Darker days ahead for Ford, GM?
By Saundra Latham, Editor at LinkedIn News
The auto industry has enjoyed years of accelerating profits, as low supply and high demand gave carmakers unprecedented pricing power. But things might soon go into reverse. UBS analysts warned Monday that profits for U.S. and European automakers will drop 50% next year as weakening demand results in an oversupply of vehicles. “Demand destruction is no longer a vague risk, but has started to become a reality,” the analysts warned. Ford shares dropped nearly 7% in the wake of the report, while GM stock fell about 4%.
The parking lot around the NASCAR track in Northern Kentucky is 50%-75% full of new ford trucks!!!!!!
Why are they all just sitting there, and have been for a couple years now
What a waste!
Thoughts??
