Insider Buying Reaches a 10-Year High

A quick look at the activity of insiders in the last 30 days gives reason to believe that company executives are betting on the respective companies they represent like never before. This could be an indication of the equity market performance in the coming years. The subject of this analysis is to interpret the current trend of insider buying and selling using empirical evidence.

 

Read the source article at Value Investing

Cabot withdraws 2020 earnings guidance

Boston, Massachusetts – Cabot Corp. has withdrawn its financial guidance for fiscal year 2020 and is reducing planned capital expenditure in response to Covid-19 pandemic.

Despite a “solid” second quarter, ending 31 March, Cabot said it is withdrawing the outlook as future demand for the company’s products remain uncertain.

In addition, in order to maximise free cash flow, Cabot is looking to reduce previous plans for capital spending, said CEO and president Sean Keohane in a statement 30 March.

Read the source article at European Rubber Journal

Europe’s auto industry sees unprecedented crisis following production losses

Europe’s automakers are calling for immediate support from the European Union and member states after suffering a production loss that could render companies short of cash in just weeks. In a statement on Tuesday, industry association ACEA demanded “strong and coordinate action” to aid manufacturers, their suppliers and dealers who face a “severe” financial hit.

Read the source article at Automotive News Europe

Detroit’s near future based on crossovers, SUVs, not EVs, production plans show

DETROIT — General Motors Co. and Ford Motor Co. have widely touted their commitment to emission-free electric vehicles, but their production plans show a growing reliance on ever-larger gas-powered vehicles. The two biggest U.S. automakers will make more than 5 million SUVs and pickup trucks in 2026, but only about 320,000 electric vehicles, according to detailed production plans for North America seen by Reuters.

Read the source article at Front Page

Camfin raising stake in Pirelli

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Milan, Italy – Pirelli shareholder Camfin is looking to raise its stake in the Italian tire maker, which has seen its share-price fall by more than 30% over the last three months.

Camfin board of directors authorised, on 20 March, the acquisition of shares up to a maximum of 1.5% of Pirelli’s share capital, by the end of July.

Pirelli’s shares hit an all-time low of €3.50 on 9 March in Milan as global stock markets grappled with the outbreak of Covid-19.

Read the source article at European Rubber Journal

U.S. set to grant automakers a lifeline, but no bailout

WASHINGTON/DETROIT — The $2 trillion economic rescue package before the U.S. Senate would send the federal government to the auto industry’s rescue for the second time in a dozen years. Automakers are fearful of being tagged as seeking a new government bailout so soon after the 2009 government-funded auto restructurings. Detroit has not sought industry-specific assistance and instead made the case the entire economy needs urgent access to liquidity.

Read the source article at Automotive News Europe

Hankook board OKs stock buyback, dividend boost

SEOUL, South Korea—Hankook Tire & Technology Co. Ltd.’s board of directors has authorized a plan to buy back up to $43 million of the company’s stock and boost the stock dividend in an effort to enhance shareholder value.

Read the source article at Rubber and Plastics News

The impact of Coronavirus (COVID-19) on the automotive industry

The outbreak of the Novel Coronavirus (COVID-19), which originated in Wuhan, China in end-December 2019, is fast spreading its tentacles across the world and is having a major impact on all aspects of society, including the automotive industry. All through January and February, automakers and their suppliers have been scrambling to keep vehicle assembly lines humming but March has seen the industry take concerted action, in sync with government advisories, to keep its personnel safe.

Read the source article at Latest Car News & Reviews

German rubber industry braces for ‘zero growth’ after 2019 decline

Frankfurt, Germany –Germany’s rubber industry is set for zero-growth in 2020, after a 4.2% year-on-year decline to €11 billion in 2019, the WDK has forecast.

Both the tire industry and technical rubber segment posted a decrease in sales for last year, according to the German rubber industry association.

Tire deliveries fell 4.4% to €4.5 billion and technical rubber sales dropped 4% to €6.4 billion, said a WdK industry survey issued 4 March.

Read the source article at European Rubber Journal

Cooper Tire: 4Q Earnings Snapshot

FINDLAY, Ohio (AP) _ Cooper Tire & Rubber Co. (CTB) on Monday reported fourth-quarter net income of $51.3 million, after reporting a loss in the same period a year earlier. The Findlay, Ohio-based company said it had net income of $1.02 per share. The results exceeded Wall Street expectations. The average estimate of five analysts surveyed by Zacks Investment Research was for earnings of 67 cents per share.

Read the source article at Yahoo News Phillipines