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Ford, GM’s earnings report tells the story of a tip shortage

Both Ford and General Motors will present their third-quarter earnings report on Thursday.

Despite the negative impact of the global semiconductor chip shortage, companies may also have a positive impact, according to reports.

Of course, both companies Occasionally production had to be stopped to deal with chip shortages.. Profitability can also be problematic due to the high costs of consumables, materials, and transportation.

On the other hand, the strong demand for profitable trucks and SUVs is well served.

according to Automotive NewsThis means that investors are wondering how both companies can navigate the turbulent supply chain.

Annual sales of new cars and trucks fell to 12 million units in September due to a chip shortage, and forecasters are lowering their 2022 forecast due to shortages and general supply chain disruptions. It depends a lot on whether the chip shortage will end in 2022 or 2023.

Wells Fargo expects both companies to instruct investors to focus more on the lower bounds of this year’s forecast.

It’s not shocking — the industry is currently facing many headwinds, and Ford and GM are not exempt.

[Image: GM]

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Ford, GM's earnings report tells the story of a tip shortage

Source link Ford, GM's earnings report tells the story of a tip shortage

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