General Motors Company (GM): Will Ford Motor Company (F)’s New-Look 2015 Mustang Top the Camaro?

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If Ford can’t strike the right balance between appeasing the U.S. consumer and those overseas, the Camaro — which has now outsold the Mustang for the past three years — will continue to win the age-old muscle-car rivalry. According to Automotive News, Ford of Europe design chief Martin Smith called the balancing act “a really interesting challenge” and added: “What will emerge from that whole process is one of the best sports cars in the world and one that is still affordable.”

That’s a pretty confident statement, but keep in mind that Ford Motor Company (NYSE:F) is on a hot streak of producing extremely popular vehicles. I agree with Smith, and I think the next-generation Mustang is going to be a hit here in the U.S. and globally. It needs to be a hit to restore Mustang sales — which have dropped significantly — back to the No. 1 spot.


2013 Estimated from sales through July. Graph by author. Information credit: Automotive News DataCenter.

Investing takeaway
The Mustang’s value goes far beyond its sales and truly represents Ford’s brand image. However, Ford is enjoying improving market share in Europe, even amid an industry still in decline, and it’s also setting record sales in China. Right now the charge is being led by the Fusion, Focus, Fiesta, and Escape — but a little muscle could go a long way. Ford needs to continue adding to its strong global lineup, and it expects, and needs, the Mustang to deliver the goods.

Investors are optimistic about Ford’s future, and the stock has reflected that view, rising 70% over the past 12 months as of this writing. I believe Ford will continue to do well as a company and as an investment, and next year’s redesigned Mustang and F-150 will be further reason why.

The article Will Ford’s New-Look 2015 Mustang Top the Camaro? originally appeared on Fool.com and is written by Daniel Miller.

Fool contributor Daniel Miller owns shares of Ford and General Motors. The Motley Fool recommends Ford and General Motors and owns shares of Ford.

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