Remember, just under a week ago, when we first heard that legacy automaker Ford (F) had refiled the trademarks around the Ranchero? Remember how we wondered if this meant that Ford’s new electric pickup had a name? That seems to be the case after all, and it is a development that Ford investors are pretty pleased about. Ford shares were up over 2% in Tuesday afternoon’s trading.
Meet Samuel – Your Personal Investing Prophet
- Start a conversation with TipRanks’ trusted, data-backed investment intelligence
- Ask Samuel about stocks, your portfolio, or the market and get instant, personalized insights in seconds
Ford’s new electric pickup is apparently a far cry from the F-150 Lightning, reports note, as its Universal Electric Vehicle platform has more applications than some may have previously thought. In fact, reports note, the platform will eventually be part of a sport utility vehicle, a small car, a family sedan, and a van.
The early reports about the new vehicle are eye-opening; not only is this new vehicle set to be lighter than many in its class, it is also more efficient with power, and that gives it a better range. Perhaps best of all, in an era where prices on everything are going up, this car will come in at $20,000 less than the average cost of a new car in the United States today. An electric vehicle that goes farther for much less is sure to be worth considering in some drivers’ books.
Further Aluminum Problems
Meanwhile, the aluminum shortage that started up last year with a fire at Novelis, which was followed up by another fire at Novelis, seems to be carrying on with no real end in sight. In fact, Ford now projects that it will have to spend $2 billion on commodities—like aluminum—in 2026 as a result. That may not sound like much in isolation, but Ford was originally planning to spend half of that amount.
This is likely to prove a constraint to downstream supply as well, and hit dealerships hard. Dealerships were likely already reeling from the sheer amount of warranty repairs and recall work they have addressed in the last year. To lose access to one of Ford’s biggest sellers, the F-150, is likely to be every bit as hard on dealers.
Is Ford Stock a Good Buy Right Now?
Turning to Wall Street, analysts have a Hold consensus rating on F stock based on three Buys, nine Holds and one Sell assigned in the past three months, as indicated by the graphic below. After a 10.15% rally in its share price over the past year, the average F price target of $13.69 per share implies 16.68% upside potential.
