International Speedway Corp (NASDAQ:ISCA)

https://www.kiplinger.com/columns/value/archive/5-stock-picks-from-morningstar.html

When you are pessimistic, what costs do you defer firs?

As long as the economy doesn't tank again, there seems to be plenty of disposable income for racing.

NASCAR has a huge draw. ISCA has 13 major speedways, low debt, and good business model....start yer engines.

Huge P/E, low debt, a fair dividend and a recovering growth curve. This company is going to go.

Outperform

wide moat

Nascar has a huge following in the US. It's almost impossible to imaging Nascar dying off entirely, higher fuel prices or no. Fan loyalty, especially to the best tracks, is very strong. And International Speedway has a very strong relationship with Nascar's sanctioning body and most of the best tracks.

Wide moat stock trading at 51% of fair value ($51)

Once the economic recovery takes hold, this stock will take off. Fans are extremely loyal to NASCAR and are just waiting until they can afford tickets again to send this stock higher.

DIS paints it's frontstrech grandstands, this isn't because the seats are full.

I like this stock on moat insider buy's and fans as wacked as the NHL

big moat

Racing attendance is down..the Brickyard was ran horribly...

the rapid growth of nascar in the late 90's early-mid 2000's has long cooled down. attendance at many ISC tracks for NASCAR are down, and I expect them to level or drop further. NASCAR is alienating much of its traditional fan base who don't like the influx of foreign born drivers and foreign manufacturer nameplates in the sport. Its growth into the international market has been iffy at best (mexico city attendance down).

The unified indy car series is picking up momentum and getting more mainstream media coverage. This may eventually cut into NASCARs coverage, and indy car may even take some of nascars sponsors in a few years. although the indycar series currently races at 5 ISC tracks, ISCs relationship with the IRL has been poor (due to ISCs close relationship it NASCAR, and the IRL is a competitor to NASCAR); indycar previously raced in as many 8 ISC tracks and the number will probably drop to 4 next year and maybe further.

Rising oil prices will hurt nascar significantly, and in turn, ISC. NASCAR is not exploring alternative fuel and alternative energy technologies like ethanol, turbo diesels, or regenitive braking, etc like IRL, ALMS, F1 are. In addition to the rising costs hurting teams and fans (transportation costs) NASCARs image will look environmentally unfriendly as "green" becomes more fashionable.

NASCAR really has nowhere to go but down at this point, and I expect NASCAR to pull down ISC, even more then SMI.

Ricky Bobby.

It's the season and if noone can afford to drive across the nation to pay for some extravagant vacation they may be able to pay for the closest NASCAR.

Racetracks like Daytona and Talledega are the Lambeau Field of motorsports. The same people who own NASCAR own the majority of ISCA, bringing long-term stability. Future growth into the Pacific Northwest and Greater New York area could bring a short-term downturn, but company is well suited to provide quality returns over the long haul.

I am a big Nascar fan, and its a new year with the new car, The racing should be a lot better this year.