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As you probably know, Ford (NYSE:F) recently doubled its dividend to a quarterly $0.10/share. Today I'll try to find out if this was a good idea. To do so, I will be going through Ford s quarterly earnings reports for the 2007-2012 period.

Note: All graph's where made by me using Microsoft Excel.

North America: Revenue and operating margins are going up

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As you can clearly see from the graph above, Ford lost some of its revenue in 2008 and 2009, but has since grown at an impressive rate. Pre-tax results, have continuously grown, thanks to a growing operating margin.

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All in all, prospects for North America look very good. Let's take a look at Europe next.

Europe: Revenue going down, operating margin dropping like a brick

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Ford's revenue in Europe has dropped from $36.3 billion in 2007 to $26.6 billion in 2012. Pre-tax results have taken a huge hit in 2012, going to a negative $1.7 billion.

The operating margin chart below says more than a thousand words:

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After dropping in 2007 and 2008, the operating margin was stuck at around the 0%-point for a couple of years, before dropping to a negative 6.6% in 2012.

South America: Revenues keep growing, Operating margin trending downwards

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The graph above shows the revenue and pre-tax results. It clearly shows that, while revenues have grown over the years, pre-tax results have slowly declined. This is much more visible when we look at the operating margin graph below:

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Asia Pacific Africa: Great growth opportunities

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Revenue for Ford in Asia and Africa has grown since 2009, climbing up at double digit rates. In 2012, they sold over 1 million cars in this region for the first time.

Operating margin has been low, as Ford has to invest to grow its market share. I expect earnings to catch up to the revenue growth in the next couple of years.

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Dividend: Sustainable, and with nice growth possibilities.

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Earnings per share have been positive since 2009, and Ford has started to save up a nice amount of cash, as the graph below clearly shows:

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While Ford had negative net cash until 2009, they are now sitting on $10 billion, and have started to pay shareholders a nice dividend.

I believe the dividend could double or triple in the next 5 years, which would mean great returns for anyone getting in now. Here's why:

-Ford North America is bringing in enormous amounts of money, which will sustain the company as they try to cut costs in Europe.

-Ford South America is still profitable, even with operating margins having dropped in recent years.

-Ford Asia Pacific Africa's sales have been going up, and over the next years, this will become very profitable

What's your view on Ford? Please comment below!

Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in F over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Source: Ford: Dividend Could Go Up A Lot More Over The Next Few Years