Quote:
Originally Posted by Daws1089
i dont know the car industry very well, but i don't think ford is a good buy now. Seems like toyota and honda really got things figured out and those are the ones to own. If ford got bought out buy a bigger firm, you would most likely either be offerred stock in the new company for an equal amount of money you had in ford, OR you could get get tax free cash for your stock. It depends on the situation. Basically, there is probably a better buy out there, i just dont know enough about the industry to tell you what.
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Personally, if you have to own a car company, stick with Toyota - even with the higher multiple. Ford or GM will never be agile enough to move with the market the way Toyota or Honda can. Even if F and GM get their healthcare costs under control - which the latest union deal helps with, the fact is that nearly ALL their profit comes from trucks and SUVs - they barely make money on fuel efficient vehicles, and their plants are simply not optimized to make anything on em.
BTW, the last couple months have been a clinic in the old maxim... "buy when there is blood in the streets".