Ford Motor Company (F) is in play. The hounds of M&A are after it. A couple of events (besides the dismal sales outlook):

Business Week ran a couple of articles, the first on the Ford family considering releasing some control (they have a special voting class of shares) and the stock price is up sharply (36% in the last month) pushed by a lot of accumulation pressure (F) .

Sales are dismal. Ford just announced temporarily shutting down several plants until inventories reduce (dealer lots are too full and channel stuffing works only so long) - expecting next quarter to produce nearly 25% fewer vehicles. They have been racking up huge losses and only hope to be profitable again a long way in the future.

There once was a rumor that Ford would have been acquired by Daimler had those family stock shares not existed. Daimler is now tied up, but there could be others interested - from the Nissan camp (though Nissan is less likely due to canceling
Volvo agreements) and some denials by Hyundai to buy Jaguar to Private Equity firms that would trim down the expenses and sell off some wonderful assets/brands and make the company strong again. Or so the press releases will say. A smaller Ford might be more profitable, but it would be smaller too expected job cuts may be accelerated . There is also trouble with credit rating cuts .

For investors, the stock is moving. With the buying pressure now evident it will be fickle and at any moment that surge could disappear. But there is buying pressure. Maybe it’s Kerkorian & crew working to stitch together a Frankenstein GM-F company? There would be rediculous numbers of redundant brands, platforms, and products. But it would be in play and pay some quick moving investors handsomely - provided they knew how to get out before the crash. And that will be the key - watch the stock closely and keep moving up your trailing stops.

The business cycle is in the investor’s favor now, and Ford Motor is serious about fixing their problems. The last half of the decade should see great improvement in vehicle sales along with profits just by being in the business. Ford is one of the grand cyclical stock plays - don’t miss out (but if you get in - watch your shares closely!).

Cheers!

[Usual disclaimer here about I do not directly own shares in Ford at this time and that you use this information for investing at your own risk]