So, we got the numbers out of legacy automaker Ford (F), and the news, for the most part, was not good. The outlook was not exactly much better. And all of these points taken together were enough for Ford shareholders to send shares into free-fall, dropping Ford over 8% in Tuesday afternoon’s trading.
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So, yes, Ford is now facing another strike. However, on the plus side, it will be a short one, at least for now. Over 1,000 employees at the company’s operations in the United Kingdom are set to walk out on Wednesday, October 30, in a dispute over issues of pay and changes to contracts.
The union, known as Unite, warned that more strikes would follow without a resolution to the dispute in question, but that seems unlikely. Ford, for its part, has declared the offer to be “fair and balanced.” The union was looking for a pay raise. Ford offered a one-off bonus payment and wanted to change pay scales to be “100% performance-related.” However, the way that would be measured in some cases is unclear at best.
Coming to America
Meanwhile, Ford is looking to move production of its Mustang Mach-E batteries back to the United States. Originally, such batteries were manufactured in Poland as part of a collaborative effort with LG Energy Solution. Now, they will be made in Michigan. The Polish factory will not shutter as a result, though; instead, it will be tasked with battery production for the commercial van line.
Yet, Ford knows that it cannot survive on Mustangs and gas-powered cars forever. While its greener ambitions have been curtailed in recent months, they are still there, and Ford is putting a new focus on 2027. That will be the year when Ford looks to launch new electric vehicles built around a more affordable platform, noted a report in The Autopian.
Is Ford Stock a Good Buy Right Now?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on F stock based on five Buys, eight Holds, and one Sell assigned in the past three months, as indicated by the graphic below. After a 14.43% rally in its share price over the past year, the average F price target of $12.13 per share implies 16.08% upside potential.
