Piper Sandler Reaffirms Ford’s Overweight Rating

Piper Sandler analyst Alexander Potter reiterated on January 26, 2026, an ‘Overweight’ rating and $16 price target on Ford.

“Warranty as a Source of Upside (for a Change)

It’s no secret that Ford has a reputation for poor quality.

In terms of warranty expense, Ford has outspent GM (as a % of vehicle price) in 24 of the past 27 quarters.

But if Ford addresses this problem in 2026, which seems possible, then the company could book up to $2.8B in “free” incremental EBIT, relative to 2025, equating to a y/y EPS tailwind of $0.54.

If it materializes, this earnings boost would complement strong trends in Ford Pro, which is Ford’s highest-margin segment (levered to housing).

EV losses should also improve y/y, due to lower spending on regulatory credits and lower structural cost, due to write-downs.

Overweight-rated F is our favorite idea in 2026.”

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