Cramer Likes Tesla But Prefers Ford Shares Over Elon Musk-Led Automaker — 'This Stock Could Get Back To Its High Of…'

Prominent market commentator Jim Cramer reportedly said although investors should continue to own Tesla Inc TSLA stock because of its tremendous growth potential, he also sees value in Ford Motor Co F.

"I think there's real value here in Ford, more value than is captured by its $14 share price, even with that 4.25% yield," Cramer said, according to a CNBC report. "Don't get me wrong, you've got my blessing to own Tesla. Yeah, you can do that too, because it's got incredible growth potential."

Also Read: How to Buy Ford (FORD) Stock

Price Target: The market expert said that some of Ford's success may depend on whether the Federal Reserve decides to announce more rate hikes. At the same time, he believes Wall Street treats Tesla as a tech company that won't be impacted much if the broader economy takes a hit.

"If I'm right about Ford, this stock could get back to its high of $25, where it was in January of 2022," Cramer said. "But if I'm wrong? I have to tell you, I think the downside — I'm calling it minimal. That's right, minimal. Investing is all about managing risk and reward. At these prices, I'll take Ford over Tesla any day, and believe me, I like them both."

Indeed, Tesla shares have significantly outperformed Ford stock this year. While Tesla stock gained 153.89% on a year-to-date basis, Ford shares have gained 21.75% during the period, according to Benzinga Pro.

"I think American ingenuity and innovation here at Ford are undervalued, undervalued versus Tesla and possibly even everything else made in America," he said.

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