Yahoo Finance Ford (F) Agrees to Pay $299.1M to Settle Takata Lawsuit
Ford Motor Company F has agreed to pay $299.1 million for settling the claims of economic loss incurred by the consumers, pertaining to Takata Corp. air-bag recalls. Per Reuters, the settlement covers various damages linked to the inflators. This includes claims that vehicles were falsely presented as safe, buyers were charged higher price for cars with faulty air bags and customers had bear out of pocket expenses to deal with recalls.
The Takata air-bag recalls, the largest in the history, resulted in a number of lawsuits by consumers and accident victims. The air bags can go wrong and send pieces of metal to drivers and passengers. At least 23 deaths have been reported across the globe, pertaining to the rupturing of flawed Takata air bag inflators.
The auto giant, Ford is the latest automaker to settle the claims of economic loss. Previously, many other auto biggies reached similar settlements, valuing more than $1.2 billion. The Ford settlement covers at least 6 million U.S. vehicles, with potentially faulty Takata air bag inflators.
In the past three months, Ford’s stock has declined 4.2% against 1% increase recorded by the industry it belongs to.
Ford currently has a Zacks Rank #4 (Sell).
A few better-ranked stocks in the auto space are American Axle & Manufacturing Holdings, Inc. AXL, Magna International Inc. MGA and Fox Factory Holding Corp. FOXF. While American Axle & Manufacturing sports a Zacks Rank #1 (Strong Buy), both Magna and Fox Factory Holding carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
American Axle & Manufacturing has an expected long-term growth rate of 8.1%. Over the past three months, shares of the company have moved up 3.2%.
Magna has an expected long-term growth rate of 8.5%. Over the past year, shares of the company have gained 25.4%.
Fox Factory has an expected long-term growth rate of 12.5%. Shares of the company have risen 42.1% over the past year.
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Ford Motor Company (F) : Free Stock Analysis Report
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