A Fresh Look at Ford Motor Company (F)’s 2014 F-150 Tremor

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Investing takeaway
Keeping the price low will be key for the Tremor’s success, but it will probably cannibalize sales of Ford’s Raptor. Ultimately the Tremor and Raptor are niche vehicles that represent a very small amount of F-150 sales. Any incremental sales gained by the Tremor won’t be enough to move the needle and create profits that the truck segment typically brings Ford — but perhaps that isn’t the goal.

Perhaps the goal is to simply attract as much attention from General Motors Company (NYSE:GM)‘ release of its 2014 Silverado and Sierra before Ford Motor Company (NYSE:F) can release its next-generation 2015 F-150. A flashy looking ride, with high performance and fuel economy at a price under $30,000, could indeed be successful at stealing some thunder from General Motors Company (NYSE:GM)’s new models when the Tremor hits stores this fall.

The Tremor might be a success for consumers looking for this type of ride, and it will probably deliver performance-satisfying results. For investors, though, this is nothing to get excited about. It won’t boost market share, profits, or sales numbers. But that’s OK, because the F-Series already delivers a ton of profits to Ford’s bottom line and has been America’s favorite truck for 36 years. This can only steal excitement from General Motors Company (NYSE:GM)’s launch, which is fine by Ford investors.

The article A Fresh Look at Ford’s 2014 F-150 Tremor originally appeared on Fool.com and is written by Daniel Miller.

Follow Daniel Miller on Twitter for automotive coverage. Fool contributor Daniel Miller owns shares of Ford and General Motors. The Motley Fool recommends Ford and General Motors and owns shares of Ford.

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