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Re: Not impressed with MATH either? Yeah, there's plenty of hype, but... ? And, we need to do something about the Modelo shortage, and good bye grandma...
Author: BOB2
Date: 03-25-2020 - 14:23
I dunno, 15/1 sounds like a pretty decent P/E multiple for UP, lately... This, as were apparently almost all stocks, was seriously over valued, even with the tax cut and low interest rates, well before the economic "shock" sent it into free fall. And now, low and behold through the miracle of the free market, the prices are now much more in line with near term revenues and returns. So, with a lot of underlying asset value (land, capital plant, choo-choo's, etc.) at these prices is beginning to look like a more reasonable stock to buy. Also, when the economy bottoms out and starts to recover, they will still start by having a relatively strong underlying traffic base.
And, yeah, much of the puffery is just that. On the other hand, if we begin making more products in Mexico, to avoid dependency on China, and/or to avoid tariff's by manufacturing within the North American free trade zone, then yes, UP could benefit, albeit, at the traffic margins, in terms of overall volumes.
Don't expect to see recent highs for UP or a lot of stocks, anytime soon, though. Today's "dead cat bounce" may be starting to set a "bottom" on this bear market "correction". But, we're now in a very deep "real" economic recession, and will be for at least two quarters, so earnings are going to really suck for many of these companies for a while.
Thus, it is actually when folks who aren't retiring soon should buy, when stock prices are "low"... It's that old fashioned buy low, sell high, if you are a long term investor.
For those of you still wondering if you should get out of this market? Too late... I'd been warning many of you, about poor logistics numbers and weak rail numbers for the last six months, and that the "numbers" were at recessionary levels. So, you really should have sold your UP, back when all of those Senators sold their stocks...?
As to trade with Mexico, I have the unfortunate "news" to report, that the Corona virus, has created an actual Modelo shortage (forcing me to buy a case of the small bottles in desperation...), due to the disruptions in deliveries, according to my guy at the wine shop...
So we definitely need to get those critical industries back up to full production ASAP!
And, I hear someone has a plan....
Now, I know that some of you might get all sentimental on me, and tell me how much you'll miss grandma.... when we have to push her out onto that ice floe... to save the "economy" (or, at least the Wall Street CEO bonus's and stop their "suffering"...)... But, when she's gone, just think about how much your UP stock will rise....
And, yeah, much of the puffery is just that. On the other hand, if we begin making more products in Mexico, to avoid dependency on China, and/or to avoid tariff's by manufacturing within the North American free trade zone, then yes, UP could benefit, albeit, at the traffic margins, in terms of overall volumes.
Don't expect to see recent highs for UP or a lot of stocks, anytime soon, though. Today's "dead cat bounce" may be starting to set a "bottom" on this bear market "correction". But, we're now in a very deep "real" economic recession, and will be for at least two quarters, so earnings are going to really suck for many of these companies for a while.
Thus, it is actually when folks who aren't retiring soon should buy, when stock prices are "low"... It's that old fashioned buy low, sell high, if you are a long term investor.
For those of you still wondering if you should get out of this market? Too late... I'd been warning many of you, about poor logistics numbers and weak rail numbers for the last six months, and that the "numbers" were at recessionary levels. So, you really should have sold your UP, back when all of those Senators sold their stocks...?
As to trade with Mexico, I have the unfortunate "news" to report, that the Corona virus, has created an actual Modelo shortage (forcing me to buy a case of the small bottles in desperation...), due to the disruptions in deliveries, according to my guy at the wine shop...
So we definitely need to get those critical industries back up to full production ASAP!
And, I hear someone has a plan....
Now, I know that some of you might get all sentimental on me, and tell me how much you'll miss grandma.... when we have to push her out onto that ice floe... to save the "economy" (or, at least the Wall Street CEO bonus's and stop their "suffering"...)... But, when she's gone, just think about how much your UP stock will rise....
