Director Buys $300K In Ford Stock After Years Of Inactivity

Through the course of 2024, Ford stock has remained largely flat, most recently closing out last week four percent lower than the prior week. This has been the case through much of the year so far, which isn’t terribly surprising given the automaker’s high levels of inventory, soaring inflation, and softened demand for EVs in general, the latter of which has prompted The Blue Oval to pivot to hybrids as of late. However, one longtime company director has now given Ford stock a big vote of confidence, it seems.

That director is John L. Thornton, according to Barron’s, who purchased 24,790 shares of Ford stock earlier this month at an average price of $12.08, which equates to a significant $300,000 buy. Thornton – who currently serves as chairman of Barrick Gold – joined FoMoCo’s board in 1996, and now owns 389,576 Ford shares, but this is apparently his first purchase in a number of years.

Perhaps more notable, this big buy makes Thornton the first Ford insider to buy stock on the open market this year. The last time this happened was December 2023, when the automaker’s chief electric vehicle, digital, and design officer, Doug Field, paid just over $2 million for 182,000 shares at an average price of $11.05 each.

Though it hasn’t exactly shown much upward movement through the first six months or so of 2024, Ford stock has received some backing from a few investment firms as of late. Many traders were keen to short Ford stock throughout 2023, and a couple of investment firms downgraded their outlook on those same shares as well. However, Morgan Stanley analyst Adam Jonas named Ford as that company’s top pick among all U.S. automakers in a note to clients this past February, pointing out that slower-than-expected growth in the EV market may actually benefit The Blue Oval.

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