Due to supply-chain issues and global chip shortages, Ford Motor Company (NYSE: F), one of the top EV stocks on TipRanks, reported a drop in vehicle sales in the U.S. for December and full-year 2021. Notably, the numbers also lagged its peers, Toyota Motor (NYSE: TM) and General Motors Co. (NYSE: GM), in 2021.
Following the news, shares of the American multinational automobile manufacturer closed 2.67% lower on Wednesday.
Vehicle NumbersFord reported a 17.1% year-over-year decline in total U.S. sales in December 2021 to 173,740 vehicles. Total truck sales dipped 15.5% to 91,699, while sales of SUVs were down 11.1% to 77,377.
On a positive note, Ford's electrified vehicles grew 36% faster than the overall segment in 2021 and achieved a new sales record for the month of December and full-year 2021. Markedly, sales of electrified vehicles rose 121.1% year-over-year to 12,284 in December.
For 2021, total U.S. sales were down 6.8% year-over-year to 1,905,955 vehicles. Notably, truck sales were down 8.2% to 1,011,198, while SUVs sales jumped 10.4% to 827,278.
Milestones AchievedPer the company’s report, Ford recorded its best-ever year for electric vehicles sales, coming in just behind Tesla (TSLA) in 2021. Markedly, Mustang Mach-E sales came in at 27,140 in 2021. Beginning in 2022, Ford will commence customer deliveries for both the F-150 Lightning and E-Transit electric vehicles, expanding its share of the EV market.
Ford was the bestselling automaker in the fourth quarter. The company recorded quarterly sales of 508,451 vehicles, up 26.8% sequentially, compared to an overall industry decrease of around 3%.
Having sold 162,979 vans, Ford marks its 43rd straight year as America’s best-selling commercial van lineup.
Additionally, the F-Series was the best-selling truck for the 45th straight year and the best-selling vehicle in America for the 40th year in a row.
Recently, Ford revealed its plans to nearly double the production of its F-150 Lightning pickup to 150,000 trucks annually.
Official CommentsAndrew Frick, VP, Ford Sales U.S. and Canada, said, “Ford finished the year strong, as the only U.S. automaker hitting the half million sales mark in the fourth quarter, making Ford America’s best-selling automaker...Looking to the new year, Ford had just over 70,000 new vehicle orders in December, which will provide continued momentum into 2022.”
Wall Street’s TakeOn January 5, CFRA maintained a Buy rating on the stock and lifted the price target to $32 (35.25% upside potential) from $8.
The rest of the Street is cautiously optimistic about the stock, with a Moderate Buy consensus rating based on 10 Buys, 5 Holds, and 3 Sells. The average Ford price target of $20.59 implies 13% downside potential from current levels. Shares have gained 69.1% over the past six months.
Smart ScoreFord scores a 9 of 10 from TipRanks’ Smart Score rating system, indicating that the stock has strong potential to outperform market expectations.
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Ford to Ramp Up Electric F-150 Lightning Pickup Production; Shares Jump
Ford Motor Company (NYSE: F), one of the top EV stocks on TipRanks, has revealed its plan to nearly double the production of its F-150 Lightning pickup at the Rouge Electric Vehicle Center in Dearborn to 150,000 trucks annually.
Following the news, shares of the American multinational automobile manufacturer jumped 11.7% to close at $24.31 on Tuesday.
Through the increased production, the company will cater to the high demand for its F-Series, the first all-electric version of America’s best-selling vehicle. Notably, from Thursday, the first phase of reservations will be converted into orders for the F-150 Lightning, and gradually, all reservations will be converted in a phased manner over the next few months.
Official CommentsPresident of the Americas & International Markets Group at Ford Motor, Kumar Galhotra, said, "With nearly 200,000 reservations, our teams are working hard and creatively to break production constraints to get more F-150 Lightning trucks into the hands of our customers.” The reality is clear: People are ready for an all-electric F-150 and Ford is pulling out all the stops to scale our operations and increase production capacity."
Moves to Ramp Up ProductionStaff at various units, including manufacturing, purchasing, strategy, product development, and capacity planning are looking for ways to ramp up production.
Additionally, Ford is in discussions with its key suppliers and own manufacturing facilities to find ways to enhance the production capacity of battery cells, battery trays, and electric drive systems.
Future PlansFord has committed to invest over $30 billion in electric vehicles through 2025, with the aim of establishing the top position as an electric vehicle maker in North America over the next two years. Markedly, within 24 months, Ford’s global production capacity is likely to be 600,000 battery-electric vehicles annually.
Along with ramping up production of the Lightning, Ford recently disclosed its plan of tripling Mustang Mach-E production and expects to reach more than 200,000 units per year by 2023. Also, Ford’s all-electric van, the 2022 E-Transit, will be available for sale early this year.
Markedly, Ford is also modernizing some of its auto production facilities, with a total investment of $11.4 billion.
Wall Street’s TakeOn January 4, Bank of America Securities analyst John Murphy maintained a Buy rating on the stock and lifted the price target to $26 (6.95% upside potential) from $22.
The rest of the Street is cautiously optimistic about the stock, with a Moderate Buy consensus rating based on 9 Buys, 5 Holds, and 3 Sells. The average Ford price target of $19.88 implies 18.22% downside potential from current levels. Shares have gained 71.7% over the past six months.
Website TrafficTipRanks’ Website Traffic Tool, which uses data from SEMrush Holdings (NYSE: SEMR), the world’s biggest website usage monitoring service, offers insight into Ford’s performance this quarter.
According to the tool, the Ford website recorded an 8.62% increase in global visits in November compared to the same period last year. In contrast, a quarter-to-date comparison showed a decline of 0.76% compared to Q4 2020, while year-to-date website traffic growth stands at 11.58%.
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