his sign said UBER. I have no idea whether he was UBERx or UBER. Cars driving around the city for UBER just have an UBER sign. no distinction.
Guys on this board who don't CURRENTLY drive taxi's have no idea how UBER has made a difference. I stopped a driver today for UBER, asked him how much he was pulling in a week. He said 1500. I asked "your pocket, meaning profit". He said yes. Now lets say he is lying and he is making 1000/week.
This is still another way for someone to make a good living driving in NYC without a medallion on his car with even more flexible hours than the taxi business and with one's own reliable car day in and day out, along with this UBER drivers words "its safer".
Tell me how a piece of overinflated metal is worth 700,000 without taxi fleet owners owning 58% of medallions? If individual drivers were given the right to buy one, what would the real value be without big money not driving coming in? Its a moot point anyways because an UBER driver doesn;t need the overpriced metal on the hood of his car to go out and make a similar living.
So people paying off a 700,000+ loan are likely never to get that money back when they try to sell it...who is going to buy it? Me?? I can driver for UBER and make the same money as driving a cab. Learn this business people. This stock is dog$$$$.
What, did people all of a sudden stop drinking their favorite beverage in the morning? lol. Buy with both hands. Coffee ain;t going out of style and KEurig sure as heck has not. Increasing of dividend over the coming years along with cash flow based on new products and costs(company going to go green hopefully and save on plastic).
In the market, very few bargains. This is one of them.
58% of medallions are owned by FLEET owners. What incentive do guys like Gene Friedman have anymore in overpaying for a piece of metal when there are 19,000+ non-taxi drivers doing the same business that the guys coming and renting the fleet owners cabs are doing and leaving cars like his not completely used?
Medallions valuation was only 700,000 or higher as a result of a monopoly that no longer exists. It doesn't matter if someone is making their payments on their bloated and overpriced loan. That doesn't mean the value of the overpriced piece of metal is what the sucker paid. It just means he's stuck paying for something je overpayed for otherwise his credit goes bust and he;s screwed.
Bottom line, a peice of metal is only worth what someone else is willing to buy it for. Right now, yea, nobody is buying anything.
This company has no cash issues. This company is a cash machine with 9B+ k-cups sold last year.
every great brand has offered at one time another a blip where it has sold off tremendously. SBUX, NFLX, Under Armour, etc. You either buy and hold for the future or you don;t. Nobody forces anyone. Smart people take extra cash and just park it.
This is what warren buffet talks about...buy when blood is in the streets, and pretend the market will be closed the next 10 years. Coffee is not going out of style. Keurig isn;t going out of stile with more than 9B+ k-cups sold last year and more partnerships to be signed as well as potential new products.
Short term anybody's guess. Long term one will see 100's of % in gains over the next 60 months from this price point.
martin, income is going to die/decline. There were only 62 transfers last year in medallions. The price of a medallion has come down over 200,000 dollars in the last 16 months.
There is no action going on. UBER has not been destroyed, has gained a reliable client base where uber is the first some customers go to and cabs are back up if they show up before the uber.
Taxi business is not destroyed. But again, as has been stated here many times, what makes the medalllion worth 700,000 if there is no longer a monopoly? If the medallion was worth 450,000 a decade ago, now with 19,000+ non-taxi cars on the streets of ny, why would the same medallion be worth 700,000? Garage owners sit on many cars.
There is no real reason for the value of a medallion to be at 700,000 other than others have set the price at that level. But value is subjective. A medallion just isn't worth 700,000. Garages pay less rent to medallion owners for leasing as they cannot even loan close to all their cars other than on the weekends. Even then, the garage I use is hit or miss on the weekends. Sometimes they rent out 90%, others they are stuck with more than 50%. Its hit or miss.
There is no compelling reason to go out and take out a massive 700,000 mortgage on a medallion today with Uber in existence and that is all she wrote folks. There is no reason to risk ones credit and life savings on a piece of metal in a day and age when one doesn;t need one to make a living driving in nyc.
You would have to do the research yourself but I think there were over 130 last year. So down 50% YTD.
Now tell me...why does anyone need to buya 700,000 medallion when they can finance their own car and work the hours THEY personally want to work. A lot of people just don;t get it because they don;t do the job.
The yellow taxi works in two shifts. Day and night. An uber driver works literally whenevr he wants. Both jobs offer flexibility but Uber clearly wins hands down in terms of operating whenver you want.
These are two different services. With UBER, I'm sure there are lot of novice and part time people who burn out quick and don;t care to do the job but are in a pinch. I feel like yellow guys are more "'I'm here to stay" based on my experience at the garage and the guys I encounter.
But at the same time, none of these guys are buying one. They all gladly lease one and enjoy the flexibility...and the garages lately are stuck with a lot of covers so cabbies are getting the pick of their favorite cars without the virtue of owning one.
IT ain't so bad these days not owning one. One can even pay a little more to operate at peak hours, say 1PM-3 AM
I understand what he meant by .5 as in 500k? I was stating why just half a percent of medallions transferred when it became cheaper and therefore easier to buy? Why are only 62 people or partnets out millions of people in nyc coming to buy a medallion when it has fallen hundreds of thousands of dollars if the deal of the century is available?
right. In the last year, JUST 62 transfers were made despite the price of a medallion coming down hundreds of thousands of dollars. Why just .5%?
Nobody said they weren't. The question was over the value of a medallion if one can go out with their own financed car, do similar job as a taxi driver, and make the same money without one. What is the value then of the piece of metal if similar value is brought without one?
#$%$ are you talking about? Yes, you own a business by owning a medallion...but like with stocks and with any business when it comes to rent, what PRICE are you paying to own said business? For me, I have complete flexibility. I want to go in, I don't want to go in....doesn;t matter. For a driver with a mortgage, he is committing himself to the next 25 years of paying at minimum 3700/month for a piece of metal....this does not include car loans, car maintenance and insurance + gas.
Where is the dream? He is not truly impacting the loan until at least year 8, where he starts to see benefits.