Investors have undervalued Ford shares amid the company’s efforts to turn around its business, according to Goldman Sachs.

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Analysts at the investment bank on Monday upgraded the stock to “buy” from “neutral” and raised its 12-month price target to $12, up from $9. Goldman Sachs also deemed the automaker’s dividend of 15 cents a share to be “manageable,” despite investors’ concerns that Ford could cut the quarterly payout with its bottom line under pressure.

Including expected share gains and the dividend, Goldman Sachs sees a total return of about 40 percent for Ford shares over the next year.

“As Ford begins to announce restructuring actions and as its operational improvements begin to take hold, we believe investors will start to look at the upside potential to the bottom-line from its turn-around actions,” Goldman Sachs said in a note to clients.

Ford has undertaken a broad restructuring plan that will cost an estimated $11 billion. Shares of the company have slid as traders await a full breakdown of the plan. Thus far, Ford has said it will reduce costs, create a stand-alone business for its China operations and move faster to develop new technologies such as self-driving cars. The company confirmed earlier this month it will cut some salaried workers as part of the restructuring.

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