There was a spate of news about Ford Motor Co. (NYSE:F) today, including the U.S. auto safety regulator opening a probe into the company for alleged diesel fuel leaks, alongside the departure of its CFO. Additionally, the automobile major plans to assemble 300,000 cars annually at its plant in Valencia, Spain, starting from 2027.
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NHTSA Opens Probe into Ford’s Vehicles
The National Highway Traffic Safety Administration (NHTSA) announced that it was initiating an investigation into 210,960 Ford vehicles due to complaints of diesel fuel leaks that could potentially lead to fires. The U.S. auto regulator reported receiving 12 complaints of fires and four cases of injuries involving Ford F-Series Super Duty trucks equipped with 6.7-liter diesel engines from model years 2015 to 2021.
The probe would be the first step for the NHTSA to assess whether these vehicles pose a safety risk. In a separate statement, the NHTSA also stated that it had “significant safety concerns” over Ford’s recall of 42,000 SUVs regarding fuel leaks that could lead to an engine fire.
Departure of Ford’s CFO
Meanwhile, on Friday, Ford announced that its CFO, John Lawler, will step down early next year. Lawler, who has been Ford’s CFO since October 2020, will transition to Vice Chairman at Ford, effective in June next year.
Sherry House, who was most recently a CFO at electric vehicle maker Lucid Group (NASDAQ:LCID), will join Ford as Vice President of Finance and will succeed Lawler early next year.
Ford Plans Car Assembly at Spanish Plant
In addition to this, the company plans to assemble 300,000 units every year at its Spanish plant in the Valencia region starting in 2027. Earlier this year, Ford had stated that it was considering manufacturing a new sports utility vehicle (SUV) at its plant in Valencia.
Is Ford Stock a Good Buy Right Now?
Analysts remain sidelined about Ford stock, with a Hold consensus rating based on four Buys, five Holds, and two Sells. Over the past year, Ford has increased by more than 8%, and the average Ford price target of $14.58 implies an upside potential of 20.2% from current levels.
