Will Coronavirus hit used car prices?
Discussion
growlerowl said:
I just think both points you made are seriously iffy ie firstly only a fool would hold them to anything like their pre-CV forecasts and secondly suggesting the CFO is engaged in some kind of crude underpromise/overdeliver strategy given the constraints of his fiduciary responsibilities etc is silly - the man could go to prison for inaccurate statements fgs
Any company will realign their forecast to prevailing conditions in a situation like this rather than not deliver to previous targets. Targets they can then actually deliver to, or exceed.End of.
Vroomer said:
Deep Thought said:
Because it comes back to what i said very early on in this thread - people tend not to give a monkeys about the fact that other people (particularly in different industries) may be getting made redundant.
Fundamentally many people have at least as much money in their pocket, if not more, than pre-lockdown. They dont give a monkeys if, for example airline staff are being laid off.
Maybe they should (because it could be indicative of whats to come) - but typically they dont.
They may not be worrying about the people who have been made redundant, but the people who have been made redundant will stop spending.Fundamentally many people have at least as much money in their pocket, if not more, than pre-lockdown. They dont give a monkeys if, for example airline staff are being laid off.
Maybe they should (because it could be indicative of whats to come) - but typically they dont.
Joey Deacon said:
It never ceases to amaze me that so many people seem to have so much money. I don't know how they do it, but a lot of people have a lifestyle that exceeds what is possible on their salary and it can't always be a case of being financed up to their eyeballs.
The only rational explanation is that a lot of people have been given money by their parents or they simply inherited money. I suppose with house prices the way they are, it only takes one dead grandma to leave you more money than you could potentially save in a lifetime.
It can be perception eg at Uni the rich kid (with a new 1.1 Golf bought by Daddy) thought I was wealthy as I had an Audi 100 2.2 - it cost me £500The only rational explanation is that a lot of people have been given money by their parents or they simply inherited money. I suppose with house prices the way they are, it only takes one dead grandma to leave you more money than you could potentially save in a lifetime.
It can be wealthy family - I know several who are giving family members large sums to reduce tax when they die, I know others who's parents pay for schools / holidays etc
It can also be astute purchasing - one mate bought new cars with a waiting list and had free motoring for probably 10 years by selling them 3/6/12 months later for at least what he paid for them
Deep Thought said:
And wont they look great when they exceed that very low expectation they have now set?
If i were a CEO or CFO of a listed company, i'd want to get all the bad news out there right now when there is an expectation that things are bad so i could then over deliver on expectations.
It's what governments have done for many years.If i were a CEO or CFO of a listed company, i'd want to get all the bad news out there right now when there is an expectation that things are bad so i could then over deliver on expectations.
Edited by Deep Thought on Thursday 2nd July 10:07
Masiv said:
Deep Thought said:
And wont they look great when they exceed that very low expectation they have now set?
If i were a CEO or CFO of a listed company, i'd want to get all the bad news out there right now when there is an expectation that things are bad so i could then over deliver on expectations.
It's what governments have done for many years.If i were a CEO or CFO of a listed company, i'd want to get all the bad news out there right now when there is an expectation that things are bad so i could then over deliver on expectations.
Edited by Deep Thought on Thursday 2nd July 10:07
DonRustone said:
It never ceases to amaze me that so many people seem to have so much interest in other people's finances and lifestyles.
But perhaps I'm just in the minority in not caring what other people spend their time or money on?
This whole thread is about what other people will/won’t spend their money on But perhaps I'm just in the minority in not caring what other people spend their time or money on?
growlerowl said:
Deep Thought said:
Better - i would have thought - to say "its going to be really s
t" and then over deliver than "lads we reckon its going to be ok" and under deliver.
You honestly think this is the level at which the CFO of Audi operates?t" and then over deliver than "lads we reckon its going to be ok" and under deliver.jsf said:
growlerowl said:
Deep Thought said:
Better - i would have thought - to say "its going to be really st" and then over deliver than "lads we reckon its going to be ok" and under deliver.
You honestly think this is the level at which the CFO of Audi operates?t" and then over deliver than "lads we reckon its going to be ok" and under deliver.Really?
You sure about that?
Deep Thought said:
Yup. I'm not sure why such a tactic came as a surprise to growlerowl.
Come off it. We all know your game, which is to adopt this man of the world, seen it all before, worldy wise persona and attempt to undermine all evidence that doesn't fit the narrative you are trying to support. On these particular points what you are suggesting is laughable. The CFO is under multiple obligations legal and professional to give an accurate picture. His words have the potential to move markets with billions at stake. He could end up ruined, destitute and in prison for playing the type of games you suggest. Get real. You're just undermining any decent points you might otherwise have had with this King Canute act. Deep Thought said:
Masiv said:
Deep Thought said:
And wont they look great when they exceed that very low expectation they have now set?
If i were a CEO or CFO of a listed company, i'd want to get all the bad news out there right now when there is an expectation that things are bad so i could then over deliver on expectations.
It's what governments have done for many years.If i were a CEO or CFO of a listed company, i'd want to get all the bad news out there right now when there is an expectation that things are bad so i could then over deliver on expectations.
Edited by Deep Thought on Thursday 2nd July 10:07
The market also will price the share so he can't say everything's rosy if its completely contrary to a standing economic position as it then makes him look incompetent or a liar.
