Bernstein soured on Ford stock, citing concerns tied to President Donald Trump’s tariff policy. Analyst Daniel Roeska downgraded shares of the legacy automaker to underperform from market perform. Roeska slashed his price target by $2.40 to $7, which suggests 19.4% downside from where the stock ended Tuesday’s session. “It is time to confront some hard truths, once more: vehicle tariffs have commenced, and parts tariffs are likely to follow within a month. We … find significant downside not priced by the market yet,” Roeska wrote to clients in a note. “As tariff pressures intensify and consumer sentiment weakens, we expect Ford’s shares to remain under pressure.” Roeska is referring to levies announced by Trump that are widely expected to drive up costs for carmakers like Ford. Notably, the analyst pointed out that automakers can deduct the value of U.S.-made content in their vehicles from their tariffs. If U.S. content is interpreted by the government with tighter standards, Roeska said Ford could see its hit from tariffs more than double. Roeska said tariffs create a double-whammy for Ford, which is also contending with sliding consumer confidence. When considering consumer sentiment worsening, in addition to tariffs, potential price hikes and market share changes, he said to expect billions of dollars less in auto free cash flow from 2025 to 2027. Additionally, Roseka slashed earnings per share expectations by around 41% for 2025 and 36% in 2026. To be sure, Roeska’s downgrade is unusual on Wall Street. Most analysts polled by LSEG have hold ratings on the Detroit-based company. Shares slipped 2% before the bell on Wednesday following the call. The stock has retreated more than 12% in 2025. F YTD mountain Ford in 2025 Get Your Ticket to Pro LIVE Join us at the New York Stock Exchange! Uncertain markets? Gain an edge with CNBC Pro LIVE , an exclusive, inaugural event at the historic New York Stock Exchange. In today’s dynamic financial landscape, access to expert insights is paramount. As a CNBC Pro subscriber, we invite you to join us for our first exclusive, in-person CNBC Pro LIVE event at the iconic NYSE on Thursday, June 12. Join interactive Pro clinics led by our Pros Carter Worth, Dan Niles, and Dan Ives, with a special edition of Pro Talks with Tom Lee. You’ll also get the opportunity to network with CNBC experts, talent and other Pro subscribers during an exciting cocktail hour on the legendary trading floor. Tickets are limited!
