If you thought that legacy automaker Ford (F) left its labor issues behind with the last round of contract talks, unfortunately, that proved not to be the case. Ford has just incensed the Teamsters union with a new move: canceling the contract of longtime car hauling service Jack Cooper, which has stood for decades.
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The contract with Jack Cooper, reports noted, had stood for decades, according to a report from the Detroit Free Press. Further, the contract represents 1,400 union jobs, and the Teamsters union plans to fight for these jobs accordingly. Particularly, this will impact about 100 employees in the Metro Detroit area, and ultimately cause an “existential crisis” for the future of Jack Cooper itself.
Ford is actually Jack Cooper’s second-largest customer. The largest is General Motors (GM), which appears to have left its contract in place. But Ford shut down the contract on January 2, according to internal documents, with a 30-day notice. A reason for the shutdown was not provided, but some believe that, since Jack Cooper drivers are Teamsters, Ford was looking for non-union haulers to do the job, possibly at a cost savings.
The Mach-E Surprise
A report from Fox Business, meanwhile, came in for Mustang Mach-E sales, which as it turns out, made an impressive milestone. The report noted that Mach-E sales actually outpaced sales for traditional gas-engine Mustangs. Sales data from 2024 revealed that 44,003 traditional Mustangs were sold, but 51,745 Mach-E Mustangs were sold. So while gas Mustangs lost about 9.5% of sales over 2023, Mach-E Mustangs gained 26.9%, allowing the electric version to outsell their direct gas counterpart.
One of the biggest reasons for the hike, Ford noted, was the Ford Power Promise. The program, which offered free chargers, complete with installation, likely made the electric Mustangs that much more attractive to end users. And with the program now set to run through March, this may help the electric vehicle program catch on 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 three Buys, seven Holds and three Sells assigned in the past three months, as indicated by the graphic below. After a 11.93% loss in its share price over the past year, the average F price target of $10.31 per share implies 6.34% upside potential.
