Morgan Stanley Maintains Overweight on Ford

Morgan Stanley reiterates its Overweight on Ford (NYSE: F) despite 4Q miss, as it thinks 2012 outlook is constructive.

Morgan Stanley says, "Ford targets 'about equal' total company pretax profit in 2012 despite what is likely a $0.5bn-type reduction in Finco profit, implying a substantial increase in global auto profit despite challenges in Europe and Latam with higher structural costs in N. America. Ford went further to target a higher Auto operating margin in 2012 which is more positive than our estimate of a 30bp decline."

F closed at $12.79 a share on Thursday.