Track market-moving stories before they get noisy

Ford's trailing earnings show a loss of nearly two dollars per share, yet the automaker keeps writing dividend checks and even raised its forward cash flow guidance. Before assuming the payout is doomed, look at what actually drove those losses.

Ford (NYSE:F | F Price Prediction) pays a 4.94% dividend yield on a $0.60 annual payout, while its trailing EPS is -1.88. Shares trade at $11.56. The stock is down 8.87% year to date and 11.76% over the past month. That leaves income investors asking whether the losses put the dividend at risk.

Write-Downs Drive the Losses While Trucks Drive the Cash
Special charges drive the red ink. Ford posted a $1.3 billion net loss in the second quarter, mostly from a charge linked to selling off its BlueOval SK battery joint venture. CFO Sherry House explained it on the earnings call:

“We recognized a one-time special item charge of $3.6 billion, of which approximately $500 million was cash.”

In the same quarter, Ford generated $2.5 billion in adjusted EBIT and $2.1 billion in adjusted free cash flow. Full-year 2025 shows the same split. Ford lost $8.162 billion on paper but produced $21.282 billion in operating cash flow. That easily funded $8.815 billion of capital spending and $2.989 billion in dividends.

Cash Flow Covers the Dividend Nearly Three Times Over
Ford raised its 2026 adjusted free cash flow guidance to $6 billion to $7 billion. The regular dividend costs about $2.35 billion a year, so the guidance covers it roughly 2.6 to 3.0 times. Ford also held $22.3 billion in cash and $43.4 billion in total liquidity. House said:

“We remain committed to our investment grade rating and returning capital to shareholders.”

Ford Credit, the company’s lending arm, adds more support. It made $757 million before taxes, up $112 million, and full-year pretax earnings are expected to top $2.5 billion. On the risk side, debt-to-equity stands at 4.66, Model e is headed for a loss of about $4 billion, and the Novelis aluminum disruption will cost about $1.5 billion.

Ford Has Cut the Dividend When Cornered
Ford paid $0.15 through its January 2020 ex-dividend date and then paid nothing until November 2021. It returned to $0.10 and rose to $0.15 in August 2022. In strong years, Ford added extra payouts. Its first-quarter dividend was $0.33 in 2024 and $0.30 in 2025. In 2026, the February payment was the regular $0.15.

GM Pays Less in Dividends but Buys Back More Stock
General Motors (NYSE:GM) raised its quarterly dividend 20% to $0.18 and approved a $20 billion buyback, yet it yields under 1%. Stellantis (NYSE:STLA) suspended its 2026 dividend after its net cash turned into €6.7 billion in industrial net debt. CEO Antonio Filosa blamed “the cost of overestimating the pace of the energy transition.” Ford falls in between. Its yield is far higher than GM’s, and its cash flow is much stronger than Stellantis’s.

What Ford’s Next Earnings Report Needs to Show
Ford reports third-quarter results on October 28, a date the company has not yet confirmed. Investors should look for four things: a reaffirmed $6 billion to $7 billion free cash flow target, a recovery in Super Duty orders, Model e losses staying on track, and progress on the remaining cash charges of up to $2 billion. The outlook for 2027 is still unclear. On whether profits will rise next year, House said, “It is too early to say at this point.”

Verdict: The $0.15 regular dividend looks well funded for 2026. The stock still has the risks of a cyclical, heavily indebted automaker, and additional payouts remain uncertain.

Contact [email protected] for any questions or corrections.

About a year ago, Ford Motor Company (F -2.06%) made an intriguing move by partnering with online retailer juggernaut Amazon (AMZN -0.10%) that many investors overlooked. That was when Ford announced it would sell Ford Blue Advantage vehicles, or certified pre-owned (CPO) vehicles, on Amazon Autos.

Let's peel back the outer layers of this move, which has helped boost Ford's CPO sales by 44% during the third quarter and surpassed Toyota's (TM -0.85%) volume for the first time. Here's exactly why Ford's expanding CPO sales is a great thing for long-term investors.

Image source: Ford Motor Company.

Pedal to the metal
Ford is well on its way to topping its 500,000 CPO sales target for 2027, which will likely remove Toyota from its spot as the industry's top certified seller. Better still, Ford's impressive 44% gain in CPO sales during Q3 comes with the industry's CPO sales declining 2.5% through August, according to Automotive News Data Center. This is all great news, but let's explain exactly how and why this is great news for long-term investors.

Ford launched its dealer-led CPO program, Ford Blue Advantage, in 2021. About 70% of Ford's 2,800 U.S. dealerships participate in the program, which also launched a similar program for Ford Pro commercial vehicles. What's interesting about Ford's CPO business is that when consumers buy a non-certified used vehicle, they return to the manufacturer only about 30% of the time. When that sale is for a certified vehicle, the consumer remains loyal and returns to the brand more than half the time.

"The biggest part that I press on our dealers of why it's important to certify the vehicles is that connectivity back to the brand," according to Rob Kaffl, Ford's director of U.S. sales and dealer relations. "You have an audience that we can now market to moving forward for a new vehicle or any of our other services."

Why CPO sales are important
Another big part of the CPO business for Ford is that after discontinuing the Escape and Lincoln Corsair last year, it has fewer entry-level options for consumers. CPO sales help the Detroit automaker fill this void for budget-conscious buyers and gives Ford another way for its dealers to retain and attract consumers.

F Ford Motor Company$11.90-$0.25 (-2.06%)

NYSE · As of 4:00 PM ET 10/21/26

CPO sales can also move the needle for Ford's overall sales, as it has started giving dealers certificates for each sale through its Ford Blue Advantage program, which effectively serves as an incentive to help lower new-vehicle prices. Ford's CPO sales have grown 96% since beginning in 2021 and are on pace to double its first six months of 2026 CPO sales during the second half of the year.

Investors shouldn't underestimate the importance of Ford's expanding CPO program because consumer loyalty in the automotive industry is incredibly powerful and "conquesting" consumers from a rival brand can be costly. Increasing loyalty, filling the void of entry-level options, and creating a new car sales pipeline through dealer certificates and incentives can move the needle for new vehicle purchases. All in all, if Ford executes and indeed surpasses Toyota in CPO sales next year, it's just one more reason to believe Ford is still turning into a well-rounded business for long-term investors.

Ford Motor Company (F +0.97%) is one of America's oldest industrial names. Henry Ford, who founded the business in 1903, perfected the moving assembly line. This enabled mass production of his first automobile, the Model T.

The company has evolved, and now it operates three key segments. Ford Blue sells gas and hybrid vehicles. Ford Pro serves commercial customers. And Ford Model e is the electric vehicle (EV) division.

The automotive stock has been volatile. And it has traded down 6% in 2026 (as of Oct. 15). Now under $15 per share, is it time you add Ford to your portfolio?

This is a historic business. But here's why investors should pump the brakes.

Image source: The Motley Fool.

Executives misallocated shareholder capital
Ford was burning money for years within its EV segment. Operating losses totaled almost $15 billion from the start of 2023 through the end of 2025.

Industry EV demand was trending weaker than anticipated in the U.S. Even Tesla, the disruptor that popularized premium EVs globally, has felt the pain in recent years. Its automotive sales were a reported $20.5 billion in Q2 (ended June 30). That is essentially flat compared to Q4 2022.

Last December, Ford recorded a material charge related to its EV reset. "As a result, Ford expects to record about $19.5 billion in special items, the majority in the fourth quarter of 2025, with the remainder in 2026 and 2027," the December 2025 press release read. "As part of these special items, the company expects approximately $5.5 billion in cash effects, with the majority paid in 2026 and the remainder in 2027."

This charge hit the financial statements in different ways. There were asset impairments and write-downs in the Model e segment. Ford ended its battery joint venture with SK On, which was a $6 billion hit to operating income. And there were billions in restructuring expenses.

Ford's management deserves some credit for making the tough decision to cut its losses and scale back its EV ambitions. The goal was to align the business in the best way possible for future success. And to add to the positive tone, legacy peers have also had to restructure their EV operations. So, this wasn't just a Ford problem.

However, investors are right to view this as a gigantic waste of capital. That $19.5 billion amounts to 40% of the company's entire market capitalization.

F Ford Motor Company$12.43+$0.12 (+0.97%)

NYSE · As of 4:00 PM ET 10/16/26

This is a brutal industry
Of course, Ford's leadership team didn't act with malicious intent. It's not like they woke up one day and decided to direct capital on wasteful projects. They surely believed that EVs were going to rapidly take market share for a very long time. And they tried to position the company to capture what they thought was a sizable opportunity.

But the EV strategic pivot, and resulting financial misstep, highlights how brutal the mass-market auto industry can be. It's accurate to say that Ford is a low-quality and risky business to own. It must constantly spend huge sums on capital expenditures just to maintain its competitive position. During the three-year period from 2015 to 2018, at a time of low 72-month auto loan rates, its capex totaled over $21 billion. However, net income was cut in half from 2015 to 2018.

And when it does try to go on the offensive, as it attempted with the Model e segment, it has to accurately predict which way the market is going. That's a multiyear and multibillion-dollar endeavor. When it doesn't work out, it's a costly mistake.

The valuation is cheap right now, if that means anything. The stock trades at a forward price-to-earnings ratio of 7. And for what it's worth, Ford is repurposing some of those EV assets to capture strong AI-related battery demand. At scale, this isn't going to drive meaningful profit, though.

Even under $15 per share, Ford is best avoided.

If you've ever looked into Ford Motor Company (F -1.30%) as a potential investment, you should certainly understand how important its bread-and-butter F-Series truck line is to its bottom line. If there's one factor for Ford to remain stable, it's the F-Series' ability to sell well, maintain strong margins in a low-margin industry, and keep customers loyal and coming back.

