Stocks With International Exposure Have Been Underperformers

On Monday, Ford warned that its international results would disappoint.

In an investor presentation, Ford said it sees taking a $1.2 billion pre-tax loss in Europe during 2014 due to lower industry volume and deteriorating business conditions in Russia.

In 2015, Ford expects to continue losing money in Europe - to the expected tune of $250 million - when the company had previously expected to become profitable in that market next year.

But Ford also had a troubling warning for its South America business. The company expects to take a pre-tax loss of about $1 billion 2014, but Ford on Monday became one of the first major companies citing weaker currencies as having a big impact on financial results.

Recently, the US dollar has been on a tear, and a stronger dollar is likely to impact the results of companies that do lots of business internationally.

In a recent note to clients, analysts at Barclays said companies with high international exposure have already begun to experience relative weakness.

Barclays said estimates haven't quite adjusted to reflect the dollar's strength, the market has begun to act, and this trend is likely to continue as third quarter results start rolling in.