USA Truck, Inc. (USAK)
A dry van truckload carrier transporting general commodities throughout the continental United States and into and out of Mexico and portions of Canada.
Recs
Low supply of freight coupled with high fuel prices do not lead to a sound bottom line. I'm shorting this until the dollar strengthens and fuel prices head back towards $2.50-$3/gal instead of $4-4.50.
Poor valuation, fundamentals and analyst ratings.
Recs
The 1929-1930 equity rally (coming out of The Great Depression) lasted 147 days and the market was up 46%. It has been the same amount of time since the March, 2009 low and we are up about the same percentage. It’s déjà vu (paramnesia), so prepare for a drop of about the same percentage (85%).
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The ticker is "you sack." That just screams BUY.
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growing year to year earnings for the last five years. current quarter is bad and missing earnings in 2006. so the stock is beaten down crying buy. I bought!
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Usak is Truckload company foolishly competent and long on experience. It has demonstrated its ability to run with the Big dogs and quitely build its fleet size and logistical operations. A boring but foolishly effective. Its stock price has been hammered down but its business still grows.
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With high fuel prices and a general decline in demand for consumer goods, I simply don't see how this company can expect to do well in the near future.
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A recessions a coming this summer and high oil prices are not going away since the falling dollar is to blame, and continued inflation is not going to bring the value of the dollar up any time soon. Burnanke was not helping this country by bailing out the crust of American society. Also, Bush's stimulus package didn't help the upward inflationary pressure that is killing this countries middle class. Sorry about my rant but anyway my point is to sell trucking since rail is about to take over from the high price of fuel.
Recs
When the overly optimistic FOMC says that household spending will be "constrained" by sluggish income growth, ongoing job losses, lower household wealth, and tight credit AND Shanghai stocks hit a seven-week low, then you know this bear market rally is finally over!

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