Ford Upgrades to Overweight as $19.5B EV Asset Write-Down Refocuses Strategy
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 09 2026
0mins
Source: Benzinga
- EV Strategy Shift: Ford's decision to partner with Renault and write down $19.5 billion in EV assets is seen as a strategic refocus on its most profitable segments, which could enhance overall profitability.
- Rating Upgrade: Piper Sandler analyst Alexander Potter upgraded Ford's rating from Neutral to Overweight while raising the price target from $11 to $16, reflecting an optimistic outlook on the company's future profitability.
- Earnings Forecast Increase: The analyst expects Ford to achieve earnings of $1.95 per share, surpassing the market consensus of $1.77 per share, indicating potential in reducing warranty spending and optimizing product mix.
- Stock Price Movement: Although Ford's shares declined by 0.94% to $14.26 at publication, the analyst's positive rating could drive a rebound in stock price, boosting investor confidence.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy F?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on F
Wall Street analysts forecast F stock price to fall
14 Analyst Rating
3 Buy
10 Hold
1 Sell
Hold
Current: 14.770
Low
11.00
Averages
13.65
High
16.00
Current: 14.770
Low
11.00
Averages
13.65
High
16.00
About F
Ford Motor Company develops and delivers Ford trucks, sport utility vehicles, commercial vans and cars, and Lincoln luxury vehicles, along with connected services, including BlueCruise (ADAS) and security. The Company's segments include Ford Blue, Ford Model e, Ford Pro, and Ford Credit. The Ford Blue segment primarily includes the sale of Ford and Lincoln internal combustion engine (ICE) and hybrid vehicles, service parts, accessories, and digital services for retail customers. The Ford Model e segment primarily includes the sale of its electric vehicles, service parts, accessories, and digital services for retail customers. The Ford Pro segment primarily includes the sale of Ford and Lincoln vehicles, service parts, accessories, and services for commercial, government, and rental customers. The Ford Credit segment consists of the Ford Credit business on a consolidated basis, which is primarily vehicle-related financing and leasing activities. Its vehicle brands are Ford and Lincoln.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
GM Partners with Lockheed Martin to Enhance Manufacturing Capacity
- Strategic Partnership: General Motors has entered into a partnership with Lockheed Martin to enhance manufacturing capabilities and scale production, facilitated by the U.S. Department of Defense, highlighting the deep manufacturing roots of both companies in the defense sector.
- Investment Plans: Lockheed Martin is set to invest $9 billion by 2030 to modernize 20 facilities, while GM commits $7 billion for research and development in the U.S., significantly boosting both companies' competitiveness in defense production.
- Efficient Manufacturing: The collaboration will focus on high-rate manufacturing and expanding production capacity, aiming to improve production readiness and supply chain resilience to meet the increasing defense demands, particularly in light of the conflicts in Ukraine and Iran.
- Historical Context: GM manufactured tanks for the U.S. during World War II, and its defense unit has rapidly grown since its re-establishment in 2017, serving clients such as the U.S. Army and NASA, indicating its potential and strategic significance in the defense market.
See More
General Motors Partners with Lockheed Martin for Defense Manufacturing
- Defense Partnership Agreement: General Motors has formed a new defense partnership with Lockheed Martin aimed at scaling production capabilities and enhancing manufacturing efficiency, which will help meet the U.S. Department of Defense's demand for weapon production.
- Investment and R&D: Lockheed Martin plans to invest $9 billion by 2030 to modernize 20 facilities, while GM commits to spending $7 billion on research and development in the U.S., demonstrating both companies' long-term commitment to the defense sector.
- Production Capacity Enhancement: The collaboration will focus on high-rate manufacturing, aiming to improve production readiness and supply chain resilience, which is expected to accelerate delivery and enhance overall efficiency in line with U.S. government support for the defense industry.
- Historical Context and Strategic Significance: GM's defense unit has rapidly grown since its reestablishment in 2017, and this partnership not only continues its historical role in manufacturing tanks during World War II but also reflects the strategic goal of reshoring American manufacturing.
See More
BNEF Lowers U.S. EV Adoption Outlook to 17% by 2030
- EV Sales Outlook Downgrade: BloombergNEF has revised its forecast for U.S. electric vehicle sales down to 17% from last year's 27%, indicating a significant impact on global EV adoption as the U.S. market weakens.
- Global Sales Projection Decline: The global sales of electric vehicles are now expected to reach 35.6 million units by 2030, which is 3.4 million fewer than previously estimated, highlighting the adverse effects of changing policies on market dynamics.
- Significant Policy Impact: The rollback of federal support measures under the Trump administration, including the weakening of fuel-efficiency standards and the elimination of a $7,500 federal tax credit, has dampened consumer demand and forced automakers to scale back their EV plans, affecting their competitive edge.
