Your Source for Up-To-Date News and Research on the Collision Repair Industry

click here to subscribe to the FREE INSIGHT Editor's Desk News Alert Email

SUBSCRIBERS-ONLY
Today's News
INSIGHT This Month
INSIGHT Archives
Survey Center
Letter to the Editor

Business Tools
Subscription Information
CSI Reporting
Financial Analysis
IRS Audit Guide

Management/
Technical Info
Market Watch Rates
INSIGHT Inside this month's issue...

Feedback
Letter to the Editor

This article originally appeared in the May 2008 Issue of INSIGHT

Moving Along

Although many of our Collision Repair Industry related stocks’ per share prices are still down YTD, it must be a sign of our rather gloomy economic times that I am pleased to write that many of them, including our supplier, insurer, and fund indices, are not as bad this month as I had thought they would be. As of April 15, when we compiled the stock chart on the facing page, six of our supplier stocks were in positive positions compared to their January 1 postings. Have we weathered the Wall Street storms of Spring? So far, we seem to be surviving, and hopefully, the second half of 2008 will manage to be a little boring for investors. I dare not make any sweeping predictions, but with presidential elections looming before year-end, the Stock Market should steady on for a few months.

Akzo Nobel showed the best increase YTD per share of stock, up nearly 17 percent. DuPont has continued to improve. The chemical company’s per share stock price is up almost 11 percent from its New Year’s mark.

Of our other automotive refinish manufacturers, PPG is off its beginning of the year per share price by a bit over 11 percent, despite reporting record sales recently for the year 2007. Valspar has posted a price nine percent lower than its initial $22.41. The Sherwin-Williams Company reported a disappointing 30 percent drop in profits for the First Quarter, although sales rose about one and a half percent over the same quarter in 2007. The per share price of Sherwin-Williams stock fell a bit to $53.48 in April, about $4 below its January price per share.

Our national car dealer consolidators found the climate on Wall Street a tad milder in April. AutoNation, at $14.79 per share, is only one dollar away from its New Year price of $15.57. CarMax continues to stall on Wall Street, still about five percent down YTD per share. Sonic Automotive, at just a hair under $20 per share, is up 50 cents YTD per share. Penske Automotive Group continues to move forward, up just a hair under ten percent YTD. Excellent marks on crash tests by the Insurance Institute for Highway Safety for the smartfortwo model of the Smart Car,distributed exclusively in the U.S. by the Penske Automotive Group, may speed things up in sales.

Our auto insurers continue to struggle at the New York Stock Exchange. SAFECO, with a per share stock price of $45, is still off its New Year mark by about 20 percent. Safeco shareholders will receive information about Liberty Mutual’s acquisition of the Seattle-based insurer later this month. (See page 3 for details of the acquisition.)

Prices at the pump continue to rise, hovering around $4 per gallon. Collision repair facility operators across the nation are hoping people will cut back on anything else but Summer road trips!

-Charles Baker-

Feedback

Have a comment about this article? Send Email to Charles Baker, INSIGHT's Publisher

SUBSCRIBERS-ONLY Today's News INSIGHT This Month INSIGHT Archives Survey Center Letter to the Editor

Business Tools Subscription Information CSI Reporting Financial Analysis IRS Audit Guide