Autos

Tech and auto bosses form an awkward carpool

11 Jan 2021

Shares of South Korea’s Hyundai are up 30% on reports of a tie-up with Apple for self-driving vehicles. Selling software could ramp up margins for carmakers and alleviate technology headaches. But joining forces is a shortcut that could prove hazardous down the road.

Corona Capital: U.S. college football

6 Jan 2021

Concise views on the pandemic’s corporate and financial fallout: U.S. college football programs are in a talent arms race for coaches, a bit like companies' quest for top-ranked CEOs, despite the pandemic's impact on revenue.

Brexit throws down electric gauntlet to UK cars

4 Jan 2021

Britain’s motor industry has escaped European Union tariffs that would have hobbled half its output. But to meet export rules on low-carbon vehicles by 2024, Prime Minister Boris Johnson needs to ramp up battery output. Convincing groups like Nissan and BMW to stay will be tough.

Viewsroom: Predictions and prescriptions (Part 2)

31 Dec 2020

A Joe Biden-Xi Jinping reset will be unsatisfying; China’s economic revival will frustrate critics; Southeast Asia will be the next tech hot spot; HSBC will retreat from America; and Hong Kong’s exchange will rethink deals. Pete Sweeney, Jennifer Hughes and Robyn Mak discuss.

China’s WM Motor will overtake Tesla wannabes

24 Dec 2020

The electric-car maker is set to list on Shanghai’s Star Board. It’s late to market and underhyped compared to Elon Musk’s operation and local rivals like Nio or Xpeng. But having targeted the mass market, a gross profit will already be in sight when it lists.

Viewsroom: Predictions and prescriptions (Part 1)

23 Dec 2020

Governments will become activist investors; U.S. airlines will merge; data centres will be the new ESG target; energy giants to consider renewable spinoffs; Tesla will buy Daimler; European soccer gets more American and more. Rob Cox, Peter Thal Larsen and Lauren Silva weigh in.

Corona Capital: Tesla’s Apple snub

23 Dec 2020

Concise views on the pandemic’s corporate and financial fallout: Tesla boss Elon Musk asked to meet with Apple back in the day, and got rebuffed. Musk’s company has been the better investment recently, especially during the Covid-19 period. That doesn’t mean Tim Cook missed out.

Volkswagen pact helps CEO more than returns

15 Dec 2020

The German carmaker has made a statement in support of boss Herbert Diess, allowing him to appoint key allies and cut some costs as it moves to electric cars. The agreement should end a long-running dispute with unions. Investors hoping for higher returns face a lengthier wait.

Ferrari’s next boss will need luxury credentials

14 Dec 2020

The race is on to replace CEO Louis Camilleri, who suddenly quit. Fiat boss Mike Manley ticks many boxes, but John Elkann, chair of both groups, needs him to smooth a merger with Peugeot. Leading $42 bln Ferrari will be as much about enhancing its bling status as engine parts.

Corona Capital: NFL’s ad fumble

14 Dec 2020

Concise views on the pandemic’s corporate and financial fallout: This year fewer people are watching the National Football League, and that means broadcasters like Comcast’s NBC are lowering prices for commercials or offering free ad space.

Corona Capital: Supercars, Cooking, Home working

10 Dec 2020

Concise views on the pandemic’s corporate and financial fallout: Debt-laden carmaker McLaren tries to hitch a ride on the SPAC bandwagon; meal-kit deliverer HelloFresh’s virus feast only goes so far; and America’s working-from-home boom survives the crisis.

Uber’s ambitions shrink faster than its losses

8 Dec 2020

The ride-hailing service is selling its self-driving unit and will take a stake in the autonomous vehicle start-up that is buying the division. Lower aspirations will mean reduced costs but CEO Dara Khosrowshahi’s company is only valued at $95 billion because of its dreams.

Daimler could be Elon Musk’s Time Warner

3 Dec 2020

AOL merged with the media group back in 2000, parlaying its bubblicious share price into an old-line business. Electric-car maker Tesla, worth an eye-popping $540 billion despite a puny 0.8% global market share, could do something similar. The Mercedes owner is the best fit.

VW boss dilemma is about more than Herbert Diess

1 Dec 2020

The $90 bln carmaker’s CEO wants a contract extension beyond 2023. Diess is gaffe-prone but has the right strategy for moving to electric vehicles and extracting efficiencies. His contract debate is a proxy for whether VW’s board can face down unions trying to muddle that shift.

Beware Chinese used-car dealer’s sticker price

27 Nov 2020

Kaixin Auto is riding electric-vehicle enthusiasm with an odd plan to merge with e-commerce outfit Haitaoche. After going public by way of a shell company in 2018, just 2% of its shares are freely traded. The 2,300% rise in market cap requires a closer look under the hood.

Musk passes Gates, but not yet in impact

24 Nov 2020

The Tesla mogul’s wealth edged past the Microsoft founder’s, at just under $128 bln. That’s because Gates has given vast sums to charity and supercharged vaccine development, especially for the poor. Helping out humanity beats amassing wealth. Musk may one day achieve that too.

UK green revolution takes baby-step beyond slogans

18 Nov 2020

Britain is to ban new petrol car sales by 2030 and invest in hydrogen to hit its 2050 decarbonisation goal. The sums cited are modest and the targets lack detail. The plan’s success hinges on Prime Minister Boris Johnson convincing private investors to pick up the slack.

Nio mania reaches Tesla’s extra gear

18 Nov 2020

The Chinese electric-car maker narrowed its quarterly loss as sales surged. Even without the production of its U.S. rival or a bombastic boss like Elon Musk, its shares have rocketed up by 1,000% this year. Nio, too, has a long way to go to grow into a racy $63 bln valuation.

Foxconn hitches bumpy ride with electric vehicles

9 Nov 2020

The $39 bln iPhone-assembler wants to supply parts for 10% of the world’s green cars by 2027. The stakes are high as the company weans itself from a dependency on Apple. Founder Terry Gou’s electronics expertise and deep pockets, though, puts it in a strong starting position.

Corona Capital: Cars, Kalashnikovs, Houses

6 Nov 2020

Concise views on the pandemic’s corporate and financial fallout: Japanese carmakers put their feet down thanks to China’s bounceback; Russia’s Kalashnikov gets a new owner; and rich-country housing markets look surprisingly cheery.