Let's take a quick look at what massive F-Series speed bump cost the company billions, how it finally moved to recouping lost sales, and a stark look at just how much the F-Series means to the automaker. Hint: It is perhaps valued more than the company itself.

Image source: Ford Motor Company.

Finally! Ford's production setbacks are resolving Ford has officially fully recovered from multiple fires at a critical aluminum supplier, Novelis, which negatively impacted the F-Series production by tens of thousands of vehicles over the past year, according to Ford CEO Jim Farley. August was Ford's Super Duty production's best output month since March of 2006, and the F-150 production was at its highest since August of 2024.

This has been a massive overhang on the company, and it was an issue originally expected to have a net cost of $2 billion, although Ford hopes to recover roughly 50,000 units of production this year to help offset those losses. As of now, Ford has been back on track building F-150s using aluminum from the Novelis factory in New York for about a month.

Previously, with Ford in a tricky spot -- remember that Novelis supplies about 40% of the aluminum sheeting used in the U.S. automotive industry, and Ford is its single largest customer -- the company had to source specialized aluminum from overseas, which not only added logistics complexities but increased Ford's tariff costs.

The impact on the F-Series was real, with sales plunging 16% in the first quarter alone, giving up tens of thousands of highly valuable truck sales and market share to rivals such as General Motors (GM -1.24%) and Stellantis (STLA +0.00%). Through September, F-Series sales in the U.S. remained 9.5% lower compared to the prior year, while the Ram 1500 surged 73% higher in the U.S. market during the third quarter and remains 41% higher year-to-date.

It's great news for investors that this speed bump is in the rearview mirror, but just as important is that investors truly understand how much value the F-Series has for Ford -- and whether that's a positive or a negative, given the company's dependence on it.

Is the F-Series more valuable than Ford? At first glance, it might not make much sense to value the F-Series more than Ford itself, but over the past decade, that's exactly the narrative and conclusion analysts have reached. Almost a decade ago, well-known automotive analyst Adam Jonas of Morgan Stanley estimated that if the F-Series franchise were a stand-alone business, it would be worth 135% of Ford's total market capitalization.

Not much has changed since then. The F-Series remains dominant, still bringing in huge margins and average transaction prices (ATPs), and the company's Model e division has logged billions in losses as it develops the future bloodline of electric vehicles (EVs). Further, as these margin-loaded trucks don't sell well outside the U.S., and China's more affordable vehicles are exerting pressure nearly everywhere overseas, the F-Series' value to Ford's North American profit engine may be more important than ever.

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What it all means This supplier speed bump and the ensuing inventory shortage certainly cost Ford, although, in the grand scheme of things, it navigated the situation well. But what investors should take from this entire development is just how critical the F-Series is to the company's bottom-line growth or struggle.

The fact that Ford holds such a dominant position in highly valuable full-size trucks is certainly a great thing, but that dependence on one product line could be concerning if things change in the future. Right now, electric trucks require much larger and more expensive batteries, making them less lucrative than their gasoline predecessors. That could pose a problem as the globe is slowly transitioning to EVs. It's just one important fact for investors to note when creating their investment thesis for a rapidly evolving automotive industry, and one of its legacy global automakers, Ford.

Key Takeaways Ford's U.S. sales fell 6.6%, but core-model sales were flat as retail share rose 0.4 points to 12.1%.F-Series, Super Duty and Maverick Hybrid gains highlight strong demand for Ford's higher-value vehicles.Paid software subscriptions topped 1.7M, while Ford expects the supplier issue to stay within EBIT guidance. Ford (F - Free Report) heads into its upcoming third-quarter earnings report with encouraging underlying trends in its core truck and SUV businesses, despite a decline in overall U.S. vehicle sales. Ford's third-quarter U.S. sales fell 6.6% year over year to 509,764 vehicles, primarily reflecting the planned phase-out of Escape and Corsair.  

The strength of Ford's higher-value vehicle portfolio remains a key positive heading into earnings. F-Series sales increased 2.4% in September, while Super Duty production rose 4.4% to 110,275 units, marking its best quarterly performance in 19 years. Maverick Hybrid sales surged 59.6% to a record 27,793 units, and Bronco also recorded its strongest third-quarter sales.  

Demand for large SUVs, including Explorer and Expedition, further supports the company's product mix and pricing position. Additionally, active paid software subscriptions surpassed 1.7 million through September, increasing more than 40% year over year and strengthening the potential for recurring, higher-margin revenues. Although a temporary supplier issue affected F-150 production late in September, management expects the financial impact to remain within its existing 2026 adjusted EBIT guidance of $10-$11 billion.  

However, electric vehicle sales were the weak spot. According to Electrek, Ford’s U.S. EV sales plunged 80% year over year to 6,047 vehicles in the third quarter of 2026, Mustang Mach-E sales fell 72.4% to 5,574 units, while F-150 Lightning sales tumbled 97% to just 289 units. 

Competitive Context: GM & TMGeneral Motors (GM - Free Report) provides a useful comparison, as its third-quarter U.S. deliveries declined 5.5% to 670,974 vehicles, broadly reflecting the pressure on industry volumes. Nevertheless, GM's Silverado light-duty sales increased 13.3%, while Trax and Trailblazer posted gains of 16.3% and 51.1%, respectively. These results highlight that, much like Ford, GM continues to benefit from demand for selected trucks and affordable SUVs even as overall deliveries soften.  

It also witnessed a steep pullback in EV demand. Chevrolet Equinox EV deliveries plunged 92.4% year over year to 1,905 units, Blazer EV sales declined to 1,261 units and Silverado EV deliveries fell 58% to 1,655 units. Cadillac LYRIQ sales dropped 50.5%, while GMC HUMMER EV and Sierra EV sales decreased 72.9% and 50.8%, respectively. GM noted that its overall third-quarter sales decline partly reflected a substantially smaller EV market. 

The comparison becomes more nuanced when comparing Toyota (TM - Free Report) , which delivered 633,223 vehicles in the United States during the third quarter, up 0.6% year over year, with Toyota division sales rising 0.5% and Lexus sales increasing 1.6%.  

Toyota's electrified vehicle sales, including hybrids, jumped 28.5% to 363,367 units and represented 57.4% of its total quarterly sales, underscoring the strength of its multi-path electrification strategy. Toyota also continues to benefit from a broad electrified lineup, with 32 electrified vehicle options available across the Toyota and Lexus brands. 

The Zacks Rundown for FordShares of F have gained 1.49% in a year against its industry’s 3.4% decline. 

Image Source: Zacks Investment Research

Ford is currently trading at a forward 12-month price-to-earnings of 6.33X, lower than the industry’s average of 82.96X. It carries a Value Score of A. 

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for fiscal 2026 earnings implies year-over-year growth of 70.6%. 

Image Source: Zacks Investment Research

The consensus estimate for EPS for fiscal 2026 has been flat over the past 60 days. 

Image Source: Zacks Investment Research

F currently carries a Zacks Rank of #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Ford (F.N) said on Friday its third-quarter sales fell 6.6%, as the Detroit automaker phased out its Escape ​and Lincoln Corsair crossover models.

Sky-high gasoline prices ‌after the U.S.-Iran war and higher costs for everything from groceries to insurance have nudged some buyers away ​from thirsty engines to hybrid vehicles.

Regular gasoline prices have hit a national average ​of $4.43 a gallon in September, according to ⁠industry group AAA, compared with $3.20 a gallon year earlier.

"We are ​definitely seeing more demand on the hybrid powertrain, ​including on the F-150," Ford executives told Reuters on Friday.

Ford's sales decline is on par with its Detroit peers who are ​fending off stiff competition from Asian automakers such as ​Toyota and Honda with hybrid-heavy lineups.

Quarterly sales of Ford's trucks, ‌which ⁠includes its flagship F-series models, rose 0.5% from a year ago to 315,112 units.

Although auto loan rates have declined, affordability remains a challenge as higher vehicle prices and ​lower trade-in values ​push monthly ⁠payments higher.

The average new-vehicle transaction price rose 1.9% to $50,089 in August, ​according to industry expert Cox Automotive.

Sales of ​Ford's ⁠affordable Maverick pickup truck, which is offered with a hybrid powertrain, rose a little over 20% ⁠to ​41,970 units.

Ford's overall third quarter ​sales fell 6.6% to 509,764 units from a year earlier.

Ford CEO ​Jim Farley said a supplier issue that ‌affected F-150 pickup-truck output in recent days has been resolved, but the snag has impacted the company’s third-quarter wholesale numbers.

Production ​of Ford’s best-selling vehicle was halted last week ​at a Detroit-area factory because of a ⁠supply problem, and had been scheduled to resume on Tuesday, Reuters ​reported last week, citing an internal memo. Ford’s Kansas ​City F-150 plant also was affected, Reuters reported.

Farley told reporters during an event on Wednesday that the issue with the supplier, which ​he did not name, has been fixed.

“We are ​back up and running,” he said. “The supplier issue, you know, we ‌have ⁠ways to address it. It is impacting our third-quarter wholesale. But I’m very optimistic.”

Farley also said that the company is “fully recovered” from the effects of two ​factory fires late ​last year ⁠that disrupted production at aluminum supplier Novelis, crimping Ford’s truck output for much ​of the year.

The supplier issue that affected ​Ford’s ⁠truck output in the past week was unrelated to the aluminum issue, Reuters reported last week.

Sales of Ford’s ⁠F-Series ​trucks, which fuel the bulk ​of the company’s profits, fell 11% year over year through August.

DETROIT — Ford Motor CEO Jim Farley said Tuesday he believes politicians should take lessons learned from Europe when deciding whether to allow Chinese automakers into the U.S., cautioning that it's "too late" for that region but not for the American market.

