Ford Motor (NYSE:F) Trading Down 1.7% - Here's Why

Key Points

• Recalls and EV setbacks are the immediate catalysts: regulators disclosed recalls affecting roughly 2.4 million vehicles and reports cite about a $19.5 billion EV-related charge after a ~71% plunge in February EV sales (notably the F-150 Lightning), creating near-term repair costs and strategic uncertainty.
• Market reaction is mixed: shares fell ~1.7% to about $12.13, and analysts average a "Hold" rating with a mean target near $13.29, although several firms have raised targets or upgraded the stock (tops around $17).
• Offsetting positives include growth in the Ford Pro commercial business, solid liquidity, a quarterly dividend yielding about 4.9%, and an insider purchase of 140,000 shares by William Clay Ford Jr., which some investors see as a stabilizing signal.

Ford Motor Company (NYSE:F - Get Free Report) shares were down 1.7% on Friday . The company traded as low as $12.03 and last traded at $12.13. Approximately 59,789,929 shares changed hands during mid-day trading, a decline of 16% from the average daily volume of 70,903,766 shares. The stock had previously closed at $12.34.

Key Headlines Impacting Ford Motor

Here are the key news stories impacting Ford Motor this week:

• Positive Sentiment: Analysts note Ford's underlying financial strength — growth in its Ford Pro commercial business and solid liquidity give the company runway to absorb recall costs and support operations, which some investors view as stabilizing for the stock. Why Ford's Recall Storm Isn't Derailing Its Investment Story
• Positive Sentiment: Value investors point to Ford's low price-to-book and favorable style scores as signs of potential undervaluation, keeping the stock on some buy lists despite near-term noise. Here's Why Ford Motor Company (F) is a Strong Value Stock
• Neutral Sentiment: Some market commentators frame the current sell-off as a potential buy-the-dip opportunity if Ford weathers the recall and EV transitions; this view tempers panic but depends on the size of charges and execution on product strategy. Everyone Hates Ford Right Now. Does That Make It a No-Brainer Buy?
• Negative Sentiment: Safety recalls are the immediate catalyst: regulators and Ford disclosed recalls affecting roughly 2.4 million vehicles (including ~1.74M U.S. vehicles for rearview-camera failures and ~605k for windshield-wiper issues), creating repair costs, reputational pressure and near-term cash/operational demands. Ford to recall 1.74 million vehicles in US over rearview camera issue, NHTSA says Ford to recall nearly 605,000 vehicles in US over windshield wiper issue, NHTSA says Ford Recalls Millions of Cars. The Stock Is Down.
• Negative Sentiment: Electric vehicle momentum has weakened: February EV sales plunged (~71%) as F-150 Lightning demand collapsed, prompting management to scale back some EV ambitions and refocus on hybrids and ICE models — a strategic reset that raises questions about EV profitability and future growth. Ford's February EV Slump: Why the F-150 Lightning is Losing Charge
• Negative Sentiment: Write-downs tied to the EV program are large and market-moving: reports cite a roughly $19.5 billion charge linked to the EV business, amplifying investor concern about capital allocation and future earnings. Ford's Success Battered By 615,000 Recall

Wall Street Analyst Weigh In

F has been the topic of a number of research reports. Piper Sandler raised Ford Motor from a "neutral" rating to an "overweight" rating and boosted their price objective for the stock from $11.00 to $16.00 in a research note on Thursday, January 8th. Morgan Stanley boosted their price target on shares of Ford Motor from $11.00 to $14.00 and gave the stock an "equal weight" rating in a research report on Monday, December 8th. Evercore upped their price target on shares of Ford Motor from $12.00 to $14.00 and gave the company an "in-line" rating in a report on Monday, December 22nd. Bank of America assumed coverage on shares of Ford Motor in a research note on Wednesday. They issued a "buy" rating and a $17.00 price objective on the stock. Finally, Barclays increased their target price on shares of Ford Motor from $12.00 to $13.00 and gave the company an "equal weight" rating in a research note on Friday, January 23rd. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, eleven have issued a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of "Hold" and an average target price of $13.29.

Ford Motor Trading Down 1.7%

The company has a current ratio of 1.07, a quick ratio of 0.94 and a debt-to-equity ratio of 2.95. The stock has a market cap of $48.39 billion, a price-to-earnings ratio of -5.89, a P/E/G ratio of 0.31 and a beta of 1.65. The company has a fifty day simple moving average of $13.70 and a 200-day simple moving average of $12.90.

Ford Motor (NYSE:F - Get Free Report) last released its earnings results on Wednesday, February 11th. The auto manufacturer reported $0.13 earnings per share for the quarter, topping the consensus estimate of $0.06 by $0.07. The business had revenue of $45.89 billion for the quarter, compared to the consensus estimate of $41.78 billion. Ford Motor had a negative net margin of 4.37% and a positive return on equity of 10.16%. The firm's quarterly revenue was down 4.8% compared to the same quarter last year. During the same period last year, the firm posted $0.39 earnings per share. On average, research analysts forecast that Ford Motor Company will post 1.47 earnings per share for the current fiscal year.

Ford Motor Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, March 2nd. Shareholders of record on Friday, February 13th were paid a dividend of $0.15 per share. This represents a $0.60 annualized dividend and a yield of 4.9%. The ex-dividend date of this dividend was Friday, February 13th. Ford Motor's payout ratio is -29.13%.

Insider Activity at Ford Motor

In other Ford Motor news, insider William Clay Ford, Jr. purchased 140,000 shares of the stock in a transaction dated Thursday, February 19th. The shares were acquired at an average price of $13.82 per share, for a total transaction of $1,934,800.00. Following the completion of the acquisition, the insider owned 3,912,600 shares of the company's stock, valued at $54,072,132. This represents a 3.71% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. 0.48% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Ford Motor

A number of institutional investors have recently bought and sold shares of F. Corsicana & Co. acquired a new stake in shares of Ford Motor during the third quarter worth approximately $25,000. Grove Bank & Trust lifted its position in Ford Motor by 110.7% in the 4th quarter. Grove Bank & Trust now owns 1,903 shares of the auto manufacturer's stock worth $25,000 after buying an additional 1,000 shares in the last quarter. MV Capital Management Inc. acquired a new stake in shares of Ford Motor during the 4th quarter valued at $25,000. Olistico Wealth LLC purchased a new position in shares of Ford Motor during the 4th quarter valued at $26,000. Finally, McMillan Office Inc. purchased a new position in shares of Ford Motor during the 4th quarter valued at $26,000. 58.74% of the stock is currently owned by institutional investors and hedge funds.

About Ford Motor

Ford Motor Company NYSE: F is an American multinational automaker headquartered in Dearborn, Michigan. Founded by Henry Ford in 1903, the company became an early pioneer of mass-production techniques with the Model T and the adoption of the moving assembly line. Today, Ford designs, manufactures, markets and services a broad range of vehicles and mobility solutions under the Ford and Lincoln brands, spanning passenger cars, SUVs, pickup trucks and commercial vehicles.

Ford's business activities extend beyond vehicle production to include parts and aftermarket services, fleet and commercial sales, and automotive financing through Ford Motor Credit Company.

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