tiprankstipranks
Trending News
More News >
Advertisement
Advertisement

Ford Stock (NYSE:F) Surges Despite Louisville Plant Shutdown

Story Highlights

Ford shuts down a production line following an air disaster in the neighborhood, and the box scores on recalls this year are a disaster in and of themselves.

Ford Stock (NYSE:F) Surges Despite Louisville Plant Shutdown

Chances are, you already heard about the UPS (UPS) plane crash near the Worldport facility in Louisville. It was the single deadliest plane crash in UPS history, and as it turns out, it also had impact on legacy automaker Ford (F). Ford shut down the Louisville Assembly Plant for the day, because as it turns out, it was not far from the Worldport facility. But investors took the news very well. They sent shares surging up nearly 4% in Wednesday afternoon’s trading.

Elevate Your Investing Strategy:

  • Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.

Workers at the Louisville plant were actually on the scene and running a shift when the plane crashed, reports note, and were “sheltered in place” to start with. The power was also turned off at the plant as a further precaution. Eventually, the workers were evacuated, and the plant was shut down for the day.

There were no reports on how the shutdown would impact Ford inventory, as well as further production. But given that the plant currently builds Ford Escape and Lincoln Corsair models—both of which are due to be phased out at the end of this year anyway—losing a day or two of production likely will not hurt Ford in any serious capacity.

But This Might

However, a look back at the year so far for Ford does not suggest much in the way of positive development. Especially when you consider the sheer number of recalls involved. Reports note that Ford is up to a hefty 107 recalls for the year in 2025, and there are still, basically, two months remaining.

Further, these recalls cover a wide variety of models and numbers within those models. For instance, one recent recall hit 1.4 million vehicles over rear-view cameras. Another hit just 8,000 vehicles for light-bar issues. Considering that Ford only puts out about two million vehicles per year, the fact that the recalls cover about eight million vehicles total suggests serious issues with quality control at Ford.

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 two Sells assigned in the past three months, as indicated by the graphic below. After a 14.3% rally in its share price over the past year, the average F price target of $12.14 per share implies 8.07% downside risk.

See more F analyst ratings

Disclosure

Disclaimer & DisclosureReport an Issue

1