- Accumulated Industry Losses: Major automakers such as Stellantis, Ford, General Motors, and Honda have collectively incurred approximately $64 billion in EV-related losses over the past year, underscoring the severe challenges faced by the industry amid a shifting regulatory landscape.
See More
GM Partners with Peak Energy to Develop Sodium-Ion Batteries
- Strategic Partnership: General Motors has partnered with Peak Energy to develop next-generation sodium-ion batteries aimed at providing low-cost solutions for grid-scale energy storage, which is expected to significantly reduce storage system costs while enhancing reliability.
- Technical Advantage: The sodium-ion battery system eliminates the need for active cooling equipment, potentially lowering storage costs by around 20% while maintaining 99% uptime, giving it a competitive edge over traditional lithium-iron phosphate batteries in terms of cost and safety.
- Market Potential: GM's sodium-ion battery initiative mirrors Tesla's success, which achieved record storage deployments of 46.7 GWh last year, generating $12.7 billion in revenue, highlighting the substantial potential of the energy storage market.
- Future Outlook: While GM has yet to announce specific GWh targets, Ford is expected to deploy at least 20 GWh of storage systems annually, indicating that the energy storage business will become a crucial new opportunity for automakers as the electric vehicle market evolves.
See More
Automakers Explore New Revenue Streams with Battery Technology
- New Revenue Streams: Ford Motor Company plans to provide battery energy storage systems through its wholly-owned subsidiary Ford Energy, targeting utilities and large industrial customers, which is expected to create new revenue streams and enhance overall profitability.
- Technological Collaboration Advantage: General Motors' partnership with Peak Energy to develop next-generation sodium-ion batteries aims to provide a lower-cost alternative for grid-scale energy storage, potentially increasing its competitiveness in the storage market.
- Cost Efficiency Improvement: Peak Energy's sodium-ion battery system can reduce storage costs by approximately 20% and eliminates the need for active cooling systems, ensuring 99% uptime, thus offering advantages in safety and reliability over traditional lithium-iron phosphate batteries.
- Market Potential Emergence: As the automotive industry transitions towards electrification, the energy storage systems business presents new growth opportunities for automakers, which could significantly enhance their market valuations and investment appeal.
See More
Ford Seeks Waiver to Continue Importing China-Made Lincoln Nautilus
- Software Restrictions Impact: Ford has applied for a waiver from the US Commerce Department to continue importing the China-built Lincoln Nautilus SUV under new software restrictions, as its software is developed in the US but installed in China, placing it under the new regulations and potentially affecting future import plans.
- Regulatory Background: The rules, effective January 2025, prohibit the use of software developed or maintained by Chinese entities in connected vehicles, impacting several automakers including Ford, reflecting the US's heightened focus on national security.
- Industry Implications: Ford expects to begin importing the 2027 model year Nautilus in January, leaving several months to secure approval, while other automakers like Polestar and General Motors face similar compliance challenges that could affect their sales of China-made models in the US.
- Supply Chain Challenges: The forthcoming hardware ban is seen as a more significant challenge, requiring automakers to significantly reduce their reliance on Chinese supply chains, with GM already setting a 2027 deadline for certain suppliers to eliminate Chinese-sourced components, highlighting the urgency and compliance pressure within the industry.
See More
GM Partners with Lockheed Martin to Enhance Manufacturing Capacity
- Strategic Partnership: General Motors has entered into a partnership with Lockheed Martin to enhance manufacturing capabilities and scale production, facilitated by the U.S. Department of Defense, highlighting the deep manufacturing roots of both companies in the defense sector.
- Investment Plans: Lockheed Martin is set to invest $9 billion by 2030 to modernize 20 facilities, while GM commits $7 billion for research and development in the U.S., significantly boosting both companies' competitiveness in defense production.
- Efficient Manufacturing: The collaboration will focus on high-rate manufacturing and expanding production capacity, aiming to improve production readiness and supply chain resilience to meet the increasing defense demands, particularly in light of the conflicts in Ukraine and Iran.
- Historical Context: GM manufactured tanks for the U.S. during World War II, and its defense unit has rapidly grown since its re-establishment in 2017, serving clients such as the U.S. Army and NASA, indicating its potential and strategic significance in the defense market.
See More
General Motors Partners with Lockheed Martin for Defense Manufacturing
- Defense Partnership Agreement: General Motors has formed a new defense partnership with Lockheed Martin aimed at scaling production capabilities and enhancing manufacturing efficiency, which will help meet the U.S. Department of Defense's demand for weapon production.
