Ford has one of the highest dividend yields in the S&P 500, but hasn’t increased regular dividends since 2022. Recent history shows dividend suspension in 2020 but restoration in 2021 with a 50% increase. Ford paid a special dividend of $0.15 in 2023 due to its investment in Rivian.

Ford aims to return 40-50% of free cash flows to shareholders, paying special dividends to meet targets. Adjusted cash flows have been consistent in recent years, impacting regular dividends. Trump’s tariffs are expected to hit Ford’s free cash flows by $2 billion in 2025.

To maintain current dividends, Ford would need to exceed payout targets due to upcoming investments. A dividend cut is not expected this year, but a hike seems unlikely. However, ongoing tariff challenges or market conditions could impact future dividend decisions, requiring strategic reconsideration.

Read more at Yahoo Finance: Will Ford Cut, Maintain, or Increase Its Dividend in 2025?