This morning before the open, used car seller CarMax (KMX) reported a dramatic falloff in sales in June and July. Comparable used unit sales fell by an average of 17% in June and July compared to last year! (KMX Press Release) …
I’ve come across some really good pieces the last couple of days that I want to share: “Generalists can have some advantages, including being able to ‘focus on the true, single hinge issue’ of a company’, says Lisa Shalett [former…
Today after the close Washington Mutual (WM) announced a $3.3 billion 2nd quarter loss driven by a $6 billion provision for loan losses (WM Earnings Release). WaMu has a quarter trillion dollar ($250 billion) loan portfolio, almost entirely in real…
As we all know, the housing market is driving everything in this bust. And the financials, as the source of all the financing for the housing market, have borne the brunt of the pain and have led the entire stock…
Cash America (CSH), operator of about 500 pawn shops in the United States, today significantly increased their expectations for 2nd quarter earnings. Pawn shops make money by lending money that is collateralized by the borrower’s personal possessions such as jewelry…
The Wall Street Journal had an interesting article today (“Small Banks Reckoning Day Is Coming” (subscription required), Wednesday July 2, C2) on rising delinquencies on construction loans made to builders by regional banks. This chart of soaring delinquency rates on these loans…
Slow U.S. economic growth and an unprecedented increase in the cost of fuel have resulted in lower-than-expected U.S. package volume and an accelerating contraction in the use of premium air products. In addition, the anemic U.S. economy is negatively impacting…
The people who created this country built a moral structure around money. The Puritan legacy inhibited luxury and self-indulgence. Benjamin Franklin spread a practical gospel that emphasized hard work, temperance and frugality. Millions of parents, preachers, newspaper editors and teachers…
The unemployment rate rose from 5.0 to 5.5 in May, and nonfarm payroll employment continued to trend down (-49,000), the Bureau of Labor Statistics of the US Department of Labor reported today. – May Jobs Report, BLS If Iran continues…
Retailers reported supposedly strong May sales this morning. But I don’t know that they were really all that strong. Discounters like Walmart and Costco were strong. But department stores and speciality retailers weren’t all that strong. To me, it continues…