Are you on the lookout for a stock that could potentially make you a millionaire? Look no further than Ford, a venerable 122-year-old automotive giant that has been making waves in the stock market. With a significant upturn in 2025, Ford’s performance and strategic business divisions might just spell out a golden opportunity for long-term investors.
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The Alluring Rise of Ford’s Stock
In a remarkable show of strength, Ford’s stock has surged by 28% year-to-date as of October 6, 2025, substantially outpacing the gains of the S&P 500 index. This impressive growth is a testament to the momentum that Ford has been building, potentially positioning it as a lucrative pick for patient investors. But what drives this momentum, and could Ford truly be the key to unlocking millionaire status for its shareholders?
Spotlight on Ford’s Professional Segment
One of the standout performers within Ford has been its professional segment, known as Ford Pro. This division focuses on providing vans, trucks, software, and services to commercial and government entities. Not only has it grown revenue by 11% year-over-year in the second quarter, but it also boasts a robust operating margin of 10.7% for the first half of 2025. The CEO, Jim Farley, highlighted on the Q2 earnings call that these high-margin recurring revenues offer a less cyclical and more durable business model, crucial for sustaining growth even in fluctuating economic climates.
Furthermore, Ford’s stock is currently trading at a forward price-to-earnings ratio of 9, which is significantly lower than the broader market’s average, making it an attractive entry point for value-seeking investors. Additionally, with a dividend yield of 4.7%, Ford stands out as a compelling option for those looking to generate substantial income from their investments.
Challenges and Considerations for Investors
Despite the promising aspects, investing in Ford is not without its risks. The company does not exhibit traditional characteristics of high-quality businesses, such as durable competitive advantages or economic moats. Ford’s adjusted returns on invested capital were only 10.1% in the second quarter, a figure that pales in comparison to industry leaders with strong pricing power like Ferrari or Apple.
Moreover, the automotive industry is notoriously mature and sensitive to macroeconomic changes. Ford’s automotive revenue grew at a modest compound annual rate of 2.4% from 2014 to 2024, and the global shift towards electric vehicles presents both an opportunity and a challenge. The company’s financial health is also susceptible to broader economic downturns, which could impact consumer spending on big-ticket items like cars, potentially affecting Ford’s profitability and its ability to maintain its dividend payouts.
In conclusion, while Ford has shown promising growth and offers an attractive dividend yield and valuation, potential investors should weigh these benefits against the inherent risks associated with the automotive sector and Ford’s specific business challenges. The journey to becoming a millionaire might be possible with Ford, but it requires careful consideration of both the opportunities and obstacles that lie ahead.
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Glen Rodrick is a business journalist specializing in companies, financial markets, and consumer trends. He offers practical insights to help readers stay informed on economic shifts.
