Legacy automaker Ford (F) has been delivering a surprisingly large number of patents lately, which is kind of a strange development in and of itself. And its latest patent is actually in a similar vein to some other car companies pursuing a similar operation. The new patent did little for Ford shares, though, as they slipped modestly in Monday afternoon’s trading.
Don't Miss Our New Year's Offers:
- Discover the latest stocks recommended by top Wall Street analysts, all in one place with Analyst Top Stocks
- Make smarter investments with weekly expert stock picks from the Smart Investor Newsletter
Ford is working on what is known as a “steer-by-wire” system, according to a report from Motor Authority, which is actually something that other automakers are working on. But the Ford patent addresses mainly one key aspect of the steer-by-wire concept: maintaining torque with the wheel when the vehicle is not moving.
Some people use their steering wheel as a “grab handle,” the report noted, a way to help them get out of the car. But in a steer-by-wire system, the wheel has no connection to the road itself. That means the wheel would have no torque to hold it in place, making it useless as a support for getting out of the car. Ford’s new patent changes that, adding an actuator that can sense when the vehicle is not moving and then applying the relevant torque.
Meanwhile At the Dealership….
We know that Ford dealerships are looking at some major potential changes, but one dealership in particular is looking at a much, much more frightening change. The Federal Trade Commission (FTC) has descended on one dealership, reports Ford Authority, in Maryland.
The reports note that Lindsay Management Company and its dealerships were engaging in “deceptive trade practices” including, among other things, “engaging in misleading pricing activities” and “financing kickbacks.” This in turn prompted an investigation from the state Attorney General’s office, which noted that “our office will not let car dealerships profit from unfair and deceptive practices.”
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 12.72% loss in its share price over the past year, the average F price target of $10.89 per share implies 9.72% upside potential.
