Ford (F) says it will offer employee pricing to U.S. buyers on most of its vehicles through June 2. 

The strategic initiative dubbed “From America, For America” aims at clearing out excess inventory to improve sales amidst tariff-related uncertainty.  

Offering employee pricing could help Ford attract customers who might have otherwise shelved plans of buying a new car after President Donald Trump slapped a 25% duty on all imported cars and automotive parts. 

Still, there’s a multitude of headwinds that make Ford stock unattractive at current levels.

Trump Tariffs to Weigh on Ford’s Profitability

Ford chief executive Jim Farley has openly acknowledged that Trump tariffs could materially hurt the company’s profitability moving forward. 

In fact, excessive duties could even eliminate “all” profits for Ford, according to UBS analysts. 

Investors should also note that Ford saw a 1.3% year-over-year decline in its U.S. vehicle sales in Q1, when the higher tariffs were not even in place yet.

Plus, Ford shares are currently going for a forward price-earnings multiple of about 7.4x even after a more than 30% decline over the past 12 months. That’s expensive compared to rivals, including General Motors (GM), at 4.1x only.  

Ford’s Dividend Is at Risk

A big reason for investors to stick with Ford stock in recent years has been its dividend story. The automaker yields a rather lucrative 6.25% at the time of writing. 

However, higher tariffs on imported cars and auto parts could make “F” trim its dividend as well in 2025, according to Tim Seymour, the founder of Seymour Asset Management. 

In a recent CNBC interview, Seymour picked GM stock over Ford, adding “Ford deserves to trade at a discount to General Motors” as it’s not as profitable as its bigger rival. 

Is It Worth Buying Ford Stock at Current Levels?

The aforementioned headwinds are keeping analysts on the sidelines as well. 

Wall Street currently has a consensus “Hold” rating on Ford stock. Analysts have a mean target of $9.78 that’s roughly in line with the price at which F shares are currently trading.