General Motors Company (GM), Ford Motor Company (F), and a Foolproof Plan

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With insufficient investment, the capital capacity in economies will not grow and physical production processes cannot improve. During the crises, however, the auto manufacturers were able to streamline operations, reduce excess costs, and prepare for the future while their capacity and production were cut. One major result is a healthy balance sheet for FordGeneral Motors, and Toyota.

GM Asset Utilization data by YCharts

Utopia is not ahead for the industry; but, a major drought is temporarily over. Even with increasing competition, these major auto manufacturers are surging forward with new production schedules, new automobiles, and new sales records.

Conclusion

Investors should keep a keen eye on the supply and demand of goods and services. Their time investment may reap great financial benefits. Each of the aforementioned firms is exceeding analyst expectations, and given the continued demand, sales will continue. Even though Ford Motor Company (NYSE:F), General Motors Company (NYSE:GM), and Toyota are fierce competitors, they are all good investments.

Brendan Marasco has no position in any stocks mentioned. The Motley Fool recommends Ford and General Motors. The Motley Fool owns shares of Ford.

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