Hedge Funds are Selling Tesla (TSLA) and Buying These 5 EV Stocks Instead

2. Ford Motor Company (NYSE:F)

Number of Hedge Fund Holders in Q2: 55 

Number of Hedge Fund Holders in Q1: 49   

Ford Motor Company (NYSE:F) is placed second on our list of 10 EV stocks hedge funds are buying instead of Tesla. The company operates as an automobiles manufacturer and is headquartered in Michigan. 

On July 16, investment advisory Bank of America reiterated a Buy rating on Ford Motor Company (NYSE:F) stock and raised the price target to $18 from $17. John Murphy, an analyst at the advisory, issued the ratings update. 

At the end of the second quarter of 2021, 55 hedge funds in the database of Insider Monkey held stakes worth $2.10 billion in Ford Motor Company (NYSE:F), up from 49 in the preceding quarter worth $2.19 billion.

In its Q1 2020 investor letter, Greenlight Capital Fund, an asset management firm, highlighted a few stocks and Ford Motor Company (NYSE:F) was one of them. Here is what the fund said:

“General Motors (GM) was a disappointment. The damage from last year’s strike consumed most of the cash flow GM would have otherwise generated in 2019. We had expected a strong bounce back in earnings and cash flow in 2020, but the annual guidance, while meeting Wall Street expectations, was worse than we expected. Further, the cash burned during the strike needed to be re-earned in order to protect GM’s investment grade rating. Pre-crisis, there would have been, at best, a minimal share repurchase late in the year. At the analyst day, our hopes that 2020 would finally be the year were dashed. We sold our stock. Over our five-year holding period, we made a 9.6% IRR on GM. In the difficult environment, its most comparable peer, Ford, lost about half its value.”