Ford Motor's second-quarter earnings exceeded expectations, sending its stock soaring over 6%, and the company raised its full-year adjusted EBIT guidance for fiscal year 2026.
Wall Street previously expected Ford Motor's Q2 2026 earnings to decline by approximately 5% year-over-year, but the company actually reported growth, driving its stock price up over 6% after the report's release. Despite a 12% year-over-year decrease in wholesale volume, revenue only fell by 4% due to Ford selling higher-margin trucks, SUVs, and hybrid vehicles, with adjusted EBIT increasing by 17% year-over-year. This is the second time this year Ford has raised its full-year 2026 adjusted EBIT guidance. The company's commercial fleet business, Ford Pro, performed strongly, achieving a Q2 EBIT margin of 9.7% and a 50% year-over-year increase in paid subscriptions to 1.6 million. Ford Motor currently has a forward P/E ratio of approximately 8-9x and a dividend yield of 4%.
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