- Investment and R&D: Lockheed Martin plans to invest $9 billion by 2030 to modernize 20 facilities, while GM commits to spending $7 billion on research and development in the U.S., demonstrating both companies' long-term commitment to the defense sector.
- Production Capacity Enhancement: The collaboration will focus on high-rate manufacturing, aiming to improve production readiness and supply chain resilience, which is expected to accelerate delivery and enhance overall efficiency in line with U.S. government support for the defense industry.
- Historical Context and Strategic Significance: GM's defense unit has rapidly grown since its reestablishment in 2017, and this partnership not only continues its historical role in manufacturing tanks during World War II but also reflects the strategic goal of reshoring American manufacturing.
See More
BNEF Lowers U.S. EV Adoption Outlook to 17% by 2030
- EV Sales Outlook Downgrade: BloombergNEF has revised its forecast for U.S. electric vehicle sales down to 17% from last year's 27%, indicating a significant impact on global EV adoption as the U.S. market weakens.
- Global Sales Projection Decline: The global sales of electric vehicles are now expected to reach 35.6 million units by 2030, which is 3.4 million fewer than previously estimated, highlighting the adverse effects of changing policies on market dynamics.
- Significant Policy Impact: The rollback of federal support measures under the Trump administration, including the weakening of fuel-efficiency standards and the elimination of a $7,500 federal tax credit, has dampened consumer demand and forced automakers to scale back their EV plans, affecting their competitive edge.
- Accumulated Industry Losses: Major automakers such as Stellantis, Ford, General Motors, and Honda have collectively incurred approximately $64 billion in EV-related losses over the past year, underscoring the severe challenges faced by the industry amid a shifting regulatory landscape.
See More
GM Partners with Peak Energy to Develop Sodium-Ion Batteries
- Strategic Partnership: General Motors has partnered with Peak Energy to develop next-generation sodium-ion batteries aimed at providing low-cost solutions for grid-scale energy storage, which is expected to significantly reduce storage system costs while enhancing reliability.
- Technical Advantage: The sodium-ion battery system eliminates the need for active cooling equipment, potentially lowering storage costs by around 20% while maintaining 99% uptime, giving it a competitive edge over traditional lithium-iron phosphate batteries in terms of cost and safety.
- Market Potential: GM's sodium-ion battery initiative mirrors Tesla's success, which achieved record storage deployments of 46.7 GWh last year, generating $12.7 billion in revenue, highlighting the substantial potential of the energy storage market.
- Future Outlook: While GM has yet to announce specific GWh targets, Ford is expected to deploy at least 20 GWh of storage systems annually, indicating that the energy storage business will become a crucial new opportunity for automakers as the electric vehicle market evolves.
See More
Automakers Explore New Revenue Streams with Battery Technology
- New Revenue Streams: Ford Motor Company plans to provide battery energy storage systems through its wholly-owned subsidiary Ford Energy, targeting utilities and large industrial customers, which is expected to create new revenue streams and enhance overall profitability.
- Technological Collaboration Advantage: General Motors' partnership with Peak Energy to develop next-generation sodium-ion batteries aims to provide a lower-cost alternative for grid-scale energy storage, potentially increasing its competitiveness in the storage market.
- Cost Efficiency Improvement: Peak Energy's sodium-ion battery system can reduce storage costs by approximately 20% and eliminates the need for active cooling systems, ensuring 99% uptime, thus offering advantages in safety and reliability over traditional lithium-iron phosphate batteries.
- Market Potential Emergence: As the automotive industry transitions towards electrification, the energy storage systems business presents new growth opportunities for automakers, which could significantly enhance their market valuations and investment appeal.
See More
Ford Seeks Waiver to Continue Importing China-Made Lincoln Nautilus
- Software Restrictions Impact: Ford has applied for a waiver from the US Commerce Department to continue importing the China-built Lincoln Nautilus SUV under new software restrictions, as its software is developed in the US but installed in China, placing it under the new regulations and potentially affecting future import plans.
- Regulatory Background: The rules, effective January 2025, prohibit the use of software developed or maintained by Chinese entities in connected vehicles, impacting several automakers including Ford, reflecting the US's heightened focus on national security.
- Industry Implications: Ford expects to begin importing the 2027 model year Nautilus in January, leaving several months to secure approval, while other automakers like Polestar and General Motors face similar compliance challenges that could affect their sales of China-made models in the US.
- Supply Chain Challenges: The forthcoming hardware ban is seen as a more significant challenge, requiring automakers to significantly reduce their reliance on Chinese supply chains, with GM already setting a 2027 deadline for certain suppliers to eliminate Chinese-sourced components, highlighting the urgency and compliance pressure within the industry.
See More
