| Is Berkshire’s Burlington Move All About Coal? Edward Harrison submits:I had a feeling there was an energy component to the Berkshire Hathaway (BRK.A) decision to buy Burlington Northern Santa Fe (BNI). And now comes the evidence via coal, a major freight on BNSF’s tracks. But, there is a lot more to this acquisition than just hauling coal. Warren Buffett has been increasing his energy plays in recent years, both in the U.S. and abroad. He has said repeatedly that he likes energy and power. His chief asset in the U.S. is Mid-American Energy, a major utility company whose CEO is often touted as one of the eventual successors to Buffett at the helm of Berkshire.Complete Story » seekingalpha.com |
Toyota: Scion iQ to Debut in U.S. as a Hybrid Hatch TheCarConnection.com submits: The Toyota iQ is a popular minicar in many parts of the world, and we've known for a while that Toyota (TM) was planning to market it as a Scion in the U.S. The timeline for the iQ's launch, however, has been the subject of rumor and speculation: at first it was thought to be 2011, then it was bumped up to 2010, and now we don't know when it's going to drop. However, we may get some firm answers to those questions next week at the 2010 Detroit Auto Show. According to InsideLine, Toyota will reveal the Scion iQ next Monday, January11, at NAIAS. Interestingly, it's expected to debut in the U.S. as a hybrid five-door hatchback, with a sedan variant to follow. (That makes the iQ the new Toyota hybrid we've been expecting.) Fuel economy will run around 60 mpg, and with pricing in the $15,000 range, the Scion iQ could be a spunky little brother to the more mature, $20,000-ish Toyota Prius. Down the line, expect to see three-door hatch and convertible models, both featuring traditional combustion engines. The first iQs may hit U.S. showrooms by late 2011.Complete Story » seekingalpha.com |
Ryder System: Earnings Preview Zacks.com submits: Logistics and transportation solution provider Ryder System Inc. (R) is slated to release its first quarter 2010 results on April 21, before the opening bell. Management expects first quarter 2010 earnings to be in the range of 17–22 cents per share, lower than the 30 cents per share reported in the first quarter of 2009.Complete Story » seekingalpha.com |
Why I'm Pessimistic About Tesla Motors Tate Dwinnell submits: The CBOE IPO is the hot IPO on everyone’s radar today, but in a couple weeks all eyes will be on the Tesla Motors IPO. The much hyped electric car maker with big name investors such as the Google (GOOG) founders, the Abu Dhabi government, Daimler (DDAIF.PK) and even the US government behind it, hopes to raise another $178 million through the IPO. Toyota Motors (TM) will inject another $50 million in the stock upon a successful Tesla IPO. The company is raising cash to help produce its second electric car, the Model S, which is a 4 door sedan initially priced at $50K.While the company bleeds red ink selling its novelty Roadster, the company hopes that the Model S will achieve volume production and get the company moving towards profitability around the 2013 time frame, but that may be too optimistic. I personally am not all that excited by this IPO. Companies that haven’t turned a profit and trade on potential haven’t fared well. If you look at US based lithium battery play A123 Systems (AONE), the initial hype wore off quickly and the stock continues to plummet to new lows. That could very well play out with the Tesla IPO as well.Complete Story » seekingalpha.com |
Ten Prominent Defense Stocks That Pay Dividends, Part I Chuck Carnevale submits:There is a lot of uncertainty regarding the future of the defense industry under the Obama Administration and Defense Secretary Robert Gates. Proposed efficiency initiatives call for a realignment of defense spending indicating only modest growth in the defense budget of 1% to 2% over the next few years. “Learning to do more without more” is the battle cry of the current administration. The stock market does not like uncertainty, therefore, many leading defense stocks have come under a lot of selling pressure driving valuations to low levels not seen in years. However, not every company in the defense industry is on sale today. One of the prime objectives of this two-part series is to review well-known companies in the defense industry that offer a dividend yield. It will be up to the investor to draw their own conclusions regarding the investment merit of any specific company.Complete Story » seekingalpha.com |