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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Paul Senior who wrote (19942)	10/22/2004 6:10:24 PM
From: Sam Citron	Read Replies (1) \| Respond to of 78525

I think that if oil prices remain high, hybrid cars will gain more market share, and Toyota sales and licensing revenues should soar. GM's pension costs seem to be a financial noose around their neck. Will they really have the funds necessary to compete against Toyota and Honda? Sam

To: Paul Senior who wrote (19942)	10/23/2004 12:53:00 AM
From: Spekulatius	Read Replies (1) \| Respond to of 78525

re GM: GM has been muddling through for 30 years. They never earn their cost of capital and given the worsening outlook for the car business they are unlikely to do so in the future, IMO. For a car stock to be worthy of an investment, they need to be able to achieve reasonable margins and FCF over the LT. Only few car companies are able to do so (TM, HMC, BMW, Nissan, Porsche etc.).