Here is my DD for GT. Again, I used Joseph Piotroski method to get a feel for the company. Here is an article that describes his approach.http://www.winninginvesting.com/best_busted_stocks.htmI was lazy and used 2002 and 2001 year-end results as GT has not published FY03 and 4Q03 results. My results on the nine points using MSN financials for my numbers are:#1--FAILED Positive Net Income for 2002 at $-1.1B#2--Positive Cash Flow for 2002 at $676M#3--Earning Quality, e.g., #2 > #1#4--FAILED Decreasing Debt, 95%(12496/13146) for 2002 > 78%(10648/13512) for 2001#5--FAILED Increasing Working Capital, 1.28(5226/4071) for 2002 < 1.57(5255/3326) for 2001#6--Improving Productitivity, 1.053(13850/13146) for 2002 > 1.045(14127/13512) for 2001#7--FAILED Growing Profitability, -.084 (-1105/13146) for 2002 < -.015 (-203/13512) for 2001#8--FAILED Issuing Stock, 175M in 2002 > 163M in 2001 #9--FAILED Competitive Position, 22.4% (876/3906) in 3Q2003 < 22.7% (3138/13850) for FY2002 So, GT passed on 3 of the 9 criteria. Per the article, five points are a passing grade, and the higher the better.Other concerns with GT are:. 6-years the price has been dropping. Current investigation into accounting practices. Delays in filing of 2003 annual reportI know this is personal for BMW and I do understand. I have always drove GM Cars. However, this looks like a company that may go belly up. I am going to pass on GT for the time. If the price would go to $2 or $3 then I would have to reconsider the risk/reward equation.Comments are welcome.Cheers, RGA
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