Can we go more than a month without news of a recall somewhere at legacy automaker Ford (F)? I am beginning to sorely doubt that we can, because news of the latest such recall recently emerged. On the plus side, investors seem very much used to that sort of thing by now, and sent shares up modestly in Friday afternoon’s trading.
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This time around, the recall extends to both Ford and Lincoln models, who are putting out a recall on 298 SUVs. The problem? Driver instrument screens that can go blank, which keep critical warnings out of the picture, and even prevent a driver from seeing how fast he or she is going.
Thankfully, the recall is not extensive, and is limited to three main classes: the Ford Bronco Sport and the Ford Escape from 2025, and the Lincoln Corsair, also from 2025. It turns out that some of the circuit boards involved in the display’s construction were left “uncovered,” and as a result, could short-circuit. That blanks the screen. But as it turns out, a fix is already waiting, as dealers will replace the instrument panel outright.
The Death of Jack Cooper
A while back, we brought word that Ford stopped turning to Jack Cooper, a long-time car hauler, for its car hauling services. The deal had stood for decades, reports noted, but when Ford shut it down, that was the beginning of the end for Jack Cooper. With General Motors (GM) also pulling out of the deal, the end result was just an untenable situation from which Jack Cooper could not recover.
And recover it did not. Jack Cooper announced a complete shutdown, and then notified employees to “…not return to work, unless contacted by management.” A few employees would be kept on to “….ensure an orderly wind-down of Jack Cooper operations.” The Teamsters have vowed to fight on in a bid to “…preserve union jobs,” reports note. But with Jack Cooper shut down altogether, the odds of that happening are slim.
Is Ford Stock a Good Buy Right Now?
Turning to Wall Street, analysts have a Hold consensus rating on F stock based on four Buys, eight Holds and three Sells assigned in the past three months, as indicated by the graphic below. After a 21.34% loss in its share price over the past year, the average F price target of $10.56 per share implies 11.69% upside potential.
