Ford engine (F) slashed prices for its F-150 Lightning EV truck on Monday after You’re here (TSLA) produced its first Cybertruck and hinted at competitive pricing for its electric pickup. Ford stock slid along with several other U.S. electric vehicle stocks, while Tesla stock rose.
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Meanwhile, a relatively unknown used car dealership American Car-Mart (CRMT) jumped on an analyst upgrade.
Ford cuts prices for Lightning electric vehicles
On Monday, Ford slashed the price of its all-electric F-150 Lightning pickup from $6,000 to $10,000, citing improved capacity and lower battery costs.
After the discounts, the Lightning price will start at $50,000 plus destination charges. The company had raised Lightning EV prices several times after its 2021 debut, due to supply issues and higher battery costs.
The Lightning price drop comes just two days after Tesla said it produced the first Cybertruck in Austin, Texas.
Tesla did not reveal Cybertruck pricing. But a tweet on Monday from Tesla CEO Elon Musk said: “The Ford Lightning is a good vehicle, just a little pricey, especially considering the high interest rates these days for any type of loan.” Some people thought this meant the Cybertruck would be cheaper than its Lightning rival, though that’s unclear.
Investors also want to know when Tesla will start mass producing and delivering the long-delayed Cybertruck. Meanwhile, some analysts are worried about Tesla’s overcapacity issues in the coming months.
New and used car prices are under pressure in 2023 due to rising inventory and more expensive auto loans. Inventories of electric vehicles in particular swelled, despite falling prices, according to industry data.
A ‘winner’ amid auto industry turmoil
Separately on Monday, Stephens analyst Vincent Caintic upgraded overweight American Car-Mart from equal weight, saying it is “a winner whether the industry turmoil continues or begins.” to recover”.
The Stephens analyst also raised his price target on CRMT stock to $135. That’s nearly double its previous target of $70, and 15% above where the shares traded on Monday.
America’s Car-Mart says it helps struggling customers access affordable, quality used vehicles. Its stock is included in the Russell 2000 Small Cap Index.
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Stock Ford, Stock CRMT
In trading on Monday, Ford shares fell 5.9% to 14.09, extending a three-day decline. Tesla stock jumped 3.2% to 290.38.
Car-Mart shares jumped 15.3% to 119.52. CRMT stock is up more than 60% from March lows.
Several U.S. electric vehicle stocks, both auto giants inherited from the shift to electric vehicles and startups, fell on Monday.
General Motors (GM) lost more than 3%. Among EV startups, Rivian (RIVN) and Canou (GOEV) was trading lower.
But Lucid (LCID) and Fisker (FSR) recorded big gains. Nicholas (NKLA) reversed the 3.6% rise.
Over the past few months, Ford and GM have announced that their EV customers will soon be able to charge their EVs at many Tesla Superchargers in North America.
Tesla shares had surged on the news.
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