Ford Motor Co reported a 1.3% decline in overall US auto sales for the first quarter of 2025. Despite this, the company's retail sales grew by 5%, driven by a 19% surge in March sales.
Overall Decline in Ford's Sales
Ford's total US sales for the first quarter were 501,291 units, down by 1.3% from the previous year. This decline is linked to the discontinuation of certain models, including the Ford Edge SUV, which saw a 94% drop in sales as dealers focused on clearing existing stock.
Impact of Tariffs on the Auto Market
The auto industry is currently concerned about the new tariffs announced by President Donald Trump. These include a 25% levy on imported vehicles, set to take effect this week. There is anticipation of further reciprocal tariffs, possibly exacerbating the situation. In light of these developments, J.D. Power forecasted strong March sales as consumers rushed to purchase before anticipated price hikes.
Ford Stock Financial Performance
Ford's stock has shown volatility in response to recent events. As of April 1, 2025, stock opened at $10.10 and was trading at $9.935 by 10:37 EDT. The day's trading saw a low of $9.89 and a high of $10.17. The company's market cap is roughly $39.5 billion, with a dividend yield of 7.48%. Analysts have set a target high price of $17 and a low of $8, with a mean target price of $10.4472. The stock is currently rated as a hold.
Ford remains a significant player in the automotive sector despite current challenges. The company's retail sales growth indicates potential for further expansion in this segment.
