RE: RE: RE: News..Q4 updateInteresting points, hf. I fully agree with your guidance comments. In the previous two news releases (to last week's), sales guidance of 260,000 units was confirmed and reconfirmed. I guess I was a bit skeptical when they sold 133,000 units for the first three quarters, but reaffirmed guidance of 260,000 which meant they'd essentially have to sell as many units in Q4 as they had for the entire first three quarters, that in what is arguably a global recession!
They've undoubtedly experienced exponential growth in most metrics (with sales, revenue and earnings all up several hundred percent) year over year. Unfortunately their "misguided guidance", I feel, hurts their credibility...and stock price, as we've seen it decline now after they've readjusted guidance twice - the other time being over the summer (before Q2 earnings were released).
As far as sales in '09, who knows at this point. Will gas prices remain at current levels? By all accounts, Obama is committed to green energy. What effect will the "green shift" have on ZPP's sales? Given current economic / recessionary conditions, will urban consumers turn to more economic means of transportation regardless of gas prices and benefit ZPP?
Like you, I have also taken a huge hit on ZPP, but at this point I feel that there's little sense in selling. With the levels of cash that they have on hand, and revenue and earnings shown to date, I feel that ZPP is greatly undervalued at the current share price, but have to wonder if it will get more properly valued given current market conditions and investor sentiment (trailing metrics can be misleading in this environment - pick almost any stock with ridiculously low p/e or p/cf ratios).
Anyway, have a great week. Happy Holidays!