It was not so long ago that Ford (F), along with its contemporaries in the legacy automaker space, faced down strikes from the United Auto Workers. And while these were ultimately resolved, new reports suggest that the UAW may be coming back for more, and bringing fresh strikes along a year after the original strikes hit. Ford investors took the news in stride, though, sending shares up modestly in Thursday afternoon’s trading.
This time, the issues can be traced back to a tool and die plant that supports the Rouge Complex near Detroit. Given that that plant produces the F-150 pickup, and is one of just two such plants that do so, a strike at that plant could be a significant blow to Ford’s bottom line.
A strike deadline has been announced for 11:59 p.m on September 25, 2024. That deadline arose at about the same time UAW President Shawn Fain announced that strike authorization votes would begin as well. This issue is more of a local matter, and reports note that this union is seeking, “…job security, wage parity for Skilled Trades, as well as work rules.”
Carpool Karaoke, Coming Soon?
On a lighter note, Ford is also bringing out a new option to help pass the time on long car rides: in-car karaoke. The Stingray Karaoke app will soon be part of the in-dash infotainment system, and display lyrics for songs on screen. Songs will be available from “a wide variety of genres,” and offer lyrics in 38 different languages, ensuring that there is a good chance you too will be able to sing along with your favorite songs on the road.
Solo drivers, though, will not be able to enjoy the experience unless they’re parked, as the system will not display lyrics unless the vehicle is in park. However, anyone riding in the passenger seat can simply scan a QR code to activate the system and control it from a smartphone, allowing passengers to belt out their choice of hits right there while someone else does the driving. That will certainly make self-driving cars that much more compelling to some, who want to get in on the fun as well.
Is Ford a Good Stock to Buy Now?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on F stock based on five Buys, nine Holds and one Sell assigned in the past three months, as indicated by the graphic below. After a 3.77% loss in its share price over the past year, the average F price target of $13.67 per share implies 23.49% upside potential.
