Automakers walk tightrope with inventory levels

|By:, SA News Editor

Automakers are walking a tightrope between accounting for strong demand in the U.S. and keeping inventory at levels where they don't have to use painful incentives to clear dealer lots.

The industry entered November with inventory of 3.4M cars which at 76 days' supply reps the highest level for the month since 2005.

What to watch: Analysts like the approach of Ford which has scheduled periods of downtime at select plants to keep inventory at optimal levels.

November U.S. Auto Sales preview

Related stocks: F, GM, TM, VLKAY, NSANY, HMC, FIATY, HYMLF, DDAIF, BAMXY, TSLA.