DETROIT – Shares of Ford Motor Co. dropped to their lowest level in 22 years yesterday, one day after 2007 sales figures showed that Toyota had dethroned Ford as the No. 2 auto seller in the United States.
General Motors stock also slipped to a 52-week low yesterday, and even Toyota's stock dropped.
Ford shares dipped as low as $6 yesterday, recovering to close down 32 cents, or nearly 5 percent, at $6.13. The previous low, adjusted for stock splits and other distributions, was $5.92 on Jan. 15, 1986, according to the Center for Research in Security Prices at the University of Chicago.
The decline comes the day after automakers released their full-year 2007 sales figures showing that Toyota sold 2.62 million cars and trucks, 48,226 more than Ford. Toyota's sales were up 3 percent for the year, while Ford's sales fell 12 percent to 2.57 million vehicles.
GM remained in the top spot, selling 3.82 million vehicles, down 6 percent from the previous year.
Last year was the worst year for U.S. sales since 1998 as consumers fretted over high gasoline prices, falling home prices and other economic issues.
GM shares dropped to a 52-week low of $22.87 yesterday, but recovered to close at $23.65. Still, GM stock fell 27 cents, or 1.1 percent. Even Toyota shares were down $2.96, or 2.8 percent, to close at $103.94.
Ford's stock dropped to its lowest level since the company was in a financial crisis in the mid-1980s, with sales of large cars falling due to high oil prices and the reputation of its Ford Pinto in tatters after some fiery crashes. The Ford Taurus sedan, which was introduced in December 1985, helped put the company back on firmer footing.
John Casesa, managing partner for the Casesa Shapiro Group, an auto industry financial advisory firm, blamed Ford's drop more on broader economic issues than 2007 sales figures or Toyota's taking the No. 2 slot.
“The company is highly leveraged and is heavily dependent upon pickups and sport utilities. The economy's slowing and oil's hitting record highs. The environment was difficult a year ago, but it's just gotten much worse,” he said.
