Ford stock turns downward due to lack of sales! Reasons not to pay ADM!

[RogueCheddar]

Probably because the Maverick/Ranger/Bronco are the most in demand Ford vehicles and there aren't enough of them.

A lot of people buying more capable trucks for real towing are going with Dodge as they have a better value.

Nobody wants the EV Mustang, nobody wants the new Escape, the EcoSport is a joke of a vehicle, only police need the Explorers, and small little Transit/Contractor vans are sold out or have a huge markup.

*nobody......

https://insideevs.com/news/558927/u..., Ford sold 27,140,SUV behind Tesla's Model Y.

Sponsored

 

[Sykotyk]

Your opinion. Auto taxes in the three states I have lived in are based on what you aid for the car and then depreciated each year to address depreciation. Having worked closely with DMV throughout my career I do know "a little". Shame on you for making this PERSONAL. Let's keep this site civil where everyone's opinion is respected.

It baffles me that some states make you pay, essentially, property tax on vehicles each year.

In Ohio, you pay sales tax that's included at time sale and lumped into your loan if you get one.

After that, a $300,000 car pays the same for plates that a $500 beater would pay. And there's no inspections in Ohio.

 

[WVX76]

Supply chains are a mess. I don’t think anyone would argue with that. If Ford wanted to get ahead of this, they need to be as transparent as possible at every point possible.

To start communicate exactly what is the current status of manufacturing and provide estimated timelines even for unscheduled orders.

Huge issue for me is the dealer network that looks for every opportunity to screw customers with markups, including on orders. I get supply and demand, but Ford needs to step in and be transparent about pricing. If dealers want huge mark ups they can sell used vehicles for whatever price they want, but marking up customer orders on top of the uncertainty regarding delivery diminishes the brand’s value. It’s predatory.

 

[DesertMaverick]

It baffles me that some states make you pay, essentially, property tax on vehicles each year.

In Ohio, you pay sales tax that's included at time sale and lumped into your loan if you get one.

After that, a $300,000 car pays the same for plates that a $500 beater would pay. And there's no inspections in Ohio.

Wow! That's great. In CA we pay sales tax at time of purchase and then a yearly tax based on current value each year which decreases as the vehicle ages. We also pay a license fee each year in addition to the value tax. Car license plates remain with the car when you sell or trade it. Very confusing, and definitely created to ensure the state always gets more money each year. When I moved to CA it was a surprise to me how they tax you all the time. Thanks for your comment and understanding of my viewpoint.

 

[DesertMaverick]

Supply chains are a mess. I don’t think anyone would argue with that. If Ford wanted to get ahead of this, they need to be as transparent as possible at every point possible.

To start communicate exactly what is the current status of manufacturing and provide estimated timelines even for unscheduled orders.

Huge issue for me is the dealer network that looks for every opportunity to screw customers with markups, including on orders. I get supply and demand, but Ford needs to step in and be transparent about pricing. If dealers want huge mark ups they can sell used vehicles for whatever price they want, but marking up customer orders on top of the uncertainty regarding delivery diminishes the brand’s value. It’s predatory.

Thanks! That was the entire point of this thread. Should have known you were a fellow Utahn. I'm now in CA, but recognize integrity when I read it. Have a great day and good luck with your Maverick purchase.

 

[Flomounier1]

*nobody......

https://insideevs.com/news/558927/us-ford-mache-sales-2021/#:~:text=In 2021, Ford sold 27,140,SUV behind Tesla's Model Y.

Nothing compared to the 936k Model 3s sold in 2021. I’ve only seen 1 EV Mustang on the road in LA since they came out.

 

[RogueCheddar]

Nothing compared to the 936k Model 3s sold in 2021. I’ve only seen 1 EV Mustang on the road in LA since they came out.

you suggested "nobody" wants the Mustang EV, that is clearly incorrect. Just because you have only seen 1 does not mean they don't exist...

