Legacy automakers had to deal with a raft of issues in 2023. In addition to the colossal task of figuring out how to build literal "data centers on wheels," electric vehicle (EV) pioneer Tesla (NASDAQ: TSLA) hastened on a price war. Faced with mounting losses on EV production, rising wages for auto union workers, and higher interest rates pressuring consumers' appetite for new vehicle purchases, automakers tapped the brakes on rolling out new electrified models.

Ford (NYSE: F) weathered the storm, though, and actually managed to crank out a total return (which includes reinvested dividends) of nearly 16% in 2023. Shares still appear cheap at just under 8 times trailing 12-month earnings per share.

But a repeat of that performance in the new year is another question entirely. For investors looking for long-term dividend stocks, Ford may appear tempting at the start of 2024. Before piling in, there's another investment worth serious consideration first.

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Source Fool.com