Ford surges 20% in two days! Energy storage enters the scene, "Hidden data center beneficiaries" ignite meme enthusiasm

Over the past few days, Ford Motor’s stock price has risen strongly. Analysts believe that its energy storage business may be driving the stock toward more topical, high-interest popular sectors in the U.S. stock market.

On Thursday, Ford’s stock price jumped 6.7% in a single day, after already surging 13% on the previous trading day. However, before these two rounds of sharp rallies, the stock had been relatively flat this week, with a cumulative drop of more than 2% from Monday to Tuesday.

Earlier this week, according to China Energy Network, with CATL’s technological backing, Ford formally entered the energy storage space. Ford announced the establishment of a wholly owned subsidiary under the company, “Ford Energy,” focusing on assembling battery energy storage systems assembled in the United States, serving utility companies, data centers, as well as large industrial and commercial clients.

In a research report released on Tuesday, Morgan Stanley referred to Ford Energy as a “market-underrated driving force” behind Ford Model e electric vehicles’ path to profitability. The firm said that, as Ford moves into the energy storage market and introduces CATL’s technology licensing, it is highly likely that over the next few months Ford will sign energy storage supply agreements with large commercial clients—and even with ultra-large-scale data center operators.

Morgan Stanley analysts wrote in the report: “Energy storage is a new business, but they have the right technology. We believe this is an opportunity for Ford to deploy capital into strategic growth areas, and that its architecture design can meet regulatory requirements while maintaining operational control.”

It was these comments that sparked Ford’s surge on Wednesday. On that day, the stock significantly outperformed the broader market—on the same day, the S&P 500 index rose by about 0.6%.

In a research report on Thursday, Barclays analysts said that the abnormal movement in Ford’s share price indicates that this stock has the ability to occasionally ride market “meme enthusiasm.” The jump in the share price on the previous trading day likely led the market to reposition Ford as a “hidden beneficiary of data centers.” On the surface, this rally may not necessarily be rational (Ford still has many things that need to be proven), but given the market’s high enthusiasm for AI and data centers, this trend is understandable.

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