Ford shares fall over concern about truck prices

Ford Motor Co, starting to ship its new aluminum-bodied F-150 pickup, fell as much as 4.4% after Deutsche Bank AG downgraded the automaker on concern that the truck won’t command premium prices amid low fuel costs.

Ford, the second largest US automaker, said last week it shipped more than 5,000 2015 F-150 models, with fuel economy improved by as much as 29% due in part to its light-weight aluminum body panels.

With US gasoline prices at a 5-year low, consumers may not be motivated to pay more for the F-150, Rod Lache, an analyst at Deutsche Bank in New York, said yesterday. Lache, who downgraded the shares to hold from buy, also said automakers face “regulatory cost burdens” in part to achieve average fuel economy of 54.5 miles per gallon in the US by 2025, that are “unprecedented.”

“Ford’s new 2015 F-150, which incorporates a number of advanced but costly powertrain, light-weighting and safety technologies, represents one of the most prominent early examples of this forthcoming change,” Lache wrote. “We question whether consumers will pay the price for this content with $2-$3 gas.” Ford sold 763,402 F-Series pickups last year, making it the top-selling vehicle line in the US for a 32nd straight year.