STUDENT TRANSPORTATION INC 5.25 PCT DEBS T.STB.DB.A

School buses: Poor wages and working conditions

[frankstevens17]

Before you put too much money into school bus investments read this article. I doubt this problem is restricted to Ontario only. https://www.thespec.com/news-story/6860580-school-buses-poor-wages-and-working-conditions-keep-people-from-industry/

[slimjim11]

Thanks frankstevens17. When busses being leased now come out of service in 12-14 years, they will probably be replaced in part or in entirety with driverless busses. Wages account for roughly a third of revenues. The pick-up in cash flow and EPS when busses go driverless could be remarkable. https://www.citynews.ca/2016/06/06/councillor-pushes-for-ttc-to-examine-driverless-bus-technology/

[frankstevens17]

Driverless busses will be a long time being accepted by parents of schoolchildren so forget about that nonsense.

[Riskfetish]

Au contraire frankensteve, driverless busses will be the norm sooner rather than later.

[frankstevens17]

Riskfetish the media wants people to believe driverless vehicles are ready for the road but ask yourself how many parents want a robot driving their kids to school, and what will happen to all the bus driver jobs if and when robots take over that important task. I can just imagine the lawsuits when/if robots take over. Robot manufacturers and schoolboards will spend more time in court than

[slimjim11]

Good one, Frankstevens. LOL. Fact is, most parents don't mind if a bus has an electronic fuel injection system (robot which can make a bus go faster) or electronic anti-lock brake systems (robot which can make the bus go slower) or power steering (robot which can make the bus go left or right). As for suits, I think natural attrition of drivers will match natural turnover of the fleet on 12-14

[Riskfetish]

Driverless vehicles are a given. Once the technology is on the road it will replace all drivers as that will be the path of efficiency. 360 vision, instant reaction etc. will make human error an unacceptable risk. That being said, the real threat to busses may be the fact that they are not required at all. A driverless pod, part of the Uber fleet perhaps, will pick up your little darling and zip

[las5513]

Slimjim it's a big step from fuel injection or anti-lock brakes to a driverless bus carrying children, but believe what you want and parents will believe what they want. Just remember the parents are in charge of what the schoolboard does to transport their children not some smuck who rambles on about driverless buses at Stockhouse.

[slimjim11]

Yep, and it's the same smuck who is on the record on THIS Stockhouse board, advocating that the dividend is secure and the cash flow solid, in January and February of this year when the stock was Cdn$4.40. I'm up 79% on the shares' appreciation since then, plus I've received the dividends. If I'm the senseless smuck, I'm fine with that label, and I sincerely hope you've

[slimjim11]

Driverless busses are already old news - at least a month ago... https://www.engadget.com/2016/08/17/driverless-buses-to-hit-finnish-citys-streets/

[goldsternp]

That's one opinion which differs from employee  opinions on various employee review websites. I am confident that Denis Gallagher treats his employees and customers just as courteously and generously as he does his shareholders. One has to be brain dead to not have noticed that Management consistently delivers on its forecasts. Not many companies that can do that. I have been a

[frankstevens17]

I don't have any doom and gloom just a balanced outlook on this and any other stock. I'll leave the cheerleading to people like you and Gallagher, at least Gallagher has a good motive for pumping the stock. Remember you can't forever keep paying out more dividends than you make in profit without a day of reckoning at some point, and a p/e ratio of 75 far exceeds to average I don't

[carmech]

Yes frankstevens17, many people don't understand the difference between cash flow and profit and you are one of them. Profit is an artificial number used to determine how much tax the company pays. Companies use tricks such accelerated depreciation and other things to keep reported profit and thus taxes to a minimum or nil. For instance the cost of a bus might be expensed over 5 years when in

[las5513]

Carmech comment " I have training in management accounting", well Carmech I have an MBA but that means about as much as your management accounting degree and your faulty analysis. If you think cash flow alone will save STB or any other company good luck to you.

[carmech]

Considering STB has been operating for many years and throwing off a ton of money to shareholders I would say the proof is in the pudding. They obviously didn't teach you anything about how corporations, very successful ones, use writeoffs to artificially reduce profits and taxes to zero. Why do you think Trump won't release his tax returns? He is undoubtedly showing paper losses and

[frankstevens17]

las5513 wished you good luck so why don't you just take his good luck gracefully and quit drifting into American politics with your accounting bull$hit.

[carmech]

Accounting bullsh$t? Now i've heard everything. And you call yourself an investor? Good luck to you. By the way I wasn't commenting on politics, just using an example of someone everyone knows to make a point. Don't be so touchy.

[Milanko16]

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