"I think it's just important for us to take our time to be considerate," Farley said at the Automotive News Congress in Detroit. "I watch what's happening in Europe right now, where that was not the case, and it's really something that they have to deal with now, and it's too late."

Global market share for Chinese brands jumped nearly 70% from 2020 to 2025, according to market research and consulting firm GlobalData. Chinese automakers' market share in Europe was virtually nothing in 2020 but hit 12% in August, according to Germany-based Dataforce.

Farley's comments come as Ford tries to compete against an influx of Chinese automakers entering Europe, while also attempting to partner with some Chinese companies to fill plants and assist in other technologies, such as electric vehicle batteries.

Ford and China automaker Geely said in July that Geely planned to build EVs at a Spain plant owned by the Detroit automaker by early next year through a new manufacturing joint venture.

"Our answer is pretty simple. We're going to partner with the Chinese where we don't have [intellectual property], where we can be more capital efficient in places like Europe or Southeast Asia," Farley said Tuesday.

He also added that Ford plans to also compete against the Chinese, noting that it's preparing to launch its "universal electric vehicle" next year with a pickup truck.

The Trump administration sent the automaker a letter earlier this month expressing "profound concern" about its ties to Chinese companies and questioning its strategic trajectory. Ford at the time defended its stance as America's top-producing carmaker and said it employs more hourly workers in the country than any other automaker.

Farley's warning also comes on the heels of a high-profile visit last week by Chinese President Xi Jinping with President Donald Trump, who earlier this month said he might be "OK" letting Chinese automakers into the U.S. if they produced vehicles domestically.

There also are bills in Congress that could restrict or even permanently ban Chinese automotive brands from entering the U.S. market.

Ford Motor Company's (F +1.03%) dividend history is one of severe ups and downs. From the Great Recession to the COVID-19 pandemic, Ford's dividend hasn't been immune to macroeconomic factors. Since 2022, however, the dividend has been consistent. So is it a buy now for income investors?

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With the automaker's shares trading around $13, the dividend yield is impressively over 4.5%. That's well above the S&P 500 average. The $0.15-per-quarter cash payout hasn't grown since 2022, but Ford's financial picture is ultimately improving.

Ford's management raised its full-year guidance recently to $10 billion to $11 billion in EBIT and adjusted free cash flow of $6 to $7 billion. This will cover the dividend with room to spare. The automaker also has significant liquidity on its balance sheet. While its EV unit is losing about $4 billion per year, the company is pivoting into energy storage, which could prove quite lucrative in the coming years.

Image source: Getty Images.

For long-term investors who understand that Ford remains subject to industry cycles, its dividend is well covered and increasingly durable. The downside is that the dividend hasn't grown. It would be nice to see Ford's improving financial performance reflected in its payouts to investors. My prediction is that this may happen as Ford Energy begins earning revenue, which could be in late 2027.

I think income investors should look further ahead when purchasing Ford for its dividend. Ford Energy could also be a significant driver of growth down the road. As of this writing, the stock is flat year to date.

Catie Hogan has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Jackson’s Record Quarter Powers the Bull CaseFord Motor NYSE: F is expanding its software and services strategy around commercial fleets, driver-assistance technology, vehicle maintenance and energy storage, according to Mike Aragon, the company’s President of Integrated Services.

Speaking at a Morgan Stanley conference, Aragon said Ford’s opportunity rests on combining its vehicle hardware, software platforms and physical service network. He highlighted Ford Pro as an underappreciated part of that strategy, citing the company’s commercial vehicles, connected-vehicle data and ability to provide maintenance and repair services.

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Battery Stocks Are Heating Up—These 2 ETFs Offer a Safer Bet“We have incredible hardware through Super Dutys and transit vans that our commercial customers love, but this growing software platform on top of it,” Aragon said. “We were getting a lot better at taking vehicle signals, prognostics, and then closing the loop with physical service.”

He said Ford intends to apply similar thinking beyond commercial customers and into its retail vehicle business.

Subscriber Growth and BlueCruise Fabrinet, Dycom, and Qualcomm: 3 AI Fallen Angels Wall Street Just Marked DownAragon said Ford reports 1.6 million paid subscribers based only on customers who choose to subscribe after buying a vehicle, rather than including trial users or services included for a specified period. He described that metric as an indicator of product-market fit.

For BlueCruise, Ford’s hands-free driver-assistance system, Aragon said the company has an installed base of 1.5 million vehicles. Of those, 530,000 customers subscribe through Ford, a figure growing about 40% year over year. He said 200,000 of those customers subscribed after purchase, with that segment growing 170% year over year.

Ford has continued to add BlueCruise functionality, according to Aragon. He said a recent update added automatic lane changes, and Ford announced that BlueCruise with towing will be available for its F-150 lineup in 2027.

Aragon said customers may elect not to continue subscriptions for several reasons, including living in rural areas outside BlueCruise zones, having short city commutes with limited highway driving, or affordability concerns.

Ford is also working with Apple Maps to more deeply incorporate map data into its advanced driver-assistance systems and in-vehicle infotainment. Aragon said the integration is intended to provide improved road visibility and information on chargers, road bends and off-ramps.

In-House Architecture and Vehicle Strategy Aragon said Ford’s forthcoming Ford Fathom vehicle, which he described as a sub-$30,000 vehicle launching next year, will make certain technology available across every vehicle in its lineup. He said Ford sees the expected customer base as younger and tech-forward, while the expanded features could differentiate the vehicle from more basic competing offerings.

More broadly, Ford plans to introduce a homegrown electrical architecture and consolidated single-compute platform. Aragon said the approach replaces a setup involving multiple suppliers for components such as infotainment, advanced driver-assistance systems and audio.

According to Aragon, the in-house platform should support more frequent over-the-air software updates, more features and a more cohesive user experience. He also said it should improve margins because Ford is building more of the system internally. The company expects the electrical architecture to reach 90% of its fleet by 2030, including gas, hybrid and electric vehicles.

“The one thing that we will not ever compromise on is owning the customer experience,” Aragon said. He said Ford will build internally where it needs greater control over the customer experience but will use partnerships where outside technology adds value, citing the Apple Maps arrangement.

Ford Pro Focuses on Fleet Uptime Aragon identified Ford Pro’s connected-service offering as a major near-term monetization opportunity. He pointed to Ford Pro Intelligence, a telematics subscription that he said costs $10 per month and can detect emerging issues such as brake problems, facilitate service scheduling, ensure parts availability and direct customers to repairs.

That capability can turn a monthly software subscription into broader parts and service opportunities, he said. Ford is focused on the lifetime value of the broader ecosystem rather than solely revenue reported within integrated services.

Aragon said contribution margins for Ford’s services are above 50% and are consistent with what investors would expect from a software-as-a-service business. Blended average revenue per user across Ford Pro and retail services is $14 per month, he said.

The company has also reorganized its commercial sales efforts. Aragon said Ford Pro previously sold vehicles while his organization separately sold software. His sales team has since been brought into the Ford Pro organization led by Alicia Boler Davis, creating a combined go-to-market approach focused on total cost of ownership and vehicle uptime.

Ford is relying on dealers as activation partners for retail services, Aragon said. The company provides tools and training intended to help dealers activate customers’ digital services at the point of sale, which Ford believes can support longer-term engagement.

AI and Energy Storage Services Aragon said CEO Jim Farley asked him about four months ago to co-lead Ford’s enterprise artificial intelligence initiative. The effort includes employee tools and larger projects intended to speed product development, reshape manufacturing processes and support Ford Energy.

In the energy-storage business, Aragon said Ford is applying its experience remotely monitoring vehicle assets to energy cell systems. The company aims to monitor conditions including thermal, vibration and voltage issues and use service capabilities to address problems before they become more significant.

He said customers may enter 20-year service agreements, potentially shifting Ford Energy from a transactional model centered on selling energy cells toward longer-term service revenue. Aragon described the effort as being in its early stages and said the small development team is taking an AI-native approach to developing the software layer.

About Ford Motor (NYSE:F)Ford Motor Co is a global automotive company that designs, manufactures, markets and services cars, trucks, sport utility vehicles and commercial vehicles. Its portfolio includes the Ford and Lincoln brands, as well as a range of gasoline-powered, hybrid and electric vehicles. Ford also provides vehicle maintenance, repair and related services through its dealer network.

The company organizes its automotive operations into Ford Blue, which focuses on traditional and hybrid vehicles; Ford Model e, which develops electric vehicles and connected technologies; and Ford Pro, which serves commercial and government customers with vehicles, software and fleet-management services.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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DETROIT — Ford Motor is expanding the availability of V-8 engines and lowering the starting prices of some performance models for its 2027 lineup of F-150 pickup trucks.

The Detroit automaker said the changes are meant to give customers more choice and help expand sales of key models, a strategy Ford has been leaning into under CEO Jim Farley.

The changes come as automakers attempt to address industrywide affordability concerns. The moves are also building on some automakers — particularly the Detroit Three — adding more V-8 engines amid weakened emissions regulations and penalties under the Trump administration.

The new pricing doesn't mean the trucks are cheap. The 2027 Ford F-150 Raptor will start at $77,800, which is $4,000 less than the current truck. The 2027 Tremor will start about $5,300 lower at $62,400, Ford said Tuesday.

Ford officials said the automaker lowered prices by eliminating some standard equipment, such as heated second-row seats as well as using manual instead of power controls for some parts, like the steering column.

"For us, it made sense because it just broadens the offer and certainly doesn't take away from either the capability of that new entry or of the model that it came down from," Todd Eckert, Ford Blue senior director of truck consumer marketing, told CNBC.

Regarding the V-8 availability, Ford will offer its 5.0-liter engine across every model of the F-150 lineup, Eckert said. That includes having the option for a V-8 engine in the high-end King Ranch and Platinum models for the first time since the 2023 model year.

