Ford Motor Company (F)’s F-150 Beats Chevy’s Silverado Again

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Investing takeaway
Sales of these trucks are extremely important for two reasons. For one, it’s estimated that these trucks can represent as much as 60% of the bottom-line profits for Ford Motor Company (NYSE:F) and GM. The F-Series and Silverado are the top two selling vehicles in the U.S., so both represent keys to gaining share in the mature market.

Second, right now is a prime time to take advantage of surging truck sales to boost profits quickly. These profits will be important to offset drastic losses in Europe, which could total about $2 billion per company. Right now is a pivotal time, because GM is hoping its newly redesigned 2014 Silverado will take back the sales lead and market share while the segment continues to increase in sales faster than the rest of the industry.

This isn’t a winner-take-all game, but if the new Silverado tops the F-Series in sales next year before the redesigned F-150 hits the market, it will have thrown a good punch at its crosstown rival’s profits. Ford hopes that studies like this from PickupTrucks.com and Popular Mechanics will persuade consumers to wait an additional year and skip over buying the 2014 Silverado in favor of its redesigned 2015 F-150. We’ll know by the end of the summer how things look to shape up in sales, but it will be a very intense competition for sales going forward.

This is something for loyal Ford Motor Company (NYSE:F) and GM fans to watch for bragging rights, and for investors as they hope to see a surge in profits from Ford and GM’s most important vehicles.

The article Ford’s F-150 Beats Chevy’s Silverado Again originally appeared on Fool.com and is written by Daniel Miller.

Fool contributor Daniel Miller owns shares of Ford and General Motors. The Motley Fool recommends Ford and General Motors and owns shares of Ford.

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