Cramer's First Hour, Part 2 -- EVs -- October 4, 2024

Locator: 48489CRAMER.

Cramer's first hour: a mix of facts, factoids, opinions from various sources -- often not cited -- while listening to Cramer's first hour on CNBC.  

Cramer: wrong on Rivian.

• But he does admit he really doesn't know. He appears to be talking his book when it comes to Rivian.  
• Link here. 
• The company said the lower production target — down from 57,000 units to between 47,000 and 49,000 — was because of a “production disruption due to a shortage of a shared component” for its R1 vehicles and commercial van.
• Rivian spokesman said the component causing the problem is part of its in-house motors, but he declined to disclose any further details.

EVs: the memo is here. Needs government support. Wow, how much more support do they need? Mandates, tax credits. 

Stellantis: why autos get low multiples. Direct to Barron's. 

The problem for Stellantis isn’t with EVs or hybrids. It’s a more conventional issue.

The company let dealer inventory levels get far too high.

U.S. inventories for Dodge dealers ended August at almost 150 days of sales, up from 116 a year ago.

The industry tries to work with about 60 days of inventory on dealer lots.

The company has blamed poor marketing among other things. [Who is responsible for marketing?]

Whatever the root cause, the situation has angered dealers.

“The reckless short-term decision making to secure record profits in 2023 has had devastating, yet entirely predictable consequences in the U.S. market” reads part of a September letter from Stellantis’ U.S. National Dealer Association.

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• I am inappropriately exuberant about the US economy and the US market.
• I am also inappropriately exuberant about all things Apple. 
• See disclaimer. This is not an investment site. 
• Disclaimer: this is not an investment site. Do not make any investment, financial, job, career, travel, or relationship decisions based on what you read here or think you may have read here. All my posts are done quickly: there will be content and typographical errors. If anything on any of my posts is important to you, go to the source. If/when I find typographical / content errors, I will correct them. 
• Reminder: I am inappropriately exuberant about the US economy and the US market.
• I am also inappropriately exuberant about all things Apple. 
• And now, Nvidia, also. I am also inappropriately exuberant about all things Nvidia.