Ford Motor Co. (F - Analyst Report) has developed a right-hand drive version of the iconic Mustang. While the car is currently a prototype that is undergoing various development tests, its final version will be a valuable addition to Ford’s global product portfolio as it will open doors to many right-hand drive markets.
While the Mustang is highly popular, with over 100 fan clubs globally, its sale outside North America was limited due to the elimination of right-hand drive markets. While Ford sold over 9.2 million Mustangs in the U.S. since 1964, only 0.16 million cars were sold outside North America in the same period. Thus, the right-hand drive Mustang, which will be exported to over 25 markets including the United Kingdom, Australia and South Africa, should significantly increase the car’s sales outside North America.
Ford Mustang is one of the very few cars to stay in production for 50 years. This alone exhibits the immense popularity of the car.
Ford unveiled the sixth generation of the Mustang in Dec 2013 and started taking orders for the eagerly awaited car in May 2014. Deliveries of the car will start later this year and it will be available at Ford dealerships in the U.S. from fall. Thereafter, Ford has plans to sell the car in over 110 countries globally.
The importance of right-hand drive markets cannot be ignored in the highly competitive automotive market. Electric carmaker Tesla Motors, Inc. (TSLA - Analyst Report) also launched the right hand version of Model S in the U.K. and Hong Kong recently.
Ford currently carries a Zacks Rank #3 (Hold). Better-ranked automobile stocks that are worth considering include Tesla, Fox Factory Holding Corp (FOXF - Snapshot Report) and Gentherm Incorporated (THRM - Snapshot Report). While Tesla sports a Zacks Rank #1 (Strong Buy), Fox Factory and Gentherm carry a Zacks Rank #2 (Buy).