As Ford’s (F) Q1 earnings report rolled in, the company showcased better than expected earnings.

While earnings were up, revenue was down, which resulted in the company revising parts of its forecast for 2024. Ford stock was up on Monday, ahead of the earnings report. On that day, the stock climbed 5.7% in anticipation.

The numbers were already starting to come in and were looking good, and Ford stock price shot up and stayed up for a couple of days until the company released their forecast. On Thursday morning as trading opened, the stock began falling, dropping 1.44%.

Ford brought in $42.8 billion in revenue for Q1, which is up 3% from the previous quarter. Its EPS dropped 22%, though. US sales for Ford vehicles gained 6.8% in the first quarter, with hybrids and other EV sales climbing 82%.

That is not enough to save Ford for the coming quarter, though.

Ford’s Next Quarter Outlook

Ford upped its core profit for the year from $10 billion to $12 billion and said that EVs are selling slowly for them. They said they would shift their focus to hybrids instead.

The company said it was expecting to spend $8-$9 billion this year, which is down just slightly from its last forecast.

Revenue is down for Ford, though, with lower wholesale sales and pressure from industry pricing trends affecting the sales of Ford vehicles, specifically EVs. Those factors resulted in an EBIT loss of $1.3 billion, leading to an overall revenue decline for the company.

That is where Ford is hurting the most right now, and they will need to strengthen their EV lineup or successfully shift their resources elsewhere to compensate. The company’s stock may continue to drop for the next few days, but we expect a recovery in the following weeks as Ford fixes the leaks in its revenue stream. It may be wise to buy this solid stock on the dip here, as soon as it looks to hit its lowest point.