT TO WATCH:

VENEZUELA: Ford announced it would take an $800 million pretax charge in the quarter to remove results from Venezuela from consolidated earnings because of repeated currency devaluations. Look for Ford to discuss other South American countries, including Argentina, on its call with investors.

FORECAST: Is Ford going to stick to its profit forecast for 2015 made back in September? It’s projecting a 50% increase to pre-tax profits this year compared with 2014 as new model launches around the world start to bring in money.