Published: December 10, 2015
Tesla Motors (NASDAQ: TSLA) is one of the most controversial and heavily-covered names in the market in recent memory. To help investors understand the name at a more advanced level, SumZero has asked two fund professionals that cover the company closely, one long and one short, to opine on some ...
Published: October 16, 2015
Mobileye is a small piece of a much larger puzzle which doesn’t support long term monopolistic margins predicted by the sell side. Especially if you know the automotive industry, it’s easy to be highly suspicious of sell-side assumptions that assume a market that is a few million units today is g...
Published: May 29, 2014
While Fiat, as all other global automakers, operates in abysmal Europe, Fiat-Chrysler is actually less exposed to Europe (as a percent of company revenue) than is Ford. And while Fiat is headquartered in Italy, where the government appears increasingly likely to default in the absence of debt mon...
Published: December 17, 2013
<strong>Long on Volkswagen Ag (VOW:GR)</strong>
Contributor: Nick Poling, Volsung Management.
Current Price: $186.15.
Target Price: $215.00.
Expected Return: 15.5%.
Timeframe: 2+ years.
Elevator Pitch: Best-in-class, investing at a level peers cannot match. Deserves to trade at premium to p...
Published: August 01, 2013
Investors are forgetting that Kia is a fantastic company that has grown share consistently all over the world since its founding by making stylish and high quality vehicles. I don't expect issues with its Union to be substantial this year given the major union victory in and huge cost of last yea...
Published: March 15, 2013
Post restructuring, GM is a radically improved business with earnings growth potential and excess cash for buybacks. As the reality of “New GM” becomes apparent, the stock could double.
Published: October 22, 2012
GM has been at a competitive disadvantage over the last several years given the company’s stale product portfolio among its most profitable platform, full-size trucks. The redesigned full-size trucks, the K2XX platform, could cause production volumes to grow by ~10% in 2013.
Published: September 19, 2012
As predicted, Judge Stefan Puhle did a service to equity markets by throwing out the ridiculous short-selling lawsuits. Shares of Porsche have re-rated to 46 EUR still trading at a massive discount to 76 EUR tangible book comprised simply of 150mm VOW GR shares worth 20.2B EUR today, and 3B in ne...
Published: September 10, 2012
I submit this write-up knowing full well that the SumZero community quickly frowns upon unprofitable young businesses with seemingly expensive valuations. I am doing so because I believe that Zipcar (ZIP) is one of the cheapest stocks available and offers a 2x-3x return opportunity.
Published: July 02, 2012
Following the sale of Porsche AG, PAH3 turns into a highly levered, easily modeled, perpetual call option on Volkswagen which I view as being attractively priced at only 3.08x trailing PE, 2.7% dividend yield and with the enlarged company being the strongest automobile manufacturer in the world c...
Published: May 03, 2012
With Avis (NYSE: CAR) shares trading at just under 6x 2012 EBITDA, a discount to historic forward multiples of 6-8x, current levels have historically been an attractive entry point for CAR shares. The shares are also trading at just under 7x 2012 P/E. It should be noted that few buyers and seller...
Published: May 03, 2012
Analyst consensus opinion is that Tesla will achieve near-flawless Model S production, meet or exceed sales targets in 2012 and 2013, and pave the way for the introduction of new models like the X and Gen 3 sedan. The company faces significant challenges in order to execute this strategy successf...