Deep Thought said:
jsf said:
growlerowl said:
Deep Thought said:
Better - i would have thought - to say "its going to be really st" and then over deliver than "lads we reckon its going to be ok" and under deliver.
You honestly think this is the level at which the CFO of Audi operates?t" and then over deliver than "lads we reckon its going to be ok" and under deliver.Really?
You sure about that?
growlerowl said:
Deep Thought said:
Yup. I'm not sure why such a tactic came as a surprise to growlerowl.
Come off it. We all know your game, which is to adopt this man of the world, seen it all before, worldy wise persona and attempt to undermine all evidence that doesn't fit the narrative you are trying to support. On these particular points what you are suggesting is laughable. The CFO is under multiple obligations legal and professional to give an accurate picture. His words have the potential to move markets with billions at stake. He could end up ruined, destitute and in prison for playing the type of games you suggest. Get real. You're just undermining any decent points you might otherwise have had with this King Canute act. I dont believe Audi are going to set revised expectations they dont believe they can meet or exceed.
Granted for a large organisation theres a balance to be found because of the impact on share price but there is still an element of manipulation and realignment of expectations that can be done.
jsf said:
Deep Thought said:
jsf said:
growlerowl said:
Deep Thought said:
Better - i would have thought - to say "its going to be really st" and then over deliver than "lads we reckon its going to be ok" and under deliver.
You honestly think this is the level at which the CFO of Audi operates?t" and then over deliver than "lads we reckon its going to be ok" and under deliver.Really?
You sure about that?
Pommy said:
To add some balance thats not necessarily what CEO's do as ultimately they are rewarded on performance and maintenance of company value and share price. You don't see many CEO's espousing a bad run ahead because it instantly sends share prices down or inhibits share price growth. To do that and then beat expectations is a gamble so its much easier to be bullish and try to maintain share prices.
The market also will price the share so he can't say everything's rosy if its completely contrary to a standing economic position as it then makes him look incompetent or a liar.
Talking of company share prices, Lookers share trading has now been suspended by the FCA pending the £19 million accounting black hole outcome. A big player in big trouble. The market also will price the share so he can't say everything's rosy if its completely contrary to a standing economic position as it then makes him look incompetent or a liar.
Deep Thought said:
growlerowl said:
Deep Thought said:
Yup. I'm not sure why such a tactic came as a surprise to growlerowl.
Come off it. We all know your game, which is to adopt this man of the world, seen it all before, worldy wise persona and attempt to undermine all evidence that doesn't fit the narrative you are trying to support. On these particular points what you are suggesting is laughable. The CFO is under multiple obligations legal and professional to give an accurate picture. His words have the potential to move markets with billions at stake. He could end up ruined, destitute and in prison for playing the type of games you suggest. Get real. You're just undermining any decent points you might otherwise have had with this King Canute act. I dont believe Audi are going to set revised expectations they dont believe they can meet or exceed.
Granted for a large organisation theres a balance to be found because of the impact on share price but there is still an element of manipulation and realignment of expectations that can be done.
They'll also have a bunch of private information as to orders being received, or rather not, enquiries and enough data to work out where they are headed months before they get there. Any large manufacturer needs to forward plan supply and materials purchasing months, sometimes years prior. They obviously have firm data that tells them theyre headed for a storm.
Deep Thought said:
I never said false statements. I said statements that demonstrated revised targets and objectives that could be met or ultimately exceeded against a backdrop of difficult market conditions.
You stated the CFO should give out false information. That can see you in jail.Throttlebody said:
Pommy said:
To add some balance thats not necessarily what CEO's do as ultimately they are rewarded on performance and maintenance of company value and share price. You don't see many CEO's espousing a bad run ahead because it instantly sends share prices down or inhibits share price growth. To do that and then beat expectations is a gamble so its much easier to be bullish and try to maintain share prices.
The market also will price the share so he can't say everything's rosy if its completely contrary to a standing economic position as it then makes him look incompetent or a liar.
Talking of company share prices, Lookers share trading has now been suspended by the FCA pending the £19 million accounting black hole outcome. A big player in big trouble. The market also will price the share so he can't say everything's rosy if its completely contrary to a standing economic position as it then makes him look incompetent or a liar.
jsf said:
Deep Thought said:
I never said false statements. I said statements that demonstrated revised targets and objectives that could be met or ultimately exceeded against a backdrop of difficult market conditions.
You stated the CFO should give out false information. That can see you in jail.Throttlebody said:
ettore said:
Throttlebody said:
Sure, leave it to the main man - official data from Audi AG and their CFO:
Outlook: expectation of weak performance of global economy and car markets with a clearly adverse impact on deliveries of the Audi brand and on the revenue and operating profit of the Audi Group.
....mainly because they've had a factory shutdown for a quarter of course. Outlook: expectation of weak performance of global economy and car markets with a clearly adverse impact on deliveries of the Audi brand and on the revenue and operating profit of the Audi Group.
Supply chain is still buggered but he’ll have a reasonable view of the volume for the full year and y/e results will be comparatively s
te. Doesn’t mean prices won’t be ok though!Gassing Station | General Gassing | Top of Page | What's New | My Stuff