Aug. 20 at 10:01 PM
$CVGI Well, I think it is a long time before we get any kind of trigger. To be honest it seems like there is no connection between class 8 truck orders and this company's earnings. Which is something I think many of us believed there was. Having 6-9 months of really good class 8 numbers and then absolutely nothing showing up in CVGI numbers is definitely disappointing. Also, all these sale-leaseback transactions are fine, but they do not really change anything. If the company follows IFRS16, these leases are just as much debt on the balance sheet as their long-term debt. It gives them liquidity, yes - but it doesn't really change anything on their balance sheet. You're just swapping illiquid assets for liquid ones.
Anyway, the good news is that book value is still around 3.95 - so if they can just at some point demonstrate an ability to actually make money - and let's not forget, that is really the main objective here - then the stock should be fine.
