The fluttering of PPS (up 2-cents then down 2-cents) is somewhat silly, but will come to an end when earnings are reported ---
Then we will see a steady climb that will reward all "longs" who have been patient --
Geely Automobile Holdings Limited (the “Company”) (SEHK stock code: 175) is an automobile manufacturer, focusing on development, manufacturing and sales of passenger vehicles. The Company sells most of its products in the China market and has also expanded its sales through export to other developing countries in the past few years. The Company’s shares are listed on the main board of The Stock Exchange of Hong Kong Limited (“SEHK”); the controlling shareholder of the Company is Zhejiang Geely Holding Group Company Limited, a private company incorporated in the People’s Republic of China (the “PRC”) which is wholly owned by Mr. Li Shu #$%$, the Company’s substantial shareholder and chairman of its board of directors, and his associate. With its headquarter established in Hangzhou, the PRC and 6 manufacturing plants in Linhai, Ningbo/Cixi, Luqiao, Xiangtan, Jinan and Chengdu in the PRC, the Company has a total annual production capacity of 630,000 units of vehicle per shift as at 31 March 2015. The Company sells its 13 major sedan models, which are mostly powered by its own turbocharged engines and developed from 5 product platforms of its own in “GEELY” brand, which are retailed through more than 700 dealers in the PRC. The Company also exports its products through 38 exclusive sales agents and 476 sales and service outlets in 35 oversea countries, mainly to developing countries in the Middle East, Eastern Europe, and Central and South America. With a total workforce of 18,481 staff at the end of 2014 dedicated to fostering the Company’s core strength in powertrain technologies, product quality, customer satisfaction and supply chains, the Company generated US$3.5 billion revenues in 2014. Total market capitalization was US$4.4 billion as at 23 March 2015
While I am happy for any dividend (anytime I can get one), and while it does give a 'vote' of confidence as to the direction and future of the company, it seems like it may have been better spent in expansion, capturing market share, and growth.
Very positive about the outlook of GEELY -
Hoping for a banner year and global name recognition - -
Volvo Car Group bought Swedish race-car maker Polestar and will use the name for an expanded high-performance line to challenge the likes of Mercedes-AMG and BMW’s M models.
Polestar sales are set to as much as double to 1,500 cars in the medium term from 750 targeted for this year, Volvo said. The company already sells tuned versions of Volvo’s V60 wagon and S60 sedan under a cooperation deal signed in 2013.
“We have decided to bring this experience to more Volvo drivers, placing the full resources of Volvo behind the development of Polestar,” Chief Executive Officer Hakan Samuelsson said in a statement.
Volvo is following Jaguar Land Rover as well as German rivals BMW and Mercedes-Benz in offering sportier versions of its regular models. Five years after being bought by Chinese billionaire Li Shufu’s Zhejiang Geely Holding Group Co., the Swedish carmaker is overhauling its product lineup and aiming to boost its global annual sales from a target of 500,000 cars this year to 800,000 vehicles by the end of the decade.
The Polestar S60 has a 350-horsepower engine that reaches 100 kilometers (62 miles) an hour in 4.9 seconds, compared with 5.9 seconds for the high-end ordinary model. At $60,225, it also costs about one-third more.
Volvo didn’t disclose financial details of the deal. The purchase doesn’t include Polestar’s racing unit, which also collaborates with Volvo and will remain controlled by owner and CEO Christian Dahl, himself a former race-car driver.
The biggest markets for the company’s sporty versions of Volvo cars are the U.S., the U.K. and Australia.
Sentiment: Strong Buy
chairman Li Shu #$%$ believed that the intelligent safety car can substantially decrease the number of car accidents caused by human factors. However, the internet companies do not accumulate the data of real traffic accidents. It is believed that the effective analysis of the security big data will be the key element in the competition.
Sentiment: Strong Buy
With Greece and China both having negative influences last week, it seems as if the brief drop in GEELY has subsided
Closed 7/8/15 @ 42-cents
Closed 7/9/15 @ 44-cents
Closed 7/10/15 @ 46-cents
Today 7/13/15 we are sitting @ 49-cents
I like the trend - -
I like Geely's direction and focus
I like Geely's product mix and partnerships
Looks like the 'general' sell-off of Chinese market has settled down a bit....
Nice to see that the Chinese investors and other longs see the real long-term value of GEELY as proven by the past 2 nice up-days.
