F Stock Soars Past 100-DMA For First Time In 2 Months — Wall Street Sees Ford Emerging As AI Data Center Power Play

Ford (F) is bidding for the UK Ministry of Defence’s £2 billion Light Mobility Vehicle program, partnering with General Dynamics and Ricardo. The initial contract could be worth £750 million, with broader potential for NATO-wide sales. Ford aims to leverage its Ranger platform and UK manufacturing capabilities. Success could diversify revenue but faces competition and execution risks. The financial impact is uncertain and likely long-term.

Ford's stock rose 2.3% to $14.4601 on Thursday, despite two recalls covering 158,664 vehicles, or 93% of its August U.S. sales. The recalls involve 148,663 Mustangs and 10,001 other 2026 models. Ford had $17.57 billion in warranty obligations as of June 30. The company raised its full-year adjusted EBIT guidance to $10-$11 billion and adjusted free-cash-flow guidance to $6-$7 billion.

Ford is increasing production of F-Series trucks, with August output at 57,504 units, the highest in two years. Despite this, Ford's U.S. sales fell 10.3% in August, marking eight months of declines. F-Series sales are down 10.9% year-to-date. Ford aims to boost inventory to 50-60 days' supply, up from the current 40 days, to meet demand. The company expects to lose $1.5 billion this year due to supplier fires.

Ford and GM will face tariffs on cars made in Canada due to U.S. tariffs on Canadian goods. Canada's retaliation, effective September 8, may impact housing costs. Ford is up 4.8% YTD but down 3.12% in the past month, while GM is up nearly 7% YTD but down 1.22% in the past month. Both companies may revise earnings guidance.

Ford is recalling 148,663 U.S. vehicles (2024-2026 Mustang) due to potential power loss and reduced visibility. The issue stems from engine compartment wiring harness ground connections, according to the NHTSA. Dealers will replace the affected parts free of charge. This follows a previous recall in June for daytime running lamp issues.

Ford Motor Co. (F.N) shares fell 0.5% to $13.88 on Friday, trading at 7.5x the 2026 consensus EPS estimate of $1.85. The decline was attributed to potential Canadian tariffs. Ford reported Q2 revenue of $48.3B and adjusted EBIT of $2.5B, raising its full-year adjusted EBIT outlook to $10B-$11B. Analysts have an average price target of $15.81, suggesting a 13.9% upside.