Should You Buy Ford Stock in 2025? Analysis, Risks, and Investor Tips
Remember when people thought the car market peaked decades ago? Well, in 2025, Ford is still roaring down the highway. ETFs, meme stocks, and crypto can grab headlines, but old-school automotive stocks—like Ford—never really lose their shine for long. Ford’s been making cars since 1903. Your grandpa probably got his first truck from them. But now, with the race toward electric vehicles heating up and investors on edge about what’s next, you have to wonder: is it actually smart to buy Ford stock right now?
Ford isn’t just the automaker making F-150s and Mustangs. In 2025, it’s showing up as a player in tech, green energy, and advanced manufacturing. Earlier this year, Ford announced the completion of its BlueOval City mega-campus in Tennessee—the heart of its push into electric and next-gen vehicles. This $5.6 billion facility cranks out the all-electric F-150 Lightning. And it’s not the only site—Ford’s strategy focuses on securing battery supplies and bringing more production in-house.
It’s not just about batteries and catchy commercials. Last quarter, Ford’s global EV sales grew over 20%, according to their Q2 earnings from July 2025. They’ve got reservations for nearly 200,000 new electric pickups and SUVs, with waitlists stretching into 2026. But it’s not all smooth sailing. Traditional models, like the regular F-150 and Escape, are still massive sellers, and Ford’s hybrid line keeps growing. While Tesla sits at the top in EV volume, Ford is #2 in the US for all-electric vehicle sales—which matters if you think the EV revolution is more a marathon than a sprint.
Of course, every automaker is obsessed with cost-cutting, but Ford’s CEO Jim Farley has been on a warpath since 2023, slicing $3 billion out of annual costs. They’re pushing big into direct-to-consumer sales, which could help their car prices hold up longer as buyers get fussier. In 2024, Ford even ended certain low-margin models in Europe and refocused on high-profit pickups and SUVs. Sometimes the best way to win is to quit the race you’re not winning anyway.
Alas, the car biz isn’t just about innovation. Ford is also facing the same headaches as everyone else: supply chains still have kinks (who would’ve guessed a global chip shortage would last this long?), and raw materials—especially for batteries—stay costly. UAW strikes last autumn cost Ford nearly $1.3 billion and shaved production volume too. Yet, their ability to hammer out a labor deal and keep plants running gives them a vote of confidence. Ford’s leadership looks a lot more stable than a couple years ago.
More people are asking if Ford is going to be the next “old dog, new tricks” story like Apple was in the late 2000s. Time will tell, but what’s clear is the Ford of 2025 looks way different than just five years ago. If you want a snapshot of what matters, check out this table for Ford’s latest quarterly figures from Q2 2025:
| Metric | Q2 2024 | Q2 2025 |
|---|---|---|
| Revenue (Billion $) | 44.9 | 46.2 |
| Net Income (Billion $) | 1.9 | 2.3 |
| Total Vehicles Sold (Millions) | 1.1 | 1.14 |
| EV Sales Growth (%) | 15 | 21 |
| Dividend Yield (%) | 4.3 | 4.9 |
Ford pulled in more money, sold more cars, had bigger profits, juiced up its EV game, and even bumped up its dividend. But does that mean it’s a stock worth parking in your portfolio?
Bargain hunters love Ford because it often trades at a price-to-earnings ratio that’s way lower than Tesla or Rivian. Back in June 2025, Ford’s P/E was around 8.5, while Tesla sat near 40. For some, these numbers scream “undervalued.” You get a major player with 120 years on the road, a global footprint, and a growing EV business—for the same price as some niche tech stocks. Plus, Ford’s dividend stands tall: at nearly 5%, it beats a lot of banks or bonds these days. If you like being paid while you wait for a stock to grow, Ford checks that box.
But growth? That’s the stickiest subject. Ford’s revenue keeps climbing, but not as fast as upstart competitors. Car margins are thin—even thinner as EV price wars rage. Ford slashed the Lightning’s price last year to keep up with Tesla and Chinese automakers. Competition in the electric world won’t let up. Even legacy rivals like GM, Toyota, and Hyundai are all-in on electrification. And let’s not forget China’s BYD, who’s gunning for global EV dominance. Ford moving fast, but so is everyone else.
Don’t ignore Ford’s debt load, either. Ford’s carrying over $120 billion in total debt, a mountain compared to its market cap. To be fair, a lot of this is Ford Credit, their massive auto-lending arm. But investors can get skittish if the market wobbles or interest rates climb. Last year, Ford managed to pay down nearly $8 billion, but borrowing costs aren’t getting cheaper in this rate environment. If you’re allergic to big debt, Ford might not be your dream date.
Then there’s the risk of economic slowdowns. When recessions hit, people don’t rush out and buy new trucks. Ford’s biggest swings come when consumer confidence turns. You saw this during the COVID lockdowns and again during the mini-slowdown of 2023. Auto stocks are cyclical—ride the highs, but watch out for potholes. On the plus side, Ford weathered those storms and kept the dividend alive, unlike some rivals who had to pause payments.
Maybe the most interesting tip? If you’re patient, buying Ford on big drops—usually after a disappointing earnings call or macro news—has worked for value investors. In 2024, after UAW strike headlines, Ford briefly dipped below $10 before rebounding nearly 40% by early 2025. You don’t need to be Warren Buffett to spot a stock that bounces back from bad news. But you do need guts to ride out those scary moments.
Bottom line, you have to decide if you want steady (but maybe slow) growth with a juicy dividend and a shot at an EV comeback story, or if you’re chasing the next rocketship. Ford isn’t going to double overnight, but it’s probably not going away either. The brand’s resilience is a big selling point, especially when you’re tempted by all the hot new trends but want something tried-and-true in your portfolio.
Alright, maybe you’re ready to pull the trigger—or maybe still on the fence. Investing is part poker, part homework. Here’s what you should know before buying (or passing on) Ford shares right now.
Kids like my son Dante still recognize a Ford badge and think it’s cool (he’s obsessed with Lightning pickups), so the brand’s not dead. But the decision to buy Ford stock really boils down to this: Are you in for solid dividends, a chance at an EV “glow-up,” and no intention of flipping trades every week? Or do you want high-octane, headline-driven moves, where Tesla and new tech names grab all the glory? Ford’s story in 2025 feels like a classic: new tricks, old dog, and plenty of gritty endurance. The best investors know there’s room for both approaches—just stay buckled up for every bump in the road.
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