Ford Cites Change In Market Demand, Slashes F-150 Lightning Production Targets
Portfolio Pulse from Anan Ashraf
Ford Motor Co (NYSE:F) is reducing its production targets for the F-150 Lightning electric pickup by 50% starting next year due to changing market demand. The new target is approximately 1,600 vehicles per week, down from the initial 3,200 units. This decision follows Ford's Q3 announcement of delaying a $12 billion EV investment and focusing on combustion engine vehicles and hybrids. Despite the production cut, Ford's Lightning sales increased by 113% year-on-year in November.
December 12, 2023 | 2:31 am
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Ford is cutting its F-150 Lightning production targets by half due to changing market demand, signaling a strategic shift that may affect investor sentiment.
The reduction in production targets for a key electric vehicle model suggests a potential slowdown in Ford's EV segment, which could negatively impact investor confidence and the stock price in the short term. However, the company's continued focus on profitable combustion engine vehicles and hybrids, along with the recent increase in Lightning sales, may offset some of the negative sentiment.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100