I think that the Greek mess is effecting the stock market, plus China slowed and with their div.( HIMX) coming out July 8th has an effect. I'm not to smart when it comes to the actions of shorts and also hedge funds, so I can't give you a definitive. In fact I don't claim to be very smart period. When it comes to the stock markets short term actions most of us are in the dark. What I'm sure of is if a company offers a product as good as or even better then others, in time it will reward it's investors.
That is if they aren't undercut buy a more prominent company. I believe with HIMX'S patents this won't happen. It will only take a little more time to find out for sure without a market downturn.
I do think it's move up will be in big advances, with a little up and down along the way, because that's how the stock market works in real life.
As always, the decision to invest is a risk that only YOU can decide on or in what. GOOD LUCK!!!
I just hope that what is going on in the market here and around the world NOW isn't the inevitable result of make believe money (fiat currency) showing it's true value.
I Checked out -- HIMX
I like their product mix and the market they are in -
I checked out the HIMX yahoo board (and like most boards these days) - it was over-ran with soapbox, off-topic posters with snarky attitudes.............
Any thoughts on why they took 30-cent downturn today ?
I will visit their web-site and do a little more DD before deciding (or not) to own some shared -
I also own thousands of shares of HIMX which I believe to be a winner. Take a look at that company if your care to. I really don't like getting on this board advocating other companies, but I think you would like that company. If not, that's OK too. Good luck !!!.
The really expensive auto's I listed aren't a comparison market to Volvo, as you correctly pointed out. The reason I included them was because of the comment about some people's main reason for buying certain makes is status, and the comment about the car being to expensive to me. I'm only pointing out the difference between mainly status seekers and most others who do like status, but insist on value too. Out of the 19 vehicles I listed I think most ( 12 or 13 ) are within the same range as a Volvo XC90. Some a little less, others a little more. Their is a lot of competition within that range, but how many are going to spend that amount of money on the NEW XC90 especially after the old one wasn't good. Look it up in Consumers Reports
As far as the expert who wouldn't say a Toyota was any more reliable then a Volvo, again I say look up the repair records, not someone's baseless opinion.
Even saying all that I believe Geely will deliver an excellent auto. Geely's world plans are counting on Chinese manufactured auto's (Volvo XC60 and XC90) to do well paving the way for their own brands.
Of course this is only my opinion, but I feel a valid one, and think Chinese manufactured Volvo's to be to pricy at this time.
Also I'm sure I'll make more money waiting to sell some of my shares then selling, now except selling to be able to buy more shares with the proceeds.
Really enjoy you two and your posts............
Starting new thread because once there is over a dozen replies it can get muddy.....
I honestly think that GEELY is at the right time in history and that the company is at the proper maturity to benefit - they seem to be keeping their eye on the ball and moving in nimble response to the car market.
Some of the car models mentioned - Cadillac, lincoln, Lexus, Audi, BMW, Infinity, Tesla, Land Rover, Jaguar, Porsche, Mercedes, McLaren, Alfa Romero, Aston Martin, Maserati, Ferrari, Lamborghini, Bentley, Rolls Royce, are in a very, very, very niche market.
I think it is unfair to compare VOLVO to a Bentley, Rolls, Aston, Maserati, Ferrari, or Lamborghini - Volvo has a much broader market share (both in expense and practical) it appeals to a much broader audience more like Cadillac, Lexus, etc., in both price and usefulness.
You may be accurate that is a bit pricey at this time - still there is a broader audience (when compared to Roll who can even consider (and afford) a VOLVO rather than a Bentley for example. And a mid-wealth family man (attorney or business owner) would more likely own a "status" Volvo before his wife would tolerate an impractical Ferrari in the garage.
I am preparing to retire (66 this year), and like was written earlier -- I also am just trying to figure this all out.
I just cannot tell you how much I like GEELY's position in the big scheme of things. I like it a ton.....
I knew when I enteredin to share ownership that I was in for the long haul.........but I feel our wait is nearly over. I knew that I was risking losing most of my investment, but am letting it ride at this juncture because of what and where I see Geely's future.....
Good Luck to you all................
I admit my judgement could be wrong at this time as far as numbers of status seeking auto buyers who place status over functionality. However that market is saturated with choices. I count 19 other auto makers who could and are seen as status symbols. From Cadillac, lincoln, Lexus, Audi, BMW, Infinity, Tesla, Land Rover, Jaguar, Porsche, Mercedes, McLaren, Alfa Romero, Aston Martin, Maserati, Ferrari, Lamborghini, Bentley, Rolls Royce, and of course Volvo
There are a lot of auto's that the low to middle class wealthy buy that are in direct competition to Volvo and have secured market share they plan on holding on to. The very wealthy go for the Bentley's, Roll's, Ferrari, ect.
