Which company will have the biggest impact?

Discussion in 'General Industry Discussions' started by shovelracer, Feb 19, 2009.

  1. shovelracer

    shovelracer LawnSite Silver Member
    Posts: 2,009

    So with stocks down at all time lows for many companies as the financial reports come out what do you do. Those of us that have the means to invest and are willing to take some risk are pondering what to do about the situation. There is a company or two in the green industry that I feel could prosper in the coming years as green initiatives move forward and the economy eventually rises again. I'm curious to hear what companies you all support or believe would make wise investments in the 5yr + time frame and why.
     
  2. White Gardens

    White Gardens LawnSite Fanatic
    Posts: 6,783


    Caterpillar.

    As soon as the economic plan hits, construction equipment will regain some stock value.
     
  3. nosparkplugs

    nosparkplugs LawnSite Gold Member
    Posts: 3,445

    it will take more than 5 years for anyone to recover from our current economic situation. Caterpillar has laid more than 20,000 people off their never going to hire all those people back. This recession has been a great excuse for downsizing; I suspect were going to see leaner companies in all industries. We still have to make it through 2009, their will be more hemorrhaging to include the green industry.
     
  4. Fife Lawn&Lane

    Fife Lawn&Lane LawnSite Member
    Posts: 97

    remember to that Cat will no longer be producing a road going engine.
     
  5. nosparkplugs

    nosparkplugs LawnSite Gold Member
    Posts: 3,445

    true, but Caterpillar owns Perkins diesel, whom was beating them up in the
    onroad/highway diesel engines, and small agriculture diesel sales. Can't beat them buy them:laugh:
     
  6. shovelracer

    shovelracer LawnSite Silver Member
    Posts: 2,009

    I'm usually up for supporting companies who's equipment we use, and I like some of the innovative stuff Bobcat has done, but IR has been by far my worst experience since Ive been doing business. They really take advantage of the little guy and could care less, besides that customer service was great for the first 2 months, then it became non-existant. Heck I had 15K burning a hole in my pocket last fall and when I called my dealer to schedule an appointment to pick out some attachments they blew me off.

    Toro is suffering like all the others, but it seems like they have made the moves early enough to plan for these times. More likely they will recover.

    Looking for innovative companies that are pushing the green movement and alternate fuels. Also electronic co's can be risky, but long term some of them can have big payoffs. Right now everything is risky, but some good placement can be big later on.
     
  7. ashelton

    ashelton LawnSite Member
    from florida
    Posts: 150

    Research which companies have the most lobbyist. Research has shown that the best performing companies in a particular segment have the most lobbyist.
    I would personally not recommend Cat, the amount of equipment that has been built the past 7-10 years due to the global demand has the market flooded. Finance companies have a lot of these machines that they will be willing to just about give away, and these will be more attractive than a brand new one. Cat faces an uphill battle in the current economic situation.
    I only invest money in the stock market that I won't care about for 10+ years. It is to hard to pick single stocks to win in the short run, you are better off going to Vegas. Growth Stock Mutual funds have averaged over 12% for about the past 50 years, invest in a lot of companies rather than trying to pick one winner. I have invested in some that focus on "Green Tech.", so far haven't made much, but I think they will do well in the next 10 years.
     
  8. Fife Lawn&Lane

    Fife Lawn&Lane LawnSite Member
    Posts: 97

    Not so good for you guys in the USA but up here our banks stocks are actually a good investment.
     
  9. White Gardens

    White Gardens LawnSite Fanatic
    Posts: 6,783

    They cut a deal with Navistar, and in a joint venture the are building a plant in IL for heavy duty road trucks.

    Partially the reason Ford and Navistar parted ways.

    I'm not saying Cat will get back to their pre 2008 production rates and stock value, but, I think they'll rebound fairly well in the next couple of years.
     
  10. nosparkplugs

    nosparkplugs LawnSite Gold Member
    Posts: 3,445

    Whats your source on that? cause Cat has sued the shat out of Navistar:laugh:



    Newspaper article from our research archive:
    See more articles from Chicago Tribune (Chicago, IL)

    Navistar, Cat settle lawsuits: Cat taking $50 million charge; undisclosed payment by Navistar.

    Article from:
    Chicago Tribune (Chicago, IL)
    Article date:
    August 25, 2006
    More results for:
    Cat | Copyright informationCOPYRIGHT 2006 Chicago Tribune. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)

    Byline: James P. Miller

    Aug. 25--Navistar International Corp. and its leading engine supplier, Caterpillar Inc., said Thursday that the companies have agreed to drop their legal claims against each other. While details of the accord weren't disclosed, Peoria-based Caterpillar said it will record a hefty $50 million after-tax charge to cover payments it no longer expects from Navistar. The agreement also calls for Navistar to give Caterpillar an initial, undisclosed cash payment, as well as a three-year promissory note. Navistar said the settlement "will not have a material impact" on its "financial position, cash flow or results of operations."






     

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