Brussels, 29 January 2019 – The European Automobile Manufacturers’ Association (ACEA) announces that Gerrit Marx, the newly-appointed President Commercial and Specialty Vehicles at CNH Industrial, takes on the role of Chairman of ACEA’s Commercial Vehicle Board this year. This follows a recent structural reorganisation within CNH Industrial and its IVECO brand. The ACEA Commercial Vehicle… Continue reading Press Releases – Gerrit Marx takes on Chairmanship of ACEA Commercial Vehicle Board
Tag: Manufacturing
Ford Engineers Make Record-Breaking 3D Part to Help Bring Ken Block’s ‘Hoonitruck’ to Life
About Ford Motor Company Ford Motor Company is a global company based in Dearborn, Michigan. The company designs, manufactures, markets and services a full line of Ford cars, trucks, SUVs, electrified vehicles and Lincoln luxury vehicles, provides financial services through Ford Motor Credit Company and is pursuing leadership positions in electrification, autonomous vehicles and mobility… Continue reading Ford Engineers Make Record-Breaking 3D Part to Help Bring Ken Block’s ‘Hoonitruck’ to Life
UPDATE 1-Sweden’s Autoliv delays 2020 targets as car markets slow
STOCKHOLM (Reuters) – Sweden’s Autoliv forecast lower-than-expected organic sales growth this year and delayed its 2020 sales and margin targets, blaming a slowdown in car production and sales as well as an increase in raw material prices. The world’s largest maker of airbags and seat-belts said on Friday it was maintaining its targets of reaching… Continue reading UPDATE 1-Sweden’s Autoliv delays 2020 targets as car markets slow
Volkswagen Board Member for Human Resources: only a united Europe can master structural change and safeguard social accord
Kilian commits to intensive efforts for the transformation to e-mobility: “We strive to be pioneers in e-mobility and are therefore investing some €30 billion” Board Member for Human Resources asks political leaders to exercise discretion and use a sense of proportion with regard to the transformation: “If we lose sight of the social factor, we… Continue reading Volkswagen Board Member for Human Resources: only a united Europe can master structural change and safeguard social accord
GAC Motor Opens the Largest Sales and Service Center in Saudi Arabia
The opening ceremony featured the launch of GS7 SUV and GM8 minivan, and the vehicle delivery to major client, which was witnessed by over 100 VIP guests and media including Mr. Li Bei, Office Director of Embassy of the People’s Republic of China in the Kingdom of Saudi Arabia, Mr. Chen Hanjun, Vice President of… Continue reading GAC Motor Opens the Largest Sales and Service Center in Saudi Arabia
General Motors is investing $22 million in a Tennessee plant to build fuel efficient V-8 engines
Rebecca Cook | Reuters
Members of the media look at General Motors 2020 Cadillac XT6 SUV after it was revealed on the eve of press days of the North American International Auto show in Detroit, Michigan, January 13, 2019.
General Motors said Thursday it will invest $22 million in its Spring Hill manufacturing complex in Tennessee to build high-tech, fuel-saving V-8 engines.
The announcement follows a $300 million investment at Spring Hill to make the Cadillac XT6, a three-row sport utility vehicle unveiled at the Detroit auto show in mid-January. The automaker said it has sunk $2 billion into the plant since 2010.
It also comes months after the largest U.S. automaker said it will cut up to 14,000 jobs in North America as it realigns its product portfolio away from slow-selling sedans. No new jobs at Spring Hill will be added as a result of the engine investment, said GM spokesman Dan Flores, but the XT6 project will add more than 200 jobs there.
The engines make their way into a variety of full-size vehicles GM makes, notably the GMC Sierra 1500 pickup and the Chevrolet Silverado 1500 pickup truck. They are equipped with a technology that turns different cylinders on and off in the engine depending on the driver's needs. The engine can run all eight cylinders when power is needed for acceleration or towing, but can reduce the number of cylinders operating when not needed to save on fuel. The engines can be operated the eight cylinders in an array of 17 different patterns, depending on what is needed.
Spring Hill currently builds both four- and eight-cylinder engines and assembles an array of vehicles. In addition to the XT6, GM also makes GMC Acadia SUV, the Cadillac XT5 mid-size SUV and the Holden Acadia, an SUV made for export. The plant employs about 3,800 total workers.
“We in the UAW will continue to encourage and support GM investing in their U.S.A. plants like Spring Hill, Tennessee and around the country,” said Terry Dittes, United Auto Workers union Vice President and Director of the GM Department, in a statement. “Building product where you sell is good for our members, their families, the communities and all of America”.