This is why I think to get the American market share they want any time soon requires them to lesson the price as a means to grab more market share. As I said before,10 yrs. from now (maybe a little longer) it probably doesn't matter how they sell now to our market. Exporting to America, then the rest of the world is the goal of Chinese auto makers, and I think they are going about it in a manner that slows that down.
This is of course only my opinion, and not that of someone who has any great insight into these matters. I'm a retired steelworker just trying to reason this out.
I`m in the car buisness a long time and i can say that Toyota cars are not more or less reliable then Volvo cars that`s for sure.
I always say "where nothing is nothing can go wrong" so i don`t want to say Toyota`s are less innovative then Volvo cars but japanese cars are always build their cars on reliability. Volvo always had the problem to build cars on Ford regulations. The new XC 90 ist the first real Volvo for ower 15 years, everything between is Ford infected. I´m from Europe and here Volvo stood always for indestructibility. I guess in the states is a more a pro Toyoto image because they producing cars over there for a long periode of time now Volvo aims to change this so perhaps the opinion will change in the common years.
Sentiment: Strong Buy
I also do not think we will wait years for GEELY to fly
There is just too much else (POSITIVES) to keep in in this trading range much longer ---- JMHO
Your logic and thought process appears sound, but I believe status means a lot more to more people than you realize.
I also would prefer a Toyota for its reliability and like you, i want to drive it a lot more than I have it in the shop - but that is just us - not everyone.
The poorest kids have cooler (expensive) tennis shoes, cell phones, gaming systems, etc. than I would ever spend my money on.
The poorest kid's mom & dad have a bigger TV, more expensive Cable package, and much fancier car as well. And they cannot - absolutgely CANNOT affor those things. But yet it is a fact -- andt somehow (at least they think) it gives them status.
I cannot understand how/why iPhones are so freakisly expensive being made in China where the same cheap labor also builds the EXPENSIVE Volvo. Go figure -
Expensive because the consumer is willing to shell out the money for the status. On the other hand both VOLVO and iPhones are dandy items and reliable enough (even though not "Toyota-reliable") still bring good quality to the buyer.
The rich factory owner in China buys Volvo because it shows/displays his status and wealth. The TWICE as EXPENSIVE and LESS RELIABLE THAN TOYOTA arguement does matter to him in the least !!!!
While it matters to me and it matters to you, not the rich staus seekers. Poorest kid has $200 NIKE, $400 iPhone, etc. The very rich drive VOLVOs.
The practical argument does not apply to the uber wealthy.
It is taking longer then I thought to really make what I thought I should by now.
I still think Geely is making a BIG mistake in their ( China made Volvo's) pricing. Their sales in America are not that good, but are a lot better in China. With their wage rate I still say China manufactured Volvo's are priced TO HIGH.
That means it will take a lot longer to profit from Geely stock then I thought just a few years ago.
Alex commented that people are impulse buyers, so the price really doesn't matter that much. My answer to that is he is deluding himself comparing what one pays for a smart phone ect. (a few hundred dollars) and $50 to $60 some thousands of dollars for the XC90. To get some of what is touted about the available technology in this auto the price rises very quickly.
A Volvo is a good auto, however it's not as reliable as a Honda or Toyota, ect.
My wife and I both own Toyota's. Why? Reliability and over all quality. I wouldn't spend more to get less of what matters. Some people (not that many in my opinion) drive what they perceive impresses others because of their cost instead of ability to deliver best VALUE.
If you don't agree, that's OK, just look up repair records and dependability of various brands.
I am sure of myself, and don't need to receive that kind of approval to stroke my ego.
Can you really believe auto's manufactured in China cost anywhere near as much as ones manufactured in Sweden to build? Maybe you think importing from Sweden to be many thousands of dollars cheaper then from China. If so, how do you explain so much of the goods bought in America were manufactured in China.
If I haven't made my point yet, one of us isn't up to snuff, at least in the opinion department.
Yet I believe Geely will eventually get it right. Maybe after new leadership takes control. I can only hope so. This company have so much promise, and I want to see it fulfilled.
And the news just keeps getting better -
There is a new GEELY in town and investors "will" take notice -
Hang on - just a few more weeks ----
Geely gets up to bat and continues to get on base, score runs, and win games..............
Great Post -
I think we can expect more and more interest in GEELY shares over the next couple weeks -----