I’ve mentioned my fondness for the auto sector recently. About a month ago I read a very compelling piece about how the auto makers had gone completely over the top “stuffing” sales throughout the world, relying heavily on subprime loans to do so. It made intuitive sense to me that sales would eventually suffer as they were basically pulling the same thing home builders were doing in 2004-2007.
Anyway, it’s starting to show with General Motors (NYSE:GM).
Ford Motor Company (NYSE:F)
And pretty much any company with the word “automotive” in the name: Group 1 Automotive Inc (NYSE:GPI)