Ford Quality Issues & Warranty Costs

[Lytning]

This is why our vehicles sit at the dealerships for weeks or months waiting for Technicians and parts. I have much sympathy for the Service Advisors and Service Managers at the dealerships.

@Ford Motor Company, thanks for covering the warranties, but you have to build them better than this to keep customers and stay in business.

"Warranty costs have vexed the nation’s second-largest automaker for several years and lopped billions off of its profits. In the second quarter, warranty and recall costs totaled $2.3 billion, $800 million more than the first quarter and $700 million more than a year ago."

https://apnews.com/article/ford-warranty-general-motors-tesla-df16ecc3147d656ec8ef67d4f0b1e92e

Sponsored

 

[mrau]

Seems it is the 2021 and older models that are causing the increased cost for Ford.


From AP news article:

Chief Financial Officer John Lawler told reporters Wednesday that Ford is making progress on quality. The second-quarter costs were attributed to older vehicles from the 2021 model year and earlier.

 

[Texas Dan]

Ford stock price down over 17% in just one day! I bought more Ford shares.

 

[Whammy Bar]

Quality is job nONE!

 

[Maxx]

Ford stock price down over 17% in just one day! I bought more Ford shares.

I am sure you will make some money on that due to fluctuations but car business is tough.
One way to get the stock price back up is to charge us more for parts, services, sell our data and deny more warranty claims. There is always a choice between being a good company for the owners and employees and being a good one for shareholders. I would be conflicted being an owner and a shareholder. But if it goes lower, I may buy some too.

Long term war business has been hotter than car business. Not much competition from Koreans and Japanese and we don't seem to ever run out of demand.

Ford:

LMT

GD

NOC

 

[Texas Dan]

I am sure you will make some money on that due to fluctuations but car business is tough.

I have to say that I bought Ford shares more out of loyalty than speculation and to be able to say I own part of the company I bought my truck from. I don’t have much invested and I don’t expect to make any real money off of my Ford stock although the yield has always been pretty good. When I first started buying Ford stock I thought there was a chance that the EV line would really take off but that possibility is looking more and more remote.

 

[Scorpio3d]

I have to say that I bought Ford shares more out of loyalty than speculation and to be able to say I own part of the company I bought my truck from. I don’t have much invested and I don’t expect to make any real money off of my Ford stock although the yield has always been pretty good. When I first started buying Ford stock I thought there was a chance that the EV line would really take off but that possibility is looking more and more remote.

What he said!

Sponsored