Morgan Stanley expressed increased optimism about Ford Motor (NYSE:F) in an investment research note Wednesday after it hosted an investor bus tour that included extensive meetings with the company's senior management team.
During the three-hour session, Ford's CEO, CFO, and other key executives shared insights into the company's strategic direction, which, according to analysts, shows a promising shift.
The firm highlighted that Ford, much like Tesla, is reallocating resources and focusing on the digital and data-driven aspects of the mobility ecosystem. This pivot involves moving away from the more capital-intensive and commoditized components of electric vehicles (EVs) to capitalize on the valuable data generated by these vehicles.
Analysts believe that this shift from traditional manufacturing to a business model centered on data and services will become increasingly apparent. The firm emphasizes that car companies capable of capturing and monetizing real-world data will likely succeed in the race for AI supremacy in the "Internet of cars."
Despite acknowledging that substantial work remains, analysts left Dearborn with a more optimistic outlook. Noting significant improvements in Ford's capital discipline, the firm reiterated Ford as their Top Pick, underscoring their growing bullish stance on the automaker's strategic evolution and future potential.