 

[K8o8]

I’m unsure where you live but I’m quite certain you pay sales tax once at point of sale and that’s it. The tax you pay annually if is assessed differently depending where you live. Here in Hawaii it’s based on gross vehicle weight. Also I find it hard to believe that your insurance is based on kbb or the price you pay at the dealer. I have 7 policies my 2007 expedition is within $10 a month of my 2022 f350 lariat tremor. And the 25% depreciation doesn’t currently exist try and look at kbb and see what a 2021 bronco sport with 15k miles trade in is. It’s more that msrp + tax on a brand new one. Many people in this club have already gotten car max offers on their mavericks all higher than msrp. The reason why Tacoma’s and wranglers done depreciate the way a Chevy Silverado does is because you will never see 5-10k rebates on them their value stays high even precovid because the cost to buy a brand new one doesn’t severely dip at the end of every year devaluing the ones already on the road even further. If manufacturers end the crazy rebates everyone used vehicles will hold value much better. Everyday we all go into stores and pay more than what we did 2 years ago for everyday things and we continue to do so because we either want or need what we buy. If you truly want a maverick then buy one and reap the benefits of the 0,.9,1.9% financing and try your best to not pay a crazy ADM I’d say anything under 3k is reasonable if you are able to get the special financing. I’d much rather enjoy life and my vehicle then sit around and complain to on a forum about greedy salesman and not have what I want.

and just so you know invoice-msrp on most mavericks have a difference between 240-400 your sales person gets paid a 20-25% commission on the profit invoice-msrp and most times there is a non commissionable profit sometime referred to as pact that the salesman doesn’t get paid on sometimes that’s a set amount sometimes it’s a percentage of the overall sale price. A 3% pact on a new car will most times mean there is 0 commissionable profit andyour salesman will get paid a flat usually less than $200 at that rate how many $200 flats will it take to earn a living? So if you buy a $25k car with a 2% profit margin because most sub $30k vehicles have less than 3% profit built in and they mark that up to 27000that Leave maybe 2500 profit - 810 pact = 1690 commissionable 20% $338 25% $422. So your greedy salesperson would have to sell 15 mavericks every month To gross 5-6k. That means speaking to maverick customers and answering their questions on a daily basis the same questions over and over to dozens of people who are all waiting for the same car and that all before the sale. Before all the finance hurdles that about 50% of the reservation holders have that they didn’t disclose at time of placing their free reservation. Which is also why many will become available. So at msrp how many mavericks will a greedy salesman have to sell to pay his mortgage and fees his family?

Today, Ford announced lower than expected stock returns with an almost 8% drop compared to their expected 11.2% gain. Ford's financial expert says this is due to a chip shortage, but it really comes down to the fact Ford cannot move the product to dealers, and customers are not able to purchase their vehicle.

Ford recently stopped taking orders for Mavericks for the remainder of 2022, with orders resuming in late summer for 2023 models. Many of us who placed orders in June - August still await any sign of a build date from Ford or communication from our dealer. The semiconductor shortage was already a high priority for auto manufacturers before the June roll-out of the Maverick. Ford should have seen the limited ability to build another product in the Mexico plant that was already struggling to build Bronco Sport. Ford made no issue in controlling the on going demand of placing reservations to create a "Beannie Baby" or "Cabbage Patch Doll buying frenzy for a truck touted to be UNDER $20,000. It seems Ford allowed the orders to keep piling up knowing there would be long term delays. It is very sad that a new product as the Hybrid was rolled out in such unfortunate times; but it is very unresponsible for Ford to allow the orders to keep coming in, allowing more and more consumers to become angry and distrustful of the brand and their dealers. No wonder their stock is down.

Now, many order bearers are faced with a choice of waiting for an unknown timeframe in getting their Maverick, buying something else (Which ends in Ford not making a sale at all), or paying whatever a dealer asks. Enter unscrupulous, greedy, used car salesman!

For those who feel the need to purchase a Maverick from a greedy dealer who is marking the vehicle up $3000-7500, which I see in many local dealers, remember your decision will haunt you for a long time.

