Good News...If one believes Polls

[OntarioVanMan]

Auto-Supplier Sector Is for Real, Poll Says

NEW YORK (TheStreet) -- The auto-supplier sector, once in dire straits, has turned itself around -- or so say the respondents to TheStreet's latest poll on the auto-supplier sector.

The question we posed was a simple one -- "Is now the time to buy auto-supplier stocks?" -- and the options given for answers direct: either "Yes -- Auto-supplier stocks are smoking;" or "No -- The credit market still hasn't made a full recovery and auto-suppliers will continue to suffer."

More than two-thirds of the respondents felt bullish about the sector. So do the equity analysts.

Indeed, Standard & Poor's equity analyst Efraim Levy says that auto-supplier companies are poised for a multiyear upward trend in light-vehicle sales worldwide in 2010 aided by both higher volumes and cost-cutting.

Levy expects a rev-up in auto-parts production this year, as the suppliers have been experiencing very lean inventories and will be responding to stronger light-vehicle sales demand. New, light vehicles sales could reach 11.6 million in the U.S. alone, an increase from 10.4 million new light vehicle sales the year before, according to him.

In the final tally, about 70.7% of the poll takers said that "auto-supplier stocks are smoking," while about 29.3% of poll takers said "auto suppliers will continue to suffer."

Source:Auto-Supplier Sector Is for Real, Poll Says | Automakers | Financial Articles & Investing News | TheStreet.com

 

[greg334]

Delphi and what's left of visteon is hurting. They are filling orders and production is up but that doesn't mean a thing with market share for the manufacturers still slipping. With the influx of cash from the government, it makes more sense to see this than not to see it.

Stocks are speculation, means nothing at this point under these conditions. Stocks rose in the depression before reformed were put into place and people made millions by doing the wall street shuffle.

I am wondering if the administration will also put a tax on the auto companies and suppliers who took federal money like they are trying to do with the banks?

 

[OntarioVanMan]

While the report touches on stocks...the reviews are good that volume high be higher and production up...in light car sales this year...

 

[guido4475]

While the report touches on stocks...the reviews are good that volume high be higher and production up...in light car sales this year...

And it is still a positive indicator. Thanks for posting this, OVM.

 

[OntarioVanMan]

These "experts" *LOL* say stocks mean nothing but have you noticed if the company is doing well stock wise 6 months or so down the road things pick up somewhat...A company has to turn itself around, cutback, layoff and adjust to the business mode before it can advance again...

 

[greg334]

Sales don't really mean a thing when you have two of the three companies losing more than 40% of their market share, gutting other means of revenue and than talking about these great numbers while asking for more money in the form of tax incentives at the state and local level with threats of moving work to Mexico.

It may be a short lived thing as many economists are warning us that we may just be approaching any recovery. Many of them seem to agree that any recovery that we seem to have is not a recovery at all, we are not going to see the growth fill the gaps from all the losses for at least 5 years.

As for stocks, it is show time here and all this BS positive news that is spun to make things look good is part of the jubilation on wall street - it is still an emotional market.