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Ford Energy Subsidiary Drives Stock Surge on Storage Market Bet

Ford Motor shares jumped 6.7% Thursday, extending a 13% gain from Wednesday, as Wall Street embraced the automaker's newly announced energy storage division. Ford Energy, a wholly-owned subsidiary established this week, will supply battery storage systems to utilities, data centers and industrial customers across the United States. Morgan Stanley termed the unit an "underappreciated driver" toward profitability for Ford's electric vehicle business. Analysts flagged a "fairly high likelihood" Ford will secure energy storage contracts with major commercial customers and technology firms within the coming months. The timing coincides with renewed diplomatic cooperation between U.S. and Chinese officials, easing previous concerns about Ford's existing battery supply partnerships. The stock had declined more than 2% earlier in the week before this week's announcements.