"We heard pretty loudly from both customers and dealers that even on those premium series, that they wanted the option to have a V-8 engine," Eckert said.

The changes are part of several updates the company is making to the F-150 lineup for the 2027 model year. It's also rolling out style updates to many models and adding a Carhartt model in collaboration with the Detroit-based clothing company.

All the updates for the 2027 F-150 lineup come as Ford continues to increase availability of the crucial pickups after fires at an aluminum supplier severely impacted their output over the past year.

Ford's F-Series trucks — which include the F-150 and larger "Super Duty" models such as F-250, F-350 and F-450 — were severely impacted by the supplier issues due to their large aluminum bodies and other components.

Key Takeaways Ford raised and narrowed its full-year adjusted EBIT guidance to $10-$11 billion.Ford expects roughly $1 billion in EBIT improvement from its Novelis aluminum supply recovery.Novelis-related costs are expected to reach approximately $1.5 billion for the full year. Ford Motor Company (F - Free Report) is facing several potential headwinds as it enters the second half of 2026. The company will not benefit from the repeat of the $1.3 billion IEEPA tariff-related EBIT benefit recorded in the first quarter. Commodity costs also remain a factor, with Ford currently planning for four quarters of impact compared with three quarters in 2026. Any further softening in commodity prices, however, could provide an earnings tailwind.

Despite these challenges, Ford believes its operations have become more efficient, durable and better positioned to absorb external pressures. Reflecting this confidence, the company raised and narrowed its full-year adjusted EBIT guidance to $10-$11 billion, representing a $1 billion increase at the midpoint.

Ford is also making progress in managing the recovery of its Novelis aluminum supply. The company remains confident in achieving a net $1 billion EBIT improvement, with the majority of the benefit expected in the second half of the year. Ford has incurred roughly $800 million in temporary Novelis-related costs year to date and now expects the full-year impact to reach approximately $1.5 billion.

The restart of the Novelis hot mill remains on track, while Ford has secured contingency material to support production during the recovery. U.S. inventory stood at 52 retail days of supply, slightly below the company's target range of 55-65 days. Ford expects inventory levels to return to the targeted range as the aluminum supply situation improves. F carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Headwinds Faced by Other AutomakersTesla’s (TSLA - Free Report) Energy business faces uneven deployments, lower pricing and execution risks. In the second quarter of 2026, Tesla’s storage deployments rose to 13.5 GWh and revenues grew 13% year over year, but energy gross margin fell to 20.4% from 39.5% due to a $240 million warranty charge, lost tariff benefits and lower industrial storage pricing. Tesla expects long-term energy gross margins in the low-to-mid 20% range, suggesting volume growth may not translate into similar profit growth as the business scales.

General Motors Company (GM - Free Report) continues to face elevated costs from commodities, logistics and DRAM components. GM expects commodity inflation, including logistics, to total $1.2-$1.7 billion in 2026, an improvement from its previous outlook but still a meaningful drag on profitability. The company also maintained its estimate for gross tariff exposure of $2.5-$3.5 billion this year. In addition, onshoring expenses are expected to increase as GM shifts more production to the United States. Together, these cost pressures are likely to weigh on margins in the near term.

F’s Price Performance, Valuation and Estimates  Ford has outperformed the Zacks Automotive-Domestic industry in the last six months. Its shares have gained 11.1% against the industry’s decline of 4.8%. 

Image Source: Zacks Investment Research

 
From a valuation perspective, F appears undervalued. Going by its price/sales ratio, the company is trading at a forward sales multiple of 0.3, lower than the industry’s 3.34. 

Image Source: Zacks Investment Research

 
The Zacks Consensus Estimate for F’s 2026 and 2027 EPS has moved up 20 cents and 9 cents, respectively, in the past 60 days. 

Image Source: Zacks Investment Research

"I think you have to see the [Detroit Three] exit China as soon as they possibly can," said Bank of America securities analyst John Murphy, at his annual presentation of "Car Wars," a closely watched industry report.

That warning was sent just over two years ago as analysts saw what was coming: intense competition in China's domestic market. The brutal price war, long list of competitors, rapid electric vehicle (EV) technology development, and other things have all made life for foreign automakers extremely difficult in China. Furthermore, competitors Ford Motor Company (F -3.93%) and crosstown rival General Motors (GM -2.37%) want nothing to do with having Chinese automakers invade their U.S. profit engine. With Ford stuck in between a rock and a hard place with the Chinese, the company has made two massive moves to evolve its business -- and it's working well.

Not exiting, but exporting Rather than exit the market entirely, Ford opted for a strategy that has quickly caught on: Use Chinese operations as an export hub. Ford decided to scale down investments in local sales and has, at least for now, repurposed its joint ventures, Changan Automobile and Jiangling Motors, to export its vehicles globally. Made-in-China vehicles such as the Equator Sport crossover, Mondeo sedan, Lincoln Nautilus SUV, and electric commercial vans make their way to Southeast Asia, the Middle East, South America, and the big one, Europe.

Ford will build a brand around racing heritage and off-roading to try and boost sales in Europe. Image source: Ford Motor Company.

Ford posted six consecutive years of financial losses in China, stretching from 2018 through 2023. Finally, in 2024, Ford snapped its ugly streak of losses in China and posted roughly $600 million in earnings driven largely by its pivot to exports. Ford's most recent move reflecting its "In China, for the World" strategy is to export its Ford Transit City from China to span 52 countries and regions across five continents.

This strategy, in my opinion, seems far more productive than exiting such a massive automotive market, especially when dynamics can change a few years down the line. When life gives you lemons, make lemonade: Ford is using its production capacity and joint venture know-how to lower costs, improve efficiencies (learning "China Speed"), and diversifying its global manufacturing footprint. Ford takes it a step further with its next strategy regarding China.

If you can't beat 'em... Pending regulatory approvals, Ford and Chinese automaker Geely will together build vehicles at a Ford plant in Spain under a new joint venture in Europe. The goal is to begin operations in the first half of 2027, with the earliest new vehicles planned to drive off the production line in 2028. As it stands, Ford is set to own 66% of the joint venture, with Geely owning the remaining 34%, and it's expected to result in a new Ford EV crossover, a new member of the Bronco family, and two electric Geely SUVs.

Ford and Geely's joint venture essentially admits there's a new global reality with intensifying competition and relentless cost pressure, and as the Chinese did decades ago from foreign automakers, it's time for Ford to learn how the Chinese have drastically lowered costs by commoditizing certain parts and cut the design process time in roughly half. It's a sound joint venture that benefits Geely as well. While the Chinese are rapidly trying to export vehicles from China and expand globally, using underutilized production capacity of legacy automakers can be a fast and cost-effective solution to building their own local factories from the ground up, or facing margin-eroding tariffs.

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What it all means Ford is navigating the complicated global automotive waters well, considering that the company has reversed years of ugly losses without exiting China and taking massive charges, thanks to its pivot and booming exports. Not only that, but Ford has also wedged its foot in the door of a potentially invaluable joint venture where it can learn, in theory, how to drastically reduce the costs of its design process and speed it up. For context, the industry considers a typical design process for an all-new vehicle to be between 40 and 60 months, sometimes up to 80, while the Chinese do the same process in 18 to 24 months.

In all, while Ford wants nothing to do with Chinese competition entering the lucrative U.S. market, nor does it want to compete in a brutal China domestic market, the Detroit icon also understands it has much to gain in joint ventures and exports that tie it directly to China -- and it's working.

There are a lot of moving parts and variables for investors to consider when researching Ford Motor Company (F -3.93%). On one hand, Ford is a Detroit icon and a global legacy automotive giant, which comes with much more stable business than upstart companies such as Rivian (RIVN -1.02%) or Lucid (LCID -7.78%). On the other hand, Ford doesn't intend to become extinct and is investing heavily in the future of software-defined vehicles, autonomous technology, and electric vehicles (EV), and is even thinking outside the box by trying to win defense contracts. If you're scratching the surface of Ford as a long-term investment, here are three things you need to consider.

Portfolio refresh! It's no secret in the automotive industry that fresh product sells faster, and it sells without needing margin-eroding incentives and deals. Investors may have missed the details, but Ford created a new team: product creation and industrialization. While it might take a little time for the name to catch on, this team is responsible for a massive portfolio refresh.

More specifically, by 2029 Ford plans to refresh a staggering 80% of its North American portfolio by volume, and 70% of its global portfolio by volume. Included in that portfolio turnover is the first vehicle on Ford's lauded Universal Electric Vehicle (UEV) platform, the Fathom midsize pickup. The refresh will also deliver the next-generation F-150 and F-Series Super Duty. These vehicles haul big bucks and lucrative margins.

An overlooked aspect of this refresh will be what it does to the fleet of Ford vehicles hitting the road. By 2030, 90% of Ford's vehicles by volume will feature updated electrical architectures and next-generation over-the-air capability. The reason this is important is it enables more rapid rollout of Ford's BlueCruise and Ford Digital Experience, which will aid the company in progressing toward Level 3 autonomous driving and help the company improve the value of its digital offerings, which can be monetized.

Over the next few years, Ford's product portfolio in its most profitable region, North America, will be more fresh, more advanced, and more profitable.

Outside the box Young investors likely have never heard of Ford Aerospace division. That's because Ford completely exited the defense sector in 1990, but after rival General Motors (GM -2.37%) revived GM Defense in 2017, it seems Ford felt compelled to reconsider the industry. Ford has secured a U.S. Department of Defense prototype contract to build three heavy-duty tactical truck prototypes from the automaker's well-known F-Series Super Duty platform. For an example of how these contracts can add up, consider Ford's bid for the U.K. Ministry of Defence's Light Mobility Vehicle program, valued at $2.7 billion.

