Tenneco, like most other automotive suppliers, is suffering from the economic downturn. The company was once a huge conglomerate and slowly sold off all parts of the business except for the automotive group. Somehow along the way they were stuck with a great amount of debt. I don't know if the allocation of debt between the packaging group (now Pactiv) and the automotive group was fair or not - why look back. Debt is not a bad thing for a company because of the tax advantage. The company is trying to get to a comfortable debt/equity ratio and as soon as they do the excess risk burden will go away and the stock price will rise. Or if the economy turns suddenly the stock price will follow. Do a comparison with Tower Automotive (TWR) and you will see their trend follows along with Tenneco's.
People that litter this website with their useless "opinions" don't seem to know much about stock valuation. They certainly know how to complain about how the world cheated them though.
Now_out_of_ten - I am certainly glad you are some other company's problem. Please recruit all the other crybabies along with you.
Hey, why the hostility directed at me at the end of your posting. There are other things aside from the raw numbers that tell a stocks story. The historical perspective I presented is factual. I dare you to prove me wrong. It happened at last years layoffs, with the sears announcement, with the third quarter annoucement. The stock pops up and then just pops.
AS far as the other information I posted, the character of the management is critical to an organizations success. I feel like it is 1992 again and I am saying "Character matters" again. It is undeniable to anyone who has worked there that the management is in a constant reactionary mode. Again I defy you to prove otherwise.
I did not deserve you comment and as far as being someone elses problem. I am now working for one of the OEMs Tenneco suppliers and to date I have met and exceeded every expectation put in front of me and been given an unscheduled, and un requested, pay raise for my work.
Criticize me when I am wrong, fine. Get nasty when I P#SS you off, I deserve it. But your snide comment was un called for.
It is sort of like a smoker telling you not to smoke. It seems silly, but who better to know the downsides.
I bought the stock while working there and have never got around to dumping it. I bought in in the $4.00's. So my losses will be so bad I will stick it out. I do not have that much invested anyway so I will gamble on a long term. I still feel a banckruptcy is in the picture, but I have lost so much so far, no use in selling now.
I would still say don't buy it just as the poor smoker who can not quit would advise youngsters not to start.
The gripes on management should not be dismissed. Yes, people gripping about the night shift manager at a particular plant will not give you much information. But, there is some great information on the upper up's on this board like:
The CEO was involved in activities where partners, but not himself, were convicted of wrong doing.
Upper management pay is NOT tied to stock performance. As a matter of fact, their Golden Parachutes are rather impressive an open when and if the company is bought up and torn apart.
The management is ultra reactionary in deed, but overly proactive in word. Programs of the month come weekly there. I was personally involved in a few which now exist only as dusty posters on a wall, or so I am told from friends still on the inside.
For more information, I suggets you visit their website and take a look at the annual report.
Also use this site, not the board but the chart and info page, to do some historical research.
You will see that this company does do the right thing from time to time and when this happens the stock blips up, but quickly drops back down.
Anyway, gottsa get back to work. My advice to you would be to stay away from this one. When the 0% financing stops and new car sales hit a brick wall, Tenneco, more so than other suppliers, will get whitewashed.