Legacy automaker Ford (F) took a hit recently when the federal government pared back the tax credit for electric vehicle purchases. But Ford decided to win back some of that business by offering up electric vehicles that were priced sufficiently affordably that no one needed tax credits to buy them. Those vehicles are actually coming fairly soon, reports note. Not soon enough for investors, though, who sent shares down nearly 1.5% in Tuesday afternoon’s trading.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Jim Farley made it clear, those electric vehicles—priced to move at $30,000 each—are on the way, and they are, in fact, “right around the corner.” If that sounds like the kind of thing that makes your eyes roll in response, I advise you to hold your cynicism, because reports note that Ford is currently testing such vehicles now. In fact, they are 95% complete in terms of sourcing as well.
This calls on the earlier revealed Ford Universal EV Platform, a system that allows vehicles to be made at lower costs thanks to “flexible architecture” that allows for more rapid construction. Granted, this might sound contradictory, given that Ford was spotted scaling back its EV plans previously. But thanks to the Universal EV Platform, Ford is getting at least some models back in the game.
The AC Special
Then, in a move that surely prompted some to wonder what Andrew Cuomo was thinking, the mayoral candidate in New York City was recently spotted campaigning in a white Ford Bronco. Yes, the exact kind of car that another AC, Al Cowlings, used to drive O.J. Simpson around in during a low-speed police chase way back in 1994.
Cuomo referred to the vehicle as his “good luck car,” and also noted, “It’s not the O.J. Bronco.” Indeed, Cuomo’s Bronco was a 1996 model, which was the last year in which Ford released a full-size Bronco. Cuomo called it a “classic,” and noted that he owned the car for “many, many years” with “many good memories.”
Is Ford Stock a Good Buy Right Now?
Turning to Wall Street, analysts have a Hold consensus rating on F stock based on two Buys, nine Holds and two Sells assigned in the past three months, as indicated by the graphic below. After a 22.74% rally in its share price over the past year, the average F price target of $12.14 per share implies 5.27% downside risk.