A completely different example of how Ford is evolving toward a new and potentially more lucrative future can be found with Ford Energy. Behind the scenes, Ford prepared a new business by securing supply chains and manufacturing sites, and what the automaker delivered was a subsidiary that will provide battery energy storage systems (BESS) for utilities, artificial intelligence (AI) data centers, and other large industrial customers. Ford plans to produce roughly 20 GWh annually with the first customer deliveries planned late next year. Analysts with Morgan Stanley and Barclays predict Ford Energy at full scale could generate between $500 million and $600 million in annual operating profit (EBIT) by the end of the decade.

Ford Bronco. Image source: Ford Motor Company.

Ford may be a legacy automaker, but that doesn't mean it isn't thinking outside the box to drive new streams of revenue and bottom-line profits.

Sleep at night Ford has long been known for its lofty dividend, which currently pays out $0.15 per share quarterly, for a total $0.60 per share annually. That puts its current dividend yield at about 4.1%, which is lower than normal partly due to a spike in Ford's share price during May. What income investors often overlook with Ford's dividend is that the company frequently dishes out "special dividends" when it has a bit of extra cash and doesn't want to permanently raise the baseline dividend commitment. In early 2024, Ford dished out an $0.18-per-share special dividend. It delivered another $0.15-per-share special dividend in February 2025.

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Is Ford a buy? If you're an investor scratching the surface of Ford as a long-term investment, it's important to keep in mind that the company is driving a massive portfolio refresh in its profit engine, North America, while thinking outside the box for new revenue streams with Ford Energy and defense contracts. To top it off, the company offers a lucrative dividend yield with frequent special dividends helping investors offset the cyclicity of the auto industry. Ford has work to do to change the narrative of its low-margin automotive business, but that's something it can do as more high-margin business seeps into the sector through driverless vehicle technology and as digital subscription services become more prevalent.

Copper Is the AI Trade No One Priced In—3 Miners With the Most to GainFord Motor NYSE: F is reshaping its software and digital-services strategy around a more connected ecosystem spanning vehicle hardware, software, mobile applications and dealer service, according to Mike Aragon, the company’s president of integrated services.

Speaking with Goldman Sachs analyst Mark Delaney, Aragon said Ford has moved away from managing digital products such as BlueCruise and Ford Pro Intelligence as separate offerings. Instead, the company is seeking to make them work as a unified system that improves over time through vehicle data, over-the-air updates and service connections.

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3 Stocks Built for Higher Rates—And 2 That Could Break“It’s not about generic products,” Aragon said. “It’s really about building a software layer on top of the vehicles that our customers already love.”

Focus on activation and engagement Aragon described Ford’s digital-services “flywheel” as consisting of four stages: scale, activate, engage and monetize. The company has about 14 million connected vehicles in its installed base, he said, providing a foundation for digital offerings including connectivity services and the BlueCruise hands-free driving system.

FB Financial's Southern Expansion and Buybacks Drive Analyst OptimismActivation at the dealership is particularly important, according to Aragon. Ford tracks how quickly customers use the specific product they purchased, such as their first BlueCruise or connectivity engagement, and seeks to remove friction from that process.

Aragon said Ford has found a correlation between dealer training, early product usage and longer-term customer engagement. Customers who do not use BlueCruise early may forget about the feature, while early and frequent use has been associated with greater retention, he said.

Ford is working with dealers through incentive payments, sales coaching and a digital delivery tool designed to help salespeople walk customers through the products and services included with their vehicles. The Ford app also provides another channel for customer education and activation.

While subscription revenue remains important, Aragon said his team places significant emphasis on engagement as a leading indicator. He said customers who use multiple parts of Ford’s ecosystem appear to be “stickier,” though he described the company’s observations as still being in the early stages.

BlueCruise and subscriber metrics Ford’s BlueCruise-equipped vehicle installed base has grown from 1.2 million vehicles last year to 1.5 million currently, Aragon said. The company has 1.6 million customers paying for digital services after vehicle purchase, excluding free trials and services included for a defined duration at the time of purchase.

About 200,000 of Ford’s 1.6 million paid subscribers are BlueCruise customers, a figure Aragon said increased 170% year over year. Ford has 530,000 total BlueCruise subscribers, including customers whose access is included with their vehicle for a duration. That figure rose 40% year over year, according to Aragon. Blended average revenue per user across Ford Pro and retail customers is now $14 per month, up from the approximately $10 monthly Ford Pro figure previously discussed by the company. Aragon said the higher blended ARPU reflects a mix of additional features, customers moving into higher-value Ford Pro offerings such as managed maintenance, and a greater contribution from BlueCruise.

He added that Ford views BlueCruise growth as evidence that digital features can influence purchase decisions. On the commercial side, he said fleet buyers are increasingly asking about fleet-management portals, vehicle data controls and uptime in addition to traditional vehicle specifications such as towing capacity and cargo space.

Ford Pro integrates vehicle, software and service offerings Ford Pro had more than 900,000 subscribers last quarter, up about 20% year over year, according to Delaney. Aragon said Ford Pro’s offerings are built around four areas: data services delivered through application programming interfaces; telematics that combine data with insights; fleet-management tools; and managed maintenance.

Managed maintenance uses telematics data to identify potential issues, schedule service and, in some cases, deploy mobile service units, Aragon said. The goal is to support fleet uptime and lower customers’ total cost of ownership.

Aragon acknowledged that Ford Pro subscriber growth has moderated in recent quarters. He said Ford recently reorganized its go-to-market approach by moving the integrated-services sales team under Ford Pro President Alicia Boler Davis. The company now intends to approach commercial customers with a combined hardware, software and service proposition rather than selling software separately after a vehicle sale.

“Let’s sell a problem, and let’s solve problems that only we can solve in a differentiated way,” Aragon said, citing uptime, fleet management and managed maintenance as examples.

AI assistant, service opportunity and global strategy Ford has launched an artificial-intelligence assistant in its app for retail and Ford Pro customers, and a Pro-specific version is embedded in the telematics platform, Aragon said. The assistant can use Ford-specific context including vehicle health data and vehicle trim information. Ford plans to launch the assistant in vehicles eventually, he said.

For fleet users, Aragon said the tool can identify vehicles with excessive idling, flag driver-safety trends and help track whether operating metrics improve over time. The assistant currently is included within Ford’s existing service packages rather than carrying a separate charge.

Aragon said Ford sees potential indirect revenue opportunities when digital vehicle-health alerts lead to dealer service work. Ford’s integrated-services business and physical-service business together represent a $15 billion operation expected to grow 8% through the end of the decade, he said, though he declined to disclose integrated-services revenue separately.

Internationally, Ford aims to build products for global scale while executing locally due to differences in regulation, vehicle mix and driver behavior. Aragon identified Ford Pro Intelligence as the company’s most mature integrated-services business outside North America because fleet needs such as uptime, safety and total cost of ownership translate across markets.

About Ford Motor (NYSE:F)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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

Should You Invest $1,000 in Ford Motor Right Now?Before you consider Ford Motor, you'll want to hear this.

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In the latest close session, Ford Motor Company (F - Free Report) was down 4.24% at $14.00. The stock trailed the S&P 500, which registered a daily loss of 0.58%. Elsewhere, the Dow lost 1.18%, while the tech-heavy Nasdaq lost 0.32%.

Shares of the company witnessed a gain of 4.43% over the previous month, beating the performance of the Auto-Tires-Trucks sector with its gain of 3.92%, and the S&P 500's loss of 0.36%.

The upcoming earnings release of Ford Motor Company will be of great interest to investors. In that report, analysts expect Ford Motor Company to post earnings of $0.41 per share. This would mark a year-over-year decline of 8.89%. Simultaneously, our latest consensus estimate expects the revenue to be $46.04 billion, showing a 2.42% drop compared to the year-ago quarter.

For the full year, the Zacks Consensus Estimates project earnings of $1.86 per share and a revenue of $177.44 billion, demonstrating changes of +70.64% and +1.95%, respectively, from the preceding year.

Investors should also note any recent changes to analyst estimates for Ford Motor Company. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Right now, Ford Motor Company possesses a Zacks Rank of #3 (Hold).

Investors should also note Ford Motor Company's current valuation metrics, including its Forward P/E ratio of 7.88. This signifies a discount in comparison to the average Forward P/E of 18.86 for its industry.

It's also important to note that F currently trades at a PEG ratio of 0.3. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As of the close of trade yesterday, the Automotive - Domestic industry held an average PEG ratio of 1.15.

The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 55, which puts it in the top 23% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.

Ford shareholders are collecting a 5.51% yield right now, but there is a reason income investors with long memories are watching this payout far more closely than the headline number suggests.

This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

Ford’s latest quarterly check landed in shareholders’ accounts on September 1, 2026, and the payment was familiar: $0.15 per share, unchanged for the ninth straight regular quarter. Ford (NYSE:F | F Price Prediction) still carries a 5.51% yield that towers over the 4.75% 10-year Treasury, but income investors have long memories, and this payout has already been reset once.

A Prior Cut Still Hangs Over the Payout Ford slashed the regular dividend to $0.10 in early 2022 before restoring it to $0.15 that August. That reset means there is no consecutive-growth streak to lean on, and the base dividend has not risen in four years. Management has substituted supplemental payments instead: a $0.40625 special hit accounts in August, following supplementals of $0.30 in 2025 and $0.33 in 2024. Nice bonuses, but the recurring commitment stays flat.

Coverage Is Suddenly a Strength The near-term coverage math looks better than it did a year ago. Q2 2026 delivered reported EPS of $0.42 against the $0.15 payout, and Q1 2026 EPS came in at $0.66. Ford generated $2.1 billion in company adjusted free cash flow in Q2, ended the quarter with $22.3 billion in cash, and raised full-year adjusted free cash flow guidance to $6 billion to $7 billion. CFO Sherry House told investors, “We remain committed to our investment grade rating in returning capital as shareholders.”

