An electric vehicle (EV) is only as good as its battery, at the end of the day. Legacy automaker Ford (F) is likely aware of this, and has a novel new prospect coming as a result. The new line of EVs Ford has on tap will have an unexpected feature: a much smaller battery. But this is less a problem than you may think. In fact, Ford stock is up fractionally in Friday afternoon’s trading.
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So how does a smaller battery win Ford’s new EV line any friends? As it turns out, the smaller battery will produce a car with a similar range as those cars with bigger batteries. The battery in question will offer 51 kilowatt-hours of power, which is only about half the size of the batteries currently found in the F-150 Lightning.
But if Ford can make an EV that gets the necessary 250-300 mile per charge range that most electric vehicles consider “table stakes” these days, Ford might be able to make lighter-weight vehicles that are also less expensive, a combination that is only too important in a time when everyone is still feeling the inflationary pinch that started a few years ago and has yet to relent.
“Liquid Carbon” Mustang
Of course, Ford is not all about electric vehicles; EVs represent a small portion of Ford’s total sales, as gas engines still rule the day. And new reports about the Ford Mustang GTD “Liquid Carbon” are already delivering some impressive visuals of the kind that might make Porsche (POAHY) quake in fear.
Indeed, the GTD Liquid Carbon does look a lot like a 911 GT3 RS. Moreover, it is also a car that has bypassed the paint process and instead stuck with bonded carbon fiber all around. It is not all about looks, though, as reports note the GTD Liquid Carbon features a “Performance” pack as a standard edition, complete with a DRS flap on the rear win, dive planes, and a “bigger splitter,” all of which adds up to Ford living up to its promise of “no boring cars.”
Is Ford Stock a Good Buy Right Now?
Turning to Wall Street, analysts have a Hold consensus rating on F stock based on two Buys, nine Holds and three Sells assigned in the past three months, as indicated by the graphic below. After a 8.85% rally in its share price over the past year, the average F price target of $10.74 per share implies 6.24% downside risk.
