The automotive sector is of particular interest to George Soros.
The legendary investor has invested a lot of money in this industry that is completely transitioning to electric vehicles.
Soros is truly convinced that electric cars are the future of the automobile, if we consider his portfolio of US listed companies.
This obviously includes Tesla (TSLA) – Get a free report, the automaker that is considered the benchmark when it comes to electric vehicles. Elon Musk’s corporation overwhelms lackluster competitors in terms of sales as well as output and market capitalization. But its lead has been reduced somewhat by rivals offering more and more electric models.
Soros is betting that Tesla will preserve its lead; Billionaires are like that get a raise its stake in the Model Y manufacturer.
Another automaker is also increasingly emerging as a safe bet for Soros.
Soros Buys More Ford Debt
This is Ford (F) – Get a free report. The famous investor proves it by continuing to buy debt from the Dearborn, Michigan-based corporation. According to one regulatory recordsmajor Democratic donor holds bonds with a par value of $78 million as of September 30. The paper is convertible into shares.
As of June 30, Soros owes Ford $29.5 million. As a result, he continued to massively buy the corporation’s debt for the next three months.
The investment shows Soros is seduced by CEO Jim Farley’s strategy, which has made Tesla its main competitor.
To achieve market share Quite quickly, Blue Oval offered two models in the most lucrative segment of the market: SUV/pickup/truck. The Ford Mustang Mach-E SUV was the third best-selling vehicle in the electric vehicle market in the United States from January through August, according to data from Experian.
It is second only to Tesla’s Model Y SUV and Model 3 sedan. Ford delivered 28,089 Mustang Mach-Es between January and September 30, a 49% increase despite production constraints and bottlenecks. Blue Oval is aiming to produce 200,000 Mustang Mach-Es per year by 2023, which will allow it to meet its goal of producing 2 million electric vehicles per year by 2026.
The company’s other hope is that the F-150 Lightning, an electric version of the iconic F-150, is on track, after deliveries began last June. From June to September 30, the company delivered 8,760 units. That number is expected to rise in the coming months even as Ford faces supply problems that hit its financial results in the third quarter.
The company recorded a net loss of $827 million in the third quarter due to a shortage of parts, which meant Ford was unable to complete assembly of between 40,000 and 50,000 vehicles. It also suffered an unexpected $1 billion increase in vendor-related costs and a fee due to the disbandment of Argo AI, a unit developing autonomous vehicles.
Stocks down 30%
third quarter turnoverhowever, rose to $37.2 billion, up 2.6%.
Ford also raised its adjusted free cash flow forecast for the full year to $9.5 billion to $10 billion, up from $5.5 billion to $6.5 billion previously forecast.
Ford stock is down 30.1% this year.
Stock market regulations require fund managers with more than $100 million in U.S. equities to file a document, known as a 13F, within 45 days of the end of the quarter, to list the stocks they hold that are traded on US exchanges.
The value of Soros’ US equity portfolio increased 4.3 percent quarter-over-quarter to nearly $5.9 billion. Soros Fund Management is a family office that manages public and private equity.
“SFM invests globally in a wide range of strategies and asset classes, including public equity, fixed income, commodities, forex, alternative assets and private equity,” the company said. know on its website.
Soros, whose net worth is estimated at $8.5 billion, is up $1 billion as of November 22, according to the Bloomberg Billionaires Index, known for pouring money into philanthropic causes. Most of his company’s assets go to the Open Society Foundations, which supports “people around the world working for justice, equality and free speech.”
