A Little Bad News for Ford Investors

Nobody wants to hear the word "recall." Most will immediately imagine some of the worst recall debacles in automotive history, but the truth is there are many, many recalls throughout the industry constantly. Unfortunately, it's a part of the automotive industry, a big part even. Let's take a look at Ford Motor Company's (NYSE: F) recent recall and what it means for investors.

When it comes to profitable products, Ford's F-150 full-size truck is easily the company's bread and butter and generates enormous profits for the folks at the Blue Oval. So it's especially disappointing and concerning to hear the company is recalling 552,188 F-150s in the U.S. because of an issue with the powertrain control module.

Ford said it is aware of 300 warranty reports, 96 field reports and 124 complaints due to the issue that could cause an abrupt downshift into first gear, increasing the risk of a crash or losing control of the vehicle.

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Source Fool.com