First, like any new car, your Maverick will depreciate 25% the minute you drive it off the lot. This depreciated amount is related to the MSRP, not your sales price. So, if you paid more than the MSRP, you really got screwed, because you now lost more than the expected depreciation. And if you took a loan out to buy the Maverick you will pay months longer for a car not worth what you owe. Also, any profit you may have made in your trade-in car was just dropped out the window forever due to you paying more than MSRP for your Maverick.

Second, your taxes on the car will always be based, year after year, on your purchase price, so each year you will be punished for paying more than you should have for a vehicle that is nowhere worth what you paid for it.

And third, your insurance will be based on what your car is worth (Kelly Blue Book) as identified from your VIN number. If you paid more than the MSRP, you better have GAP coverage as most insurance will not cover more than what the vehicle is worth.

All around, it is better to wait and pay the agreed upon price than to be bullish and foolish by paying more than retail just to be "the first Maverick on the block." Just my thoughts. Some may offer different opinions, but financially you are not doing yourself any favors by paying for Ford's mistake in tking orders for something they knew they could not produce.

 

[T McG]

Ford gave me 1.9% for 60 months.
How much do you think they made off that?

$1,226 for the life of the loan. If financing $25,000.

 

[Nathan]

$1,226 for the life of the loan. If financing $25,000.

... which is less than inflation and doesn't consider their operational costs. It's a loss for them, just like my 0% loan.. and both are considered incentives.

 

[Dun4791]

... which is less than inflation and doesn't consider their operational costs. It's a loss for them, just like my 0% loan.. and both are considered incentives.

It’s not a loss. It’s 1,226 for nothing. Ford is a better bank than automotive manufacturer.

 

[MLowe05]

You shouldn't pay over MSRP because it's a dumb thing to do. There really is no other explanation needed. The manufacturer who built the vehicle "suggests" this is what it is worth, which is always on the high side, as you'd expect when someone suggests what their own product is worth.

You also shouldn't pay it because no one needs a Maverick. Buy something else you can get at MSRP or cheaper. Deals are out there. Picking up a 2022 Civic Touring today at MSRP for my mom. We had to put down a $500 deposit for the allocation (Honda does not do orders) and it took 6 weeks to arrive. It's a much, much nicer vehicle overall than a Maverick and the MSRP was $30,360. Some people are paying that for Maverick XLs and $10k more than that for Lariats and.. no.. just no.

 

[Old Ranchero]

You shouldn't pay over MSRP because it's a dumb thing to do. There really is no other explanation needed. The manufacturer who built the vehicle "suggests" this is what it is worth, which is always on the high side, as you'd expect when someone suggests what their own product is worth.

You also shouldn't pay it because no one needs a Maverick. Buy something else you can get at MSRP or cheaper. Deals are out there. Picking up a 2022 Civic Touring today at MSRP for my mom. We had to put down a $500 deposit for the allocation (Honda does not do orders) and it took 6 weeks to arrive. It's a much, much nicer vehicle overall than a Maverick and the MSRP was $30,360. Some people are paying that for Maverick XLs and $10k more than that for Lariats and.. no.. just no.

How many bags of mulch can you put in the "bed" of that Civic? How many motorcycles can it carry- or tow for that matter? Apples vs Oranges argument.

 

[Dun4791]

How many bags of mulch can you put in the "bed" of that Civic? How many motorcycles can it carry- or tow for that matter? Apples vs Oranges argument.

He’s just saying there are other options than paying over sticker. The entire idea of the maverick is an inexpensive small truck, but at 10k over now you are into ranger or Colorado territory, both of which are better trucks. The only drawback is the mpg.

 

[MLowe05]

How many bags of mulch can you put in the "bed" of that Civic? How many motorcycles can it carry- or tow for that matter? Apples vs Oranges argument.

How many $19.95 daily F150 rentals from Home Depot can I do for that $5,000 markup?

The Civic isn't worth over MSRP, either, for the record. I was just using it as an example that you can find a vehicle out there for MSRP or less - and the smart thing to do is buy it and not a budget vehicle for a premium price.

Sponsored