car guy

4 Comments

    • SPDR S&P Homebuilders ETF: Not a Real Estate Play [view article]
      or you could buy the iShares homebuilder ETF: "ITB" Jun 20 09:14 AM
    • CarMax: Running On Fumes [view article]
      I am not necessarily bullish on CarMax, but there are plenty of holes in this argument.

      First, there is still plenty of reason to buy used vehicles. For example, new civics are such hot sellers that dealers are now charging $1000 over sticker - plenty of reason to go for a used civic.

      Second, the author seems to be talking out of both sides of his mouth here. He initially points to "rapid price declines of over 15% year to year in widely owned gas guzzlers"

      Next, he points out that "new car dealers are offering almost giveaway incentives which slows traffic at the CarMax lots. Why buy old when you can buy new, if a gas guzzler is what you want?" Didn't you just say that prices of used gas guzzlers are down 15%?????

      Lastly, he provides no justification at all for his $12 price target.

      Please don't post any articles unless you have something meaningful to say.       Jun 17 10:46 AM
    • Why Auto Stocks Are an Easy Short [view article]
      mr cole, its obvious you are a novice investor and follower of the auto industry.

      of course, its easy to paint the industry with one broad, negative stroke given all its problems. however, valuations and expectations are quite low as most of the bad news has been priced in. and while we likely haven't yet hit bottom, historically, these stocks trough with the SAAR which we are likely to see in the next 6 months. the stocks then typically outperform as investors anticipate a recovery.

      with respect to your comments on mgt, mr mullaly certainly has a lot of work ahead of him, but you can't ignore the fact that he trimmed Ford's losses by $10bn ($12bn in 2006, $2bn in 2007) since he's joined. and you are incorrect in stating that "his first major move at CEO was to get rid of the ageing Taurus brand". Dropping the Taurus was in the corp pipeline before he got there - he had nothing to do with it.

      i could go on and on...your bio states that "At only nineteen years of age, Andy has much on the road ahead of him. Currently, in college, he is in pursuit of his stockbroker’s license with a goal of a full time career in the securities industry." As someone who works full time in the securities industry, I can tell you that you do indeed have a very long road ahead of you -- hopefully it includes some education and fact checking. I wish you luck in shorting the sector, but think you may be out of your league.       Apr 09 10:01 AM
    • Can't Short XHB? Create Your Own Homebuilders ETF to Short [view article]
      Finding ITB shares to borrow can be hit/miss, although it is a better index to short as it is homebuilders only, assuming that is what you are looking for. Feb 07 12:17 PM
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