Warning Lights Are Still Blinking FY2025 booked a net loss of $8.16 billion after impairments, and Ford paid out $2.99 billion in dividends against that loss. Model E is guided to lose about $4 billion in EBIT this year, and the trailing P/E sits at -7 with a debt-to-equity ratio of 4.66. The 76 basis-point yield premium over Treasuries is not a fat cushion for equity risk, and a prior cut plus a flat base payout are exactly the setup we flagged in a free report on the seven warning signs a big yield is about to be cut.

Grading The Dividend: C+ Yield beats the risk-free rate, current cash flow covers the payout comfortably, and management raised EBIT guidance to $10 billion to $11 billion. But zero growth in four years, a documented cut, EV losses, and cyclical exposure keep this scorecard capped. Shares have returned 26.4% over the past year, and Ford’s Super Duty production just hit a 20-year high, which helps the case. Income investors get paid to wait. They just should not confuse a flat dividend with a growing one.

Contact [email protected] for any questions or corrections.

Chris Lange

Chris Lange is a writer for 24/7 Wall St., based in Houston. He has covered financial markets over the past decade with an emphasis on healthcare, tech, and IPOs. During this time, he has published thousands of articles with insightful analysis across these complex fields. Currently, Lange's focus is on military and geopolitical topics. Lange's work has been quoted or mentioned in Forbes, The New York Times, Business Insider, USA Today, MSN, Yahoo, The Verge, Vice, The Intelligencer, Quartz, Nasdaq, The Motley Fool, Fox Business, International Business Times, The Street, Seeking Alpha, Barron’s, Benzinga, and many other major publications. A graduate of Southwestern University in Georgetown, Texas, Lange majored in business with a particular focus on investments. He has previous experience in the banking industry and startups.

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Ford targets 100K sales for its new Ford Fathom. (0:15) Nvidia buys Hugging Face for $12.9B. (1:02) New York puts a freeze on classroom AI. (1:59)

This is an abridged transcript of the podcast:

Our top story so far, Ford (F) aims to sell more than 100K units of its new electric truck in its first year of production, the Wall Street Journal reported.

The starting price for the truck, called the Ford Fathom, will be nearly $30K. Ford will begin taking customer orders early next year.

Besides Tesla (TSLA), no other automaker has sold 100K units of a single EV model in the U.S. in a year. Tesla sold ~357K Model Y SUVs in 2025 and more than 190K Model 3 sedans.

Ford executives say Fathom's price tag, which is similar to mainstream sedans and SUVs, and design will help drive sales.

Fathom trucks will include Apple Maps built into their navigation system and Ford's hands-free driving system BlueCruise. The Fathom will also have more passenger space than the best-selling SUV Toyota RAV4.

Among active stocks, after a week of speculation, Nvidia (NVDA) sealed the deal for Hugging Face, agreeing to pay $12.9B for the AI platform.

Hugging Face will remain an open platform for the entire AI ecosystem, Nvidia CEO Jensen Huang said.

Snowflake (SNOW) is rallying more than 20% after the data warehousing company reported fiscal second-quarter results and guidance that topped forecasts.

Snowflake said it expects product revenue to be between $1.588B and $1.593B, above the $1.51B estimate. Adjusted operating margin is forecast to be 15.5%.

Ciena (CIEN) is higher after the optical networking company reported better-than-expected results and guidance.

CEO Gary Smith said “AI continues to drive compounding waves of network investment.”

And Campbell's (CPB) is slumping after missing revenue estimates for Q4. The company said top-line softness and inflation-driven margin headwinds were factors.

Campbell’s also cut its quarterly dividend to $0.25 per share from $0.39 per share.

In other news of note, New York City, the largest U.S. school district, is imposing a one-year moratorium on students using generative artificial intelligence (OPENAI) (ANTHRO) (DEEPSEEK) in public ​elementary and middle schools.

The policy, which will take effect in the 2026-2027 school year and will impact nearly 600,000 public school students, bars AI use for students in 2-K through 8th grade.

This includes all software that uses student-facing generative AI. Companion chatbots will be banned across all grades.

And Walmart (WMT) said it is expanding its restaurant delivery business through a collaboration with Inspire Brands, a global multi-brand restaurant company whose portfolio includes Dunkin’, Arby's, Baskin-Robbins, Jimmy John's and Sonic.

Walmart continues to expand the restaurants available through its app, including restaurants located beyond its stores. The Dunkin’ chain will launch first via its 150 in-store tenant locations, with plans to expand to the majority of its 10K locations outside of Walmart stores nationwide.

And in the Wall Street Research Corner, Société Générale strategist Manish Kabra says investors may want to buy any equity weakness triggered by a renewed Federal Reserve hiking cycle.

SocGen has shifted its house view in a hawkish direction and now expects the Fed to deliver three rate hikes starting in September. Fed funds futures price in a 60% chance of a September hike.

History suggests stocks initially struggle when the Fed resumes raising rates mid-cycle, with the S&P 500 typically going through a one-to-three-month "digestion phase," Kabra said. However, the benchmark has historically gone on to reach new highs within six months if the yield curve doesn’t invert.

Allworth Financial LP reduced its stake in Ford Motor Company (NYSE:F – Free Report) by 9.0% during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 529,468 shares of the auto manufacturer’s stock after selling 52,226 shares during the period. Allworth Financial LP’s holdings in Ford Motor were worth $7,360,000 at the end of the most recent quarter.

Several other large investors also recently modified their holdings of the stock. Caxton Associates LLP acquired a new stake in shares of Ford Motor during the first quarter worth $304,000. Empowered Funds LLC grew its stake in shares of Ford Motor by 41.6% in the first quarter. Empowered Funds LLC now owns 147,760 shares of the auto manufacturer’s stock valued at $1,482,000 after acquiring an additional 43,385 shares in the last quarter. Jump Financial LLC acquired a new position in shares of Ford Motor in the second quarter valued at about $172,000. NewEdge Advisors LLC increased its position in Ford Motor by 26.3% during the second quarter. NewEdge Advisors LLC now owns 267,895 shares of the auto manufacturer’s stock worth $2,907,000 after acquiring an additional 55,741 shares during the period. Finally, Treasurer of the State of North Carolina increased its position in Ford Motor by 1.5% during the second quarter. Treasurer of the State of North Carolina now owns 1,823,614 shares of the auto manufacturer’s stock worth $19,786,000 after acquiring an additional 26,526 shares during the period. 58.74% of the stock is owned by institutional investors.

Ford Motor Price Performance Shares of NYSE:F opened at $13.97 on Friday. The firm has a 50 day moving average of $14.13 and a 200-day moving average of $13.50. Ford Motor Company has a 12 month low of $11.11 and a 12 month high of $17.78. The company has a current ratio of 1.09, a quick ratio of 0.93 and a debt-to-equity ratio of 3.07. The stock has a market capitalization of $55.71 billion, a PE ratio of -7.47, a PEG ratio of 0.30 and a beta of 1.82.

Ford Motor (NYSE:F – Get Free Report) last posted its quarterly earnings results on Tuesday, July 28th. The auto manufacturer reported $0.42 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.33 by $0.09. Ford Motor had a negative net margin of 3.93% and a positive return on equity of 17.23%. The business had revenue of $48.30 billion for the quarter, compared to analyst estimates of $47.24 billion. During the same quarter last year, the business posted $0.37 EPS. The firm’s revenue for the quarter was down 3.8% on a year-over-year basis. On average, equities research analysts predict that Ford Motor Company will post 1.86 EPS for the current fiscal year. Ford Motor Announces Dividend The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 1st. Shareholders of record on Tuesday, August 11th will be issued a $0.15 dividend. This represents a $0.60 dividend on an annualized basis and a dividend yield of 4.3%. The ex-dividend date of this dividend is Tuesday, August 11th. Ford Motor’s dividend payout ratio (DPR) is currently -32.09%.

Analysts Set New Price Targets Several analysts have weighed in on the stock. Barclays lifted their price objective on shares of Ford Motor from $13.00 to $14.00 and gave the stock an “equal weight” rating in a research note on Thursday, July 9th. JPMorgan Chase & Co. raised their target price on shares of Ford Motor from $16.00 to $17.00 and gave the stock an “overweight” rating in a report on Wednesday, July 29th. The Goldman Sachs Group lifted their price target on shares of Ford Motor from $13.00 to $16.00 and gave the company a “neutral” rating in a research report on Thursday, June 11th. UBS Group lifted their price target on shares of Ford Motor from $14.00 to $17.00 and gave the company a “buy” rating in a research report on Monday, June 8th. Finally, Jefferies Financial Group upgraded Ford Motor from a “hold” rating to a “buy” rating and boosted their price target for the company from $14.50 to $17.50 in a research note on Monday, July 27th. Eight equities research analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $15.68.

Check Out Our Latest Research Report on F

About Ford Motor (Free Report)

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.

Featured Articles Five stocks we like better than Ford Motor 3 Energy Stocks Raising Dividends as the Sector Surges 5 Reasons the S&P 500 Could Keep Rallying Through Year-End Walmart’s Post-Earnings Drop Could Be a Buying Opportunity The Trade Desk’s Earnings Miss Raises a Bigger Question About Its AI Future Want to see what other hedge funds are holding F? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Ford Motor Company (NYSE:F – Free Report).

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The Lincoln Nautilus SUV is displayed at the Los Angeles Auto Show in Los Angeles, California U.S. November 29, 2017. REUTERS/Lucy Nicholson Purchase Licensing Rights, opens new tab

SummaryCompaniesFord plans to shift production of some Lincoln models to US from China beginning in 2030, CEO saysUS-produced models would be sold in US market, where China-built Lincoln Nautilus faces 52.5% tariffCEO Farley says tariffs drove Ford’s decision; rule banning some ​Chinese tech in US cars was also a factorDETROIT, Aug 12 (Reuters) - Ford Motor (F.N), opens new tab plans to move production of some Lincoln models from China to the U.S. beginning in 2030, Ford's CEO told Reuters on Wednesday, saying the move was difficult but necessary to strengthen the U.S. auto manufacturing base.

