Shares of Ford (F) were lower during midday trading on Monday after Morgan Stanley reiterated its "underweight" rating on the stock with an $11 price target.

The firm also stated that Ford's stock should drop another 11% over the next 12 months.

"We believe a decline in used car values may occur a bit later than consensus, but could also prove to be far more severe," Morgan Stanley analyst Adam Jonas wrote. "We see Ford as particularly vulnerable given the size of its Finco program relative to other OEMs."

(Ford stock is held in the Dividend Stock Advisor portfolio. See all of the holdings with a free trial.)


More from Investing

Imagining the Stock Market in 10 Years

Imagining the Stock Market in 10 Years

Tesla's Future Model 3 Profit Margins Remain a Big Question Mark

Tesla's Future Model 3 Profit Margins Remain a Big Question Mark

Bank Stocks Slump After Congress Greenlights Dodd-Frank Rollback

Bank Stocks Slump After Congress Greenlights Dodd-Frank Rollback

Congress May Have Just Set in Motion a Huge Banking Industry Merger Wave

Congress May Have Just Set in Motion a Huge Banking Industry Merger Wave

Tesla Model 3 Outsells BMW, Mercedes Equivalents in California

Tesla Model 3 Outsells BMW, Mercedes Equivalents in California