looking at the sp Inchcape appears to have withstood the big fall in sp. down c.50% since Aug07 - the start of the Credit Crunch . . . . .

By comparison look at INCH and PDG (Pendragon) - from abouit 2005/6 they are somewhat similar (ignore noise!) and then at Aug07 the charts change - such that Pendragon is now about 80% down.

Why has Inchcape fared so much better?

They claim they are "independent" - but I can't imagine this means they are not tied to the Manufacturers - otherwise they won't get the best discounts, will they?

So when will INCH suffer similar falls....?

Can't say I'm impressed by Inchcape's website - far too strong on investor relations...which really means no information at all.....where are the Best Car-Deals?

EDIT (12Nov08), some Director-buying boosted this to 78p, but it slipped back on Media News that car sales are dire (and Retail!), so I suppose no-one expect this to improve for another year - 50p someone?
(Last month Dir-Buy was minute - 7k which wouldn't buy a Dir-car....oops!)

I read that porky its getting worse out there.

40p sometime this week.

Market up 10% and Inch still manages to fall 7% sums it up really.

Big mistake not to buy at 40p now 50% up and rising.

Market not keen on high gearing cos especially consumer facing stocks. Inchcape caught out by the sudden surprise slump in car sales although about 50% of profits come from spare parts and servicing. As for sp, I was surprised they fell so low given cos spread of interests worldwide. Fingers crossed.

Inchcape profit warning - MoneyAM

Inchcape said sales for the first eleven months were 3.5% down in constant currency terms. The car retailer said like for like group sales were 4.9% down in constant currency terms.

The operating margin was 4.3%.

Despite the weakening trading conditions in many markets around the world, Inchcape said it expects to report underlying results for 2008 in line with previous expectations.

The company said, 'Since our previous update we have undertaken a further level of restructuring in our European businesses. As a consequence, the total restructuring cost for 2008 (including the write-off of goodwill on Latvia) will now be 85m compared to 75m as previously reported. The annualised benefit from this restructuring is expected to increase from 50m to approximately 55m.

Inchcape said it now expects more substantial sales declines than previously estimated due to the global recession and significant reduction in credit availability.

It also expects the Russian market to decline in 2009 impacted by the increase in import duty on cars and the likelihood that a number of manufacturers will change to US Dollar pricing of vehicles.

Accordingly, we would expect our underlying results for 2009 to be significantly below our previous expectations' Inchcape said.

'Given current market conditions and the expectation that trading will remain difficult going forward, the Board will not be recommending payment of a final dividend for the year ending 31st December 2008,' it added.

Commenting on this statement, AndrLacroix, Group CEO, said: 'Despite weakening trading conditions globally, we expect to report underlying results for 2008 in line with our previous expectations. The unprecedented and rapid downturn faced by the car industry around the world will impact our results in 2009.

However, markets will recover in due course and we believe that Inchcape is best positioned to benefit from its strong market positions and its long standing relationships with the leading OEMs in the industry'.

Car sales are they OK..?

Car sales OK? - Don't think so. A moderately new car can be kept for a few years longer and lose nothing -(since the Big Drop is in the first years)....and anyone with an "older" car doesn't really care, so they can wait for secondhand prices to look attractive.

If you are thinking of buying a 30k car - far better to keep the one you have and invest the difference - many of the FTSE stocks are "bound" to rise - - - whereas a Car will not!

I don't understand the notion that having an International business means INCH won't be affected - isn't this collapse "Worldwide"? - and - - I don't like the size of "restructuring" - wasn't there a case beforehand - - - Companies always need to keep costs under control.

INCH may have to keep their cars until they get rusty.

Inchcape down; Panmure cuts target price to 50p

Shares in Inchcape slip over 4 percent as Panmure Gordon cuts its target price to 50 pence, from 70 pence, in the wake of the car retailer's 2009 profit warning earlier this week.

'While it is likely to breach banking covenants, investors can only adopt a wait-and-see approach as the company is now pretty much in the hands of the banks,' says Panmure in a note.

'We do think there is strategic value in the group, although this is unlikely to be recognised over the next six months or so until the worst of its problems are over and some green shoots of recovery are in place,' says the broker, which keeps its 'hold' recommendation.

Citigroup downgrades Inchcape to Hold
MoneyAM
Citigroup has cut car retailer Inchcape from Buy to Hold and slashed its target price for the shares to 40p from 110p.

It points to:
* two profit warnings in two months
* collapse to double-digit declines in all markets
* zero dividend
* ongoing negotiations with bankers to agree new covenants
* no recovery in revenue trends expected until 2011

Now Ferrari has gone into administration... it is really not a very reliable car... at least Skoda is still with us.

mitzy - 24 Nov 2008 08:56 - 9 of 20
40p sometime this week.
BETTER LATE THAN NEVER.

Reading Autocar weekly yesterday and they were recommending the government use a stimulus package for the auto industry whereby people trading in cars over 10 years old with a new or secondhand car would receive 2000 off a new or year old model. Apparently this has been done in 7 other countries and would cost approx. 540 million but VAT receipts would reduce that 160 just a days printing really! Might be good for inch though which looks to have plateaued and would help CO2 emissions. Might have to buy an old shitbox from the auction and do likewise!

Nearly there
http://www.timesonline.co.uk/tol/news/politics/article5904540.ece

Thats quite an impressive break-out.

Quite an impressive breakdown!

UNLUCKY ONLY 13p

GM is preparing for bankruptcy, not good news for Inchcape.