Gasoline-powered ​cars and electric vehicles imported from China are subject to hefty duties. The U.S. tariff on the Lincoln Nautilus, ​the main vehicle Ford imports from China, is 52.5%, Ford confirmed.

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“We made this decision as soon ⁠as the policy of the administration was set," Ford CEO Jim Farley said, referring to the tariffs. "We knew exactly what they ​wanted to do, and we knew exactly what it meant for Ford," Farley said in a joint interview with U.S. Commerce Secretary ​Howard Lutnick.

The U.S.-made Lincolns would be sold in the domestic market as part of a significant effort to scale up output, Farley said, although the company did not disclose where they would be produced.

Lutnick added: "Ford's got an edge. Domestic manufacturing has an edge."

Crosstown rival General Motors has announced ​it will move production of its Buick Envision to the U.S. from China starting in 2028.

Along with tariffs, automakers have faced ​restrictions under the Connected Vehicle Rule, which bans some Chinese technology and hardware in U.S. models. Farley said that both regulations prompted Ford to ‌make the ⁠decision, although he pointed to tariffs as the driving factor.

Ford was one of several companies requesting authorization from the U.S. Commerce Department to continue selling vehicles potentially restricted under the rule. Automakers denied an authorization, such as EV company Polestar, face bans from selling certain products in the U.S. market.

A spokesperson for the Dearborn, Michigan-based automaker said on Wednesday that, after discussions with the Commerce ​Department, it realized the Lincoln ​Nautilus no longer needed an ⁠authorization to sell in the U.S.

The company had previously said the Nautilus software was developed in the U.S. but installed into the vehicle in China, requiring government approval to continue selling it ​in the United States. Ford sold about 34,000 Nautilus vehicles in the U.S. last year.

U.S. lawmakers ​have sought to ⁠further tighten prohibitions beyond those introduced in the Connected Vehicle Rule. One such push, approved by the U.S. Senate Commerce Committee in July, would bar companies that are more than 15% owned by Chinese entities from selling vehicles in the United States. If implemented, it ⁠would prevent ​Mercedes-Benz from selling new vehicles in the U.S.

Ford said the move announced ​on Wednesday builds on Lincoln's U.S. production base. Lincoln assembles the Navigator at a plant in Louisville, Kentucky, and the Aviator at the Chicago Assembly Plant, and ​exports both models to markets including Canada, Mexico and the Middle East.

Reporting by Nora Eckert; Editing by Rod Nickel and Edmund Klamann

Our Standards: The Thomson Reuters Trust Principles., opens new tab

Nora Eckert reports on the automotive industry from Detroit. She covers Ford, GM, Stellantis and the United Auto Workers, with a focus on the industry's transition to EVs. She was previously a reporter for The Wall Street Journal in Detroit, where she broke news on major automakers and the UAW. She was earlier part of a WSJ investigations team that was recognized as a finalist for the 2021 Pulitzer Prize. Nora began her career as an investigative reporter with the Rochester Post Bulletin in Minnesota, where she focused on the state's organ transplant system and prisons.

Key Takeaways Ford plans to launch the midsize Fathom electric pickup below $30,000, with deliveries expected in 2027.Ford's UEV platform and new assembly process aim to cut costs and support profitability within a year.Fathom targets a gap in the sub-$30K EV market, where rival affordable models do not offer truck utility. U.S. legacy automaker Ford (F - Free Report) is planning to bring an affordable electric truck to the market by next year. The e-pickup is named “Fathom”, with a starting price of $28,350 that extends to $29,945 with destination and delivery charges. Built under Ford's Universal Electric Vehicle (UEV) platform, the Fathom hits the sub-$30,000 mark the company had promised for years.

Where Ford Lightning Went WrongFord’s first major electric pickup, the F-150 Lightning, generated plenty of excitement when it was launched. Yet it never became the profitable product Ford had hoped for, weighed down by high battery costs and expensive manufacturing for premium electric trucks. Slower-than-expected EV adoption due to the elimination of EV tax credits made matters worse.

As a result, Ford discontinued the F-150 Lightning— its flagship, full-size electric truck. The company incurred $19.5 billion EV-related write-down charges last year. It scrapped plans for a next-generation all-electric full-size pickup, choosing instead to develop a range-extended model that combines a gasoline engine with an electric drivetrain.

In short, Lightning's problem came down to big batteries, big trucks and thin margins.

Ford’s New EV PlaybookThe Fathom appears to have been designed with that lesson in mind. Unlike the full-size Lightning, it's a midsize pickup — built on the UEV architecture, created specifically for lower-cost electric vehicles. Ford expects every model on this platform to turn profitable within roughly a year of launch.

Ford is also trying to lower costs beyond the battery pack. The company has developed a new "assembly tree" manufacturing process for its Louisville plant, aimed at simplifying production and improving efficiency. If those savings materialize, they could help Ford avoid the margin pressure that weighed on Lightning.

Notably, Ford isn't stripping the truck down to hit its price target. The Fathom will offer a large touchscreen with built-in Apple Maps EV routing, wireless smartphone connectivity, BlueCruise compatibility, bidirectional charging, a digital key and a front trunk. If Ford can offer this level of technology while maintaining healthy margins, the Fathom could stand out in the affordable EV segment.

The Sub-$30K CompetitionThe Fathom isn't the only sub-$30K EV, but it is the only truck. General Motors' (GM - Free Report) Chevrolet Bolt EUV is a compact hatchback/crossover in the $28-29K range and is already shipping. Nissan's (NSANY - Free Report) Leaf is one of the longest-running affordable EVs, similarly priced. Neither offers truck utility— which is exactly the gap the Fathom is aiming to fill.

Can Ford Deliver This Time?Of course, the Fathom is still far from proving itself. Pre-orders are expected to open in early 2027, with customer deliveries beginning later that year. Until production ramps up, investors have little evidence that Ford can consistently build and sell an affordable electric truck at attractive margins.

Even so, the Fathom looks less like a continuation of Ford's previous EV strategy and more like a reset. Rather than chasing the premium electric truck market, the company is focusing on affordability, manufacturing efficiency and profitability.

If Ford executes well, the Fathom could succeed not because it's another electric pickup, but because it's built around a very different business model than the F-150 Lightning.

The Zacks Rundown on Ford StockShares of Ford have gained more than 7% year to date, outperforming the industry. During the same timeframe, Ford’s closest peer, General Motors, also saw its shares rise over 7%, but Japan’s Nissan fell around 14%.

YTD Price Performance Comparison Image Source: Zacks Investment Research

From a valuation standpoint, Ford trades at a forward price-to-earnings ratio of 7.24, way lower than the industry. It carries a Value Score of A.

Image Source: Zacks Investment Research

See how the Zacks Consensus Estimate for Ford’s EPS has been revised over the past 60 days.

Image Source: Zacks Investment Research

F stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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Starting in 2028, the next generation of the F-53/F-59 chassis will be designed and commercialized by Blue Bird with Ford powertrains

MACON, Ga.--(BUSINESS WIRE)--Blue Bird Corporation (Nasdaq: BLBD), the leader in low and zero emission school buses, today announced a new collaboration to expand its commercial vehicle presence. As part of this initiative, Blue Bird has entered into a definitive agreement with Ford Motor Company to create the next generation of F-53/F-59 commercial stripped chassis. Under the agreement, Blue Bird will assume responsibility for the design, manufacturing, and sales of the next generation F-53/F-59 commercial stripped chassis, which will be paired with Ford’s powertrain solutions.

To accelerate the launch of the next generation chassis, Blue Bird will acquire the Detroit Assembly Plant assets of Detroit Chassis LLC (DCP) who is the long-time manufacturer of Ford's F-53 and F-59 stripped chassis platforms.

The collaboration between Ford and Blue Bird is expected to build on the complementary strengths of both organizations and support the continued evolution of commercial stripped chassis offerings, with new production anticipated to begin early in 2028.

“Ford has built an exceptional history in the commercial stripped chassis market, and we are honored to build on that foundation through our expanded collaboration,” said John Wyskiel, President and Chief Executive Officer of Blue Bird Corporation. “By combining the knowhow of Detroit Chassis, with Blue Bird's proven chassis design and manufacturing capabilities, along with Ford's industry-leading powertrain technology, we will bring the next generation F-53 and F-59 platform to market.”

Blue Bird and Ford are committed to ensuring a seamless transition for customers, fleets and dealers. Customers will have access to service and support through select dealers, providing continuity and reliability across the vehicle lifecycle.

“DCP has played an important role in manufacturing Ford's commercial stripped chassis platforms,” said Michael J. Guthrie, Chief Executive Officer and Chairman of Detroit Chassis LLC. “We are excited to work with Blue Bird to create exciting opportunities to build on that legacy, enhance growth opportunities for our team members, leverage our collective manufacturing expertise and continue delivering exceptional products and support to customers for years to come.”

"From box trucks to motorhomes, customers have placed their trust in Ford's F-53 and F-59 stripped chassis platforms for generations," said John Emmert, Ford Pro's global director of product marketing. " We're focused on continuing to serve this segment with Blue Bird products powered by Built Ford Tough powertrain technology as we carry this legacy forward for our customers."

The commercial stripped chassis market represents a significant long-term growth opportunity for Blue Bird. The company expects the collaboration with Ford and Detroit Chassis to further diversify its product portfolio, broaden its addressable market, and leverage its decades of experience designing and manufacturing purpose-built vehicle platforms.

