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Well with my limited knowledge I can tell you a few things.
Mustangs aren't muscle cars, they are considered pony cars. But that's just being nitpicky.
Cobra engine is superior due to having a forged crank, rods, ect. Basically it can hold a lot more power stock (600 hp?) and comes with about 100 more hp out of the box. (330ish as opposed to 430+ish) Since you are going to put a decent amount of money into either, this really shouldn't matter. I would assume you are going to rebuild the Mach 1 engine.
With that being said, the Cobra weighs a bit more and has an independent rear axle so it is not as good straight line, but has better handling.
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