We know that legacy automaker Ford Motor Co. (F) has had to pare back its electric vehicle ambitions. However, we also know that the company is not getting out of the field altogether. But new reports have emerged from The Detroit News suggesting just how little impact on electric vehicle purchases Ford’s plan to offer free chargers has had.
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The plan to offer free chargers did little to impact sales. In fact, Ford lost 8.3% of its sales compared to October 2023’s numbers. This was the first time Ford had seen a year-over-year decline in electric vehicle sales since last January. Ford explained that the offer came in one of three different versions: they could get the charger—a Ford Charge Station Pro Level 2—and free installation, a $2,000 discount off the vehicle itself, or 0% financing for 72 months.
Ford’s director of charging and energy services customers noted that 80% of people took one of the first two options. The remaining 20% went for the no-interest financing.
Batteries and Broncos
On another front, Ford’s efforts in battery production are continuing. Zhejiang Huayou Cobalt, which is one of the biggest nickel producers on the planet, is looking to land $2.7 billion to support a project in Indonesia. The project will produce “battery-grade nickel” for electric vehicles, and given that Indonesia accounts for over half of global nickel output, this should be a productive project.
Finally, Ford also brought back the base model Ford Bronco, though it will have some significant upgrades. The base model now includes the 12-inch digital gauge cluster, along with vents for climate control in the rear seats, which is great for anyone riding in the back seat of a Bronco. Other versions will have the Sasquatch package that is getting a boost to its Bang & Olufsen stereo system along with a set of quieter tires.
Is Ford Stock a Good Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on F stock based on six Buys, nine Holds and one Sell assigned in the past three months, as indicated by the graphic below. After a 15.55% rally in its share price over the past year, the average F price target of $12.04 per share implies 9.6% upside potential.