About Blue Bird Corporation
Blue Bird (NASDAQ: BLBD) is recognized as a technology leader and innovator of school buses since its founding in 1927. Our dedicated team members design, engineer and manufacture school buses with a singular focus on safety, reliability, and durability. School buses carry the most precious cargo in the world – 25 million children twice a day – making them the most trusted mode of student transportation. The company is the proven leader in low- and zero-emission school buses with more than 25,000 propane, natural gas, and electric powered buses sold. Blue Bird is transforming the student transportation industry through cleaner energy solutions. For more information on Blue Bird’s complete product and service portfolio, visit www.blue-bird.com.

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Key Takeaways Ford raised 2026 adjusted EBIT guidance to $10-$11B and free cash flow outlook to $6-$7B.Ford Blue gains from richer mix and cost cuts, while Model e losses narrowed for the third straight quarter.Ford Pro software growth, strong liquidity, a 4% yield and discounted valuation add to the appeal. Last week, Ford (F - Free Report) reported strong second-quarter 2026 results, with adjusted earnings of $3.57 per share rising 41.3% year over year as well as exceeding the Zacks Consensus Estimate by 14.06%. Backed by robust results and improving fundamentals, the company lifted its full-year outlook. Ford raised its full-year adjusted EBIT outlook to $10-$11 billion from $8.5-$10.5 billion. It also increased adjusted free cash flow guidance to $6-$7 billion from $5-$6 billion.

Wall Street analysts are getting optimistic on the stock after second-quarter results, as reflected by the upward revision of the company’s EPS estimates.

Over the past seven days, the consensus mark for Ford’s 2026 EPS has moved up 24 cents to $1.86, implying a year-over-year jump of 71%. Over the same timeframe, the Zacks Consensus Estimate for 2027 EPS has increased by 17 cents to $1.94, implying growth of more than 4% from projected 2026 levels.

Let's take a closer look at what has analysts feeling upbeat about the stock and whether it's the right time to buy.

Ford Blue Benefiting From Better Mix & Cost CutsFord Blue’s prospects are improving as the business shifts toward higher-margin trucks, utilities, off-road models and hybrids. Off-road trims represented nearly 25% of U.S. sales, and Explorer and Expedition retail sales rose more than 20%. F-Series demand remains firm, with disciplined incentives and favorable channel mix supporting pricing.

Management raised 2026 Ford Blue EBIT guidance to $5-$5.5 billion from $4.5-$5 billion. Continued quality gains, lower warranty costs and upcoming truck launches should further support margins. The company remains on track for $1 billion of material and warranty cost reductions in 2026.

Ford Model e Losses NarrowingFord Model e’s prospects are improving because losses are narrowing while the company redirects spending toward lower-cost electric vehicles and energy storage. The segment’s second-quarter 2026 EBIT loss narrowed to $919 million from $1.33 billion a year earlier, marking the third consecutive quarter of year-over-year improvement.

Management expects Gen-1 EV EBIT to improve about 40% in 2026 and now forecasts a full-year loss of roughly $4 billion. The Universal Electric Vehicle platform is designed for affordable models priced at around $30,000, with first deliveries expected in 2027.

Ford Pro Winning From Software StrengthCommercial vehicle leadership, recurring software revenues and added production capacity are set to boost the segment’s profits. Ford now expects an EBIT of $7-$7.5 billion for the full year from this unit, up from $6.5-$7.5 billion guided earlier.

Paid Ford Pro Intelligence subscriptions exceeded 900,000, supporting a higher-margin revenue stream. Early 2027 model-year customer contracting is running ahead of last year, indicating sustained fleet demand. Oakville is scheduled to add up to 100,000 units of Super Duty capacity from the fourth quarter of 2026, supporting volume recovery, service growth and earnings resilience.

Ford Energy Offers DiversificationFord Energy adds a new revenue stream beyond vehicle sales by applying Ford’s battery manufacturing, service and monitoring capabilities to energy storage. The company expects to reach 20 gigawatt-hours of annual capacity by late 2027 and is already producing prototype cells in Michigan.

Solid Liquidity & Dividend Yield Add to the AppealFord ended the second quarter of 2026 with $22.3 billion in cash and $43.4 billion in liquidity. It has returned more than $16 billion through dividends and repurchases over five years. The company has an attractive dividend yield of over 4%.

Ford’s Price Performance & ValuationYear to date, shares of F have risen 12.5%, outperforming the industry and peers like General Motors (GM - Free Report) and Tesla (TSLA - Free Report) . While General Motors shares moved up roughly 8%, Tesla shares declined 28% during the same timeframe.  

YTD Price Performance Comparison Image Source: Zacks Investment Research

Ford also appears undervalued now, with a Value Score of A. The company is trading at a forward sales multiple of 0.32, lower than its closest peer, General Motors. Tesla, meanwhile, continues to trade at a significantly higher valuation, reflecting investor expectations for its AI and autonomous driving businesses rather than its core automotive operations.

F’s P/S F12M Vs. TSLA & GM Image Source: Zacks Investment Research

Buy Ford Stock at Current Levels?Well, Ford faces volatile input and trade costs. Management expects 2026 commodity costs to be above $2 billion. While Model e losses are narrowing, Ford still expects a full-year 2026 loss of about $4 billion from the segment. Then there are geopolitical and macro uncertainties that can weigh on the stock.

But improving execution and a broader profit mix outweigh the risks. Ford’s richer product mix, recurring services, affordable electrification plans, energy storage and liquidity strength make us bullish on the stock. Add to that its dividend yield for income investors, discounted valuation and upbeat guidance, and Ford is definitely worth buying at current levels.

The stock carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here

DETROIT — Despite reporting a 10.2% decline in its July U.S. vehicle sales Tuesday, Ford Motor is touting the results as a "good sales month."

That's according to Rob Kaffl, Ford's director of U.S. sales, who said the steep decline from the previous year was "by design," as the Detroit automaker phases out two vehicles and lowered its daily rental fleet business.

"July was a good sales month for a number of reasons. Our July results reflect a strategy that is working exactly as planned: we've intentionally been sunsetting select models and pulled back on low-margin rental fleet volume to make room for an onslaught of new-product introductions by the end of the decade," Kaffl said in an emailed statement.

Many times, automakers do not cancel products — like Ford has done with its Ford Escape and Lincoln Corsair — until closer to production of newer models. Or they build up inventories to assist sales during the changeover in production for new vehicles.

Kaffl said the company prioritized retail sales of its F-Series pickup trucks as the automaker continues to recover production after two aluminum fires last year at a major aluminum supplier. The company said rental sales, which are typically at lower profits, were reduced by 96% compared to a year earlier.

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Without such actions, Ford contends its sales would be down less than 1%, slightly better than an estimated 2% fall for the overall industry compared to July 2025.

Planned or not, the decline last month adds to a lackluster sales year for the automaker following the problematic F-Series production as well as a pullback in all-electric vehicle sales. Ford's sales year to date through July are down 9.7%.

Ford's U.S. sales through June were already off 9.6% from a year earlier. That compares to an estimated 2.4% sales decline for the overall industry through the first half of the year, which doesn't include July, according to the most recent data from Cox Automotive's Kelley Blue Book.

Higher prices and consumer economic concerns are weighing on the overall auto industry, which Cox and other forecasters expect to be off about 3% compared to last year to 15.8 million vehicles sold.

Ford Motor shares are under pressure. Why is F stock retreating? What Is Driving Ford’s Earnings Outlook?Ford’s latest update showed adjusted EPS of 42 cents beating expectations of 35 cents, even as revenue of $44.89 billion came in below the $45.81 billion consensus.

Management also lifted FY 2026 adjusted EBIT guidance to $10 billion-$11 billion (from $8.5 billion-$10.5 billion) and raised adjusted free cash flow guidance to $6 billion-$7 billion (from $5 billion-$6 billion).

Ford’s segment mix is part of the push-pull: Ford Blue revenue was $26.1 billion (up 1% YoY) while Model e revenue was $1 billion (down 56% YoY), and the quarter ended with $18.6 billion in cash and cash equivalents. The cash-flow picture was steadier, with $4.3 billion of cash flow from operations and $2.1 billion of adjusted free cash flow.details from the report.

Ford is also putting trade policy back on the tape, with CEO Jim Farley calling a revised USMCA "critical" and floating a "modest" 15% tariff lens aimed at improving competitiveness versus Japanese and South Korean automakers.

That policy angle matters for Ford because North American sourcing and cross-border parts flows can directly influence margin durability behind the company’s newly raised $10 billion-$11 billion EBIT guide.

Critical Price Levels To Watch For FordAt $14.47, the stock is trading 2% above its 20-day SMA ($14.22) but about 0.2% below its 50-day SMA ($14.53), a spot that often acts like a "decision zone" for trend traders. The bigger-picture trend still leans constructive with price 8.6% above the 100-day SMA ($13.35) and 8.7% above the 200-day SMA ($13.34).

Momentum looks more range-bound than stretched, with RSI at 53.66 sitting in neutral territory. RSI is a quick way to gauge whether buying or selling has become overdone, and this reading suggests neither side has clear control right now.

The moving-average structure is mixed: the 20-day SMA is below the 50-day SMA (a near-term bearish tilt), but the 50-day SMA remains above the 200-day SMA following the golden cross in June. From a level perspective, traders will likely watch whether the stock can reclaim the $15.00 area or whether dips start probing the $13.00 zone.

Key Resistance: $15.00 — a round-number area that sits just above the 50-day SMA ($14.53), where rebounds can stall Key Support: $13.00 — a nearby round-number level above the 200-day SMA ($13.34), where buyers may look to defend trend support Ford Stock Price Activity on FridayF Stock Price Activity: Ford Motor shares were down 2.49% at $14.49 at the time of publication on Friday, according to Benzinga Pro data.

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