Seeking Alpha

CST Brands -4.6% as it warns of weak Q4 motor fuel sales

  • CST Brands (CST -4.6%) is sharply lower after the gas station operator and convenience store retailer said late yesterday that its Q4 motor fuel volume in both the U.S. and Canada is expected to be near the low end of previous guidance.
  • Motor fuel volume is seen at 4,850-4,950 gallons per site per day in the U.S. and 3,300-3,400 gallons per site per day in Canada.
  • CST also expects Q4 North America merchandise sales to come in at the low end of its prior forecast.
Comments (3)
  • Ouch this hurts. This is one spinoff I went long on that didn't pay off...
    24 Jan, 01:30 PM Reply Like
  • Really? Shortly after it started trading about 9 months ago, CST was $28-29. Even with today's drop, (currently -4.5%), they've had a return of about 10.5%. It didn't quite match up with the market's performance last year, but I wouldn't say that it hasn't paid off.

     

    Overall I like CST. The -11% YTD is a big overreaction if you ask me. I've been long CST since the spinoff. Grabbed some shares from my VLO stock then added on to the position shortly after it began trading.
    24 Jan, 02:18 PM Reply Like
  • It barely remained at 28-29, there wasn't really any time to accumulate. It quickly shot up past $30. My average price was like 31.

     

    A return of 10% while the S&P is up over 15%+ in the same time is nothing to be jealous about.
    24 Jan, 04:16 PM Reply Like
DJIA (DIA) S&P 500 (SPY)