Ford's Delay Of Its All-Electric SUV Is Not The Result Of Gone EV Euphoria But Part Of A Wise Strategy
Portfolio Pulse from Upwallstreet
Ford Motor (NYSE:F) is delaying the production of an all-electric SUV and pickup truck to focus on hybrids, despite a $4.7 billion loss in its EV business in 2023. The delay allows Ford to leverage developing battery technology and continue construction of battery plants. Ford ranked just behind Tesla (NASDAQ:TSLA) and Hyundai (OTC:HYMTF) in EV sales, with a significant YoY increase in EV and hybrid sales. The strategy reflects a cautious approach to EV production amid high costs and market realities.
April 09, 2024 | 2:00 pm
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Ford delays its all-electric SUV and truck production to focus on hybrids, after a significant loss in its EV business. The strategy aims to leverage advancing battery technology and reflects a cautious approach amid high EV production costs.
Ford's decision to delay its EV production and focus on hybrids, despite the losses in its EV business, suggests a strategic pivot rather than a retreat from the EV market. This cautious approach, aimed at leveraging technological advancements, could stabilize its position in the long term but may not have a significant short-term impact on stock prices.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100
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Hyundai outsold Ford in EV sales, with collaborations like the one with Worksport for innovative tonneau covers, indicating Hyundai's proactive approach in the EV market.
Hyundai's collaboration with Worksport for innovative tonneau covers and its ability to outsell Ford in the EV market indicate a proactive and competitive strategy. This may not directly impact Hyundai's short-term stock performance but showcases its active role in expanding its EV offerings.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 70
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Tesla remains the leading EV brand in the U.S., with Ford closely trailing. Ford's strategic adjustments in its EV production plans highlight the competitive dynamics in the EV market.
Tesla's position as the leading EV brand in the U.S. is reinforced by Ford's strategic pivot, which underscores the competitive nature of the EV market. However, Ford's adjustments and focus on leveraging technology for future EVs may not directly impact Tesla's short-term stock performance but highlights the ongoing competition.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 70