| Federal-Mogul Corp Q3 2009 Earnings Call Transcript. Federal-Mogul Corp. (FDML)Q3 2009 Earnings CallOctober 29, 2009; 09:00 am ETComplete Story » seekingalpha.com |
Auto Sales Still Rebounding Nicely Calafia Beach Pundit submits: Auto sales were a little weaker than expected in January (Toyota's (TM) massive recall was a big factor), but they are still up at a 17% annualized rate from their low of last February. With the U.S. car fleet aging steadily, a sales rate this low (by far the lowest level relative to the size of the population since records were first kept beginning in 1967) is very unlikely to be sustained for much longer, especially if the economy as a whole continues to expand.From my perspective it looks like auto sales are following their typical pattern of rebounding after the end of a recession, and could even enjoy a very strong rebound in the years to come. Even from a pessimist's standpoint, it's clear that autos stopped being a drag on the economy about one year ago.Complete Story » seekingalpha.com |
Nissan's Leaf Is Affordable, But Will It Be Profitable? Greentech Media submits: by Michael KanellosNissan (NSANY.PK) has said for over a year that the upcoming all-electric Leaf would cost somewhere in the $20,000 to $30,000 range -- and the company did it.Complete Story » seekingalpha.com |
Carloads Decline, Rail Traffic Moderates From Highs The Pragmatic Capitalist submits: After gangbuster readings in the last few weeks the most recent rail traffic data from the AAR shows a moderating traffic and carload trend (via AAR): The Association of American Railroads (AAR) today reported a decline in rail traffic for the week ending July 10, 2010, with U.S. railroads originating 252,963 carloads, down 3.5 percent compared with the same week in 2009 and down 20.8 percent from 2008. The comparison week in 2009 included the July 4 Independence Day holiday, while 2008 did not. In order to offer a complete picture of the progress in rail traffic, AAR reports 2010 weekly rail traffic with comparison weeks in both 2009 and 2008.Complete Story » seekingalpha.com |
Railroads: Where Buffett Went Right Wall Street Post Game submits: Warren Buffett, famous for his value investing approach to the global equity markets, hit the jackpot after his bullish take on railroads. Buffett has always been a fan of the industry, but last year he decided to go all in and increase his position size. In early November 2009, when the market was rallying off the March lows, the value investor agreed to make a $34 billion investment into Burlington Northern Sante Fe Corp (BNI). What was Buffett thinking? BNSF, the world’s second largest railroad, is engaged in the freight rail transportation business, vital to the transport of consumer goods, food products, and coal. Investing in railroads is essentially the equivalent to placing a bullish bet on the economy. After the announcement, Buffett stated, “it’s an all-in wager on the economic future of the United States.” This acquisition was the biggest ever for Berkshire Hathaway (BRK.A), just to show you how serious Buffett was. Prior to the acquisition, Berkshire Hathaway owned 22% of the company, and paid $100 a share, a healthy 31.5% premium.Complete Story » seekingalpha.com |