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Re: sliverbullet post# 1013

Wednesday, 12/03/2008 8:58:04 PM

Wednesday, December 03, 2008 8:58:04 PM

Post# of 2594
Bullreporter.com Tags Selected Auto Sector Stocks as 'Outstanding Opportunities'



NewswireToday - /newswire/ - Chattanooga, TN, United States, 12/03/2008 - Bull Reporter Tags Auto Sector Stocks GM, F, DAN and DSHL as opportunities.



The Bullreporter Newsletter selected four auto sector stocks as "outstanding opportunities" today as Detroit's Big Three prepare to pitch the US Congress for government assisted bridge loans. General Motors (NYSE: GM), Ford Motor Company (NYSE: F), Dana Holding Company (NYSE: DAN) and DIAS Holdings, Inc (OTCBB: DSHL) were all identified by The Bullreporter Newsletter as stocks to watch as the Big Three submit their respective comprehensive business plans to the nation's lawmakers this week.

Bullreporter highlighted the following reasons for traders and speculative investors to take note of the auto sector stocks:

General Motors Corp. (GM: price: 4.59): General Motors, the largest auto maker in the US, is considering the sale of its SAAB and Hummer nameplates. An alternative plan would see SAAB and Hummer reorganized with their vehicles sold at GM's highly respected Cadillac dealerships in order to provide a more efficient sales, marketing and distribution platform for the two divisions.

Ford Motor Company (F: price: 2.55): Ford Motor Company is considering selling Volvo Car Corp to strengthen its balance sheet. Ford is asking for up to 9 billion in bridge financing but has stated that it hopes to complete its transformation without accessing the loan if Congress approves the funds.

Dana Holding Corp (DAN: price: .78): Dana is a world leader in the supply of axles; drive shafts; and structural, sealing, and thermal-management products; as well as genuine service parts. The company's customer base includes virtually every major vehicle manufacturer in the global automotive, commercial vehicle, and off- highway markets, which collectively produce more than 70 million vehicles annually. Many questions surrounding Dana's .near term outlook could be answered if Congress acts favourably on the requests of The Big Three.

DIAS Holdings, Inc. (DSHL: price: .12): In its recently filed 10Q, DIAS Holdings, Inc. reported impressive top line sales growth through the third quarter, with sales topping 12 million dollars (US). Bullreporter highlighted that DIAS is currently trading at well less than a 1 times sales multiple in spite of its growth.

DIAS Holdings, through its Asia Forging Supply Company subsidiary, manages the production contracts of over 60 automotive suppliers to customers in North America, Europe, and Asia, including OEMs, Tier 1 & 2s in the automotive, furniture, and metal working industries.

The Bullreporter noted DIAS's Asia Forging Supply Company subsidiary was continuing to contribute very strong results in an otherwise very unfavourable atmosphere for most auto related companies. Bullreporter attributed this strength to the fact that the DIAS business mix finds approximately 60% of its sales are related to the aftermarket auto parts business and the significant sales boost aftermarket suppliers often get historically when new car sales are weak.

Bullreporter also stated that another division of DIAS, The Detroit International Auto Salon, could be helped if Congress bails out The Big Three as this may encourage Big Three suppliers to work through the Detroit International Auto Salon to secure Asian outsourcing for price point efficiencies going forward.

The Bullreporter stated that all four of these auto related companies appear to be extremely undervalued and exceptionally timely given that Citigroup stock (NYSE: C) more than doubled in price immediately following the recent approval of government funds to help the troubled bank. After the Citigroup bailout, the entire banking sector put on a very impressive and "tradable" rally.

http://messages.finance.yahoo.com/Stocks_(A_to_Z)/Stocks_D/threadview?m=tm&bn=39502&tid=2899&mid=2899&tof=2&frt=2

We are apt to shut our eyes against a painful truth... For my part, I am willing to know the whole truth; to know the worst; and to provide for it. --Patrick Henry, Patriot and Hero of the American Revolution

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