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

To: Spekulatius who wrote (30485)	3/31/2008 10:17:46 AM
From: Paul Senior	Respond to of 78702

Auto companies: Imo, better than the manufacturers are the auto retailers. With the publicly-traded auto retailers, you get geographical diversity; diversity in product lines (these auto retailers generally having having franchises in Euro., Japanese, and domestic brands); you don't get the high capital intensive business of the manufacturers, the health/pension legacy costs of the domestics; and you do get a business that's not just dependent on new car sales. I still hold my positions in shares of several of these. --------------- "GM common is basically an option." That seems about right to me. For me, I'm willing to make the bet.

To: Spekulatius who wrote (30485)	4/10/2008 9:45:30 PM
From: Spekulatius	Respond to of 78702

Purchased some Toyota Industries TYIDF.PK this is a cheap way to buy into Toyota Motors which i consider a value itself. book value is 5000+/Yen/share and the current quote is 3350yen. The high book value is due to Toyota Industries shareholding in TM (5.5%) , which is valued market to market (Book value subtracts already the deferred taxes that were due if Toyota Industries would sell the TM shares). TAVFX owns them too, for what it's worth: finance.yahoo.com

To: Spekulatius who wrote (30485)	8/22/2010 12:20:21 PM
From: Spekulatius	Read Replies (1) \| Respond to of 78702

re BMW3.DE - Barrons had an article valuing GM at 4.5x EBITDA and calling it cheap. I don't think it is when premium car manufacturer which much less issues are trading at cheaper valuations. I took a look at BMW (BMW.DE 41.8 Euro/ BMW3.DE 29 Euro). There is a total of 656M shares outstanding. BMW made 1.27 Euro net earnings during Q2. Net debt for the industrial part (no counting the financing business) is about 3B Euro. Total market cap is ~ 27B Euro (amongst the 2 stock categories). They made 2.1B Euro EBITDA during the 2nd quarter alone, so annualized they trade for 3.4x EBITDA. Sales in Asia are up ~60% for 20% of the total. bmwgroup.com I do not understand how anybody would want to buy GM at 4.5x EBITDA with all it's issues (government, pensions) if you can buy a premium car manufacturer with very little debt, paying dividend that never showed a loss at 3.4x EBITDA.