Ford's Gamble: Betting on 2026 After a Quarter of Disappointments

• Ford's Q4 earnings fell short of expectations due to unexpected tariff costs and supplier issues.
• Despite the recent challenges, Ford's 2025 revenue reached a record $187.3 billion, showcasing underlying business strength.
• The company anticipates significant losses in its EV unit but expects strong performance from its traditional and fleet operations.
• Ford is strategically focusing on a substantial rebound in 2026 with increased EBIT and free cash flow.

A Blinder in the Balance Sheet

Right, listen up. Ford's had a rough quarter, worse than a Shelby Company gamble gone south. Thirteen cents per share when the suits were expecting nineteen. That's a proper kick in the teeth. They're blaming tariffs and a fire. Fires, eh? I know a thing or two about those. Seems like everyone's got their reasons, but the numbers don't lie. We Shelbys, we adapt, we overcome. Ford needs to do the same, and bloody quick. "Everyone's a whore, Grace. We just sell different parts of ourselves.", said once. Ford might need to sell something else now.

Tariffs and Tribulations

Nine hundred million in unexpected tariffs. That's enough to make a man spit nails. Ford's CFO, Sherry House, is talking about aluminum plants and supply chains. Sounds like a right mess. "Whiskey's good proofing water. Tells you who's real and who isn't.", and this Novelis fire is proofing Ford. They're banking on 2026 to sort it all out, but that's a long time in this game. A lot can change. They need to steady the ship, and that means cutting the right deals and knowing who to trust. Like I always say, "You listen to me very carefully". Now take a look at Fulton County Election Raid The Plot Thickens to see real drama and political fire. Ford is in the political and economical fire as well.

EV Dreams and Harsh Realities

The 'Model e,' their electric vehicle venture, is bleeding cash. Four to four-and-a-half billion in losses this year. Ouch. "Intelligence is a very valuable thing, innit, my friend? And usually it comes far too f***ing late". EVs are the future, they say, but the present is a different story. Ford's traditional business and fleet operations need to pick up the slack. It's a high-stakes gamble. They're betting big on 'Ford Pro' to keep the lights on. Smart move, if they can pull it off. It reminds me of a horse race, you always need to have a backup plan, and Ford should have one as well, perhaps more than one.

The Great Recession Echoes

An $8.2 billion net loss. The worst since 2008. Those are the kind of numbers that keep a man up at night. They're blaming 'special charges' and pulling back on EV plans. Sounds like damage control. But as they said, "we get to decide what reality is". Ford needs to show they're not just throwing good money after bad. Investors are watching. The world is watching. They need a plan, and they need it now.

Betting on a Brighter Tomorrow

2026 is the magic year. Eight to ten billion in adjusted EBIT. Five to six billion in free cash flow. That's the promise. But promises are like Peaky Blinders – they can cut you when you least expect it. Ford needs to deliver. "If you cross us, you'll all be f***ing dead". That's the kind of commitment they need to show the market. Confidence is key. Conviction is power.

Lessons from the Factory Floor

Ford's story is a reminder that even the biggest players can stumble. Tariffs, supplier issues, shifting markets – it's a tough world out there. But like the Shelbys, Ford has to keep moving forward. Adapt or die. "Lies travel faster than the truth". Make sure the story they're telling is one the world wants to believe. Because in the end, reputation is everything. Without it, you are worth nothing.