WATCH: How automakers sell a $71,000 version of a $27,000 car
How automakers sell a $71,000 version of a $27,000 car
10:40 AM ET Thu, 28 June 2018 | 02:46
Blanquefort: Ford’s job protection plan rejected
It is a “boo” of relief for the 870 employees of the Blanquefort Ford factory. In a highly anticipated decision, the prefecture of Gironde said Monday night she was refusing the plan for safeguarding employment (PSE) filed on December 21 last year by the American manufacturer. The administration justifies its refusal to homologate the procedure… Continue reading Blanquefort: Ford’s job protection plan rejected
RIEGL has the next-gen lidar for your airborne, UAV, and land-based scanning needs
RIEGL has long been known for the quality of its lidar technology. One thing that often goes unnoticed, however, is the company’s unusual dedication to offering a wide range of systems—some that offer a great deal of flexibility across applications, some that meet the requirements of very specific applications, and a number of systems that… Continue reading RIEGL has the next-gen lidar for your airborne, UAV, and land-based scanning needs
Upcoming partial sale of the development center: works council mobilizes against sale of “Opel’s heart”
DPA Main building of Opel’s development center in Rüsselsheim Opel does not rest. In a leaflet, the works council fights against the impending Partial sale of the development center (ITEZ) to the external service provider Segula. The Segula deal “carries considerable risks” for those affected, according to the paper available to manager magazin. The change… Continue reading Upcoming partial sale of the development center: works council mobilizes against sale of “Opel’s heart”
Tesla downgrade by RBC means more analysts on Wall Street have ‘sell’ ratings than ‘buy’ on stock
Robyn Beck | Pool | Reuters
Tesla founder Elon Musk speaks at the unveiling event by “The Boring Company” for the test tunnel of a proposed underground transportation network across Los Angeles County, in Hawthorne, California, December 18, 2018.
Tesla was downgraded to underperform by RBC Capital, which said that the electric car maker has finally started to give some straight talk to investors about its future growth, but many are still not listening because they are still too enthralled by the company's founder and CEO Elon Musk.
Analyst Joseph Spak writes:
“It's not that we don't believe Tesla can grow over time, our model shows solid LT growth. But the current valuation already considers overly lofty expectations. For instance, let's assume 1mm [Model 3] units @$55k ASP, 12 percent EBIT margins, no interest/equity raise all by 2025. This is undoubtedly solid earnings, but at a more 'mature' 15x P/E, the discounted back value is ~$195, meaning even in an optimistic case at least 1/3rd of today's price is an 'Elon premium'.”
Tesla shares fell 1.5 percent in premarket trading Wednesday following the call. Through Tuesday, the stock was down 10 percent on the year to $298.92.
“The company seems to be more tactful with messaging which is a long-term positive, but means downward pressure to growth expectations – which in our view are too high to justify current levels, let alone to add to positions,” wrote Spak.
In the latest round of cost-cutting measures, Tesla said last week that it would cut 7 percent of its workforce and discontinue production of some other models to focus on the Model 3. Musk also said that the company likely achieved a “tiny profit” in the fourth quarter.
“For years, Tesla sold the dream of transportation disruption and fantastic growth. This served the stock well turning Tesla into a top 6 (at times top 3) valuable auto OEM despite delivering a fraction of units of others and nary a profit,” wrote Spak. “A stock should of course discount future cash flows and the market took the promises of Tesla and their future growth potential to justify lofty valuations while Tesla took capital needed to support their endeavors. But the rubber appears to be hitting the road as the realities of Tesla becoming a volume player, the challenges to scale and deliver high volume at high ASPs/margins are coming to a head.”
More buys than sells
RBC lowed its price target to $245 from $290. With Spak's rating change to underperform (the equivalent of a sell), there are now more analysts on Wall Street that say sell Tesla, than buy it. Eight analysts say “buy,” seven say “hold” and nine now say “sell,” according to TipRanks.com. It's rare for a stock as popular as Tesla to have a majority of analysts that say sell. The negative rating is still relatively rare, with most analysts typically using a “hold” rating to voice their displeasure with a stock. For comparison, Apple has zero sell ratings, according to TipRanks.
“Whether its cutting the price of their lineup by $2k/unit, admission the federal tax credit expiring will hurt, acknowledgment that Tesla can't sell at $35k Model 3 profitably and costs need to come down, or language around full-self driving – we'd classify recent commentary and actions by the company as more realistic,” stated the RBC note. “This is likely to cause a review of model assumptions leading to negative expectation revisions.”
— With reporting by Michael Bloom