TLDR
- Executive chairman William Clay Ford, Jr. acquired 140,000 shares at $13.82 per share, investing approximately $1.93M and increasing his holdings to 3,912,600 shares.
- Shares surged nearly 4.5%, reaching an intraday peak of $14.33 with trading volume exceeding typical levels.
- Fourth-quarter earnings per share of $0.13 surpassed analyst expectations of $0.06, while revenue of $45.89B exceeded projections of $41.78B.
- The automaker initiated two safety recalls affecting approximately 450,000 vehicles, with 2017–2019 Ford Explorers impacted by defective rear suspension components.
- Shareholders will receive a $0.15 quarterly dividend on March 2, translating to an annualized yield of approximately 4.2%.
Shares of Ford Motor (F) experienced a robust rally on Tuesday, advancing nearly 4.5% to reach an intraday high of $14.33 following a substantial stock purchase by executive chairman William Clay Ford, Jr.
The company insider acquired 140,000 shares at an average price of $13.82 per share on February 19, representing an investment of approximately $1.93 million. Following this transaction, his total ownership now stands at 3,912,600 shares with an estimated value of $54 million.
Such significant insider activity typically captures the market’s attention — and Tuesday proved no exception.
The stock traded approximately 73.5 million shares, representing a 6% increase above Ford’s typical daily volume. Shares had settled at $13.64 in the previous trading session.
This purchase followed Ford’s release of its most recent quarterly financial performance. The automotive giant delivered earnings per share of $0.13, significantly surpassing the consensus estimate of $0.06. Total revenue reached $45.89 billion, exceeding Wall Street’s projection of $41.78 billion.
However, the quarter presented some challenges. Revenue declined 4.8% compared to the prior year period, and Ford reported a negative net margin of 4.37%. During the comparable quarter last year, the company earned $0.39 per share.
Two Recalls, No Panic
Also on Tuesday, the automaker disclosed two new safety recalls encompassing nearly 450,000 vehicles in total.
The more extensive recall involves 412,774 Ford Explorers manufactured between 2017 and 2019. The problem centers on a rear suspension toe link component that may crack and fail under specific circumstances, potentially compromising steering control and elevating collision risk. Authorized dealers will install an upgraded replacement part.
A separate recall affects 40,655 vehicles related to battery malfunctions and brake pedal deficiencies.
Ford has implemented 103 recalls during 2025. Company representatives have noted that elevated recall frequencies may actually demonstrate the effectiveness of their internal quality monitoring systems rather than indicating increased vehicle defects.
Market participants appeared unfazed by the recall announcements. The stock maintained its gains throughout the trading session.
Analyst Ratings and Dividend
Wall Street’s assessment remains cautious. The consensus rating on F currently stands at “Hold,” derived from two Buy recommendations, 12 Hold ratings, and one Sell rating issued over the past three months. The mean price target of $13.88 suggests modest downside from present trading levels.
Recent analyst adjustments include: HSBC increased its price target from $9.80 to $12.80 in January, Morgan Stanley revised upward from $11.00 to $14.00 in December, and Evercore elevated its target to $14.00 during the same timeframe.
The company also announced a quarterly dividend distribution of $0.15 per share, scheduled for payment on March 2 to shareholders registered as of February 13. Annualized, this dividend equals $0.60 per share, producing a yield of approximately 4.2%.
The stock’s 50-day moving average currently registers at $13.68, while the 200-day average sits at $12.80. Ford maintains a debt-to-equity ratio of 2.95 and commands a market capitalization of roughly $56.59 billion.
Wall Street forecasts Ford will generate full-year earnings per share of approximately $1.47 for the current fiscal year.
