Would You Buy Leica Stock?

[gdi]

That's why I thought the original post was a troll.

Cheers,

R.

Of course you were right!

 

[RObert Budding]

Leica stock? I'd rather buy mortgage securities.

 

[ernesto]

Buying a camera have nothing to do with buying stocks.

But now that you mention it, I can recall a relationship between certain products and the profits that they produced to their producers:

In my opinion, most of the greatest products weren´t a good bussines at all. And the greatest bussines could be done producing the worse products!

e

 

[ernesto]

I like keeping my money rather than giving it away.

Money is useless if you do not use it!!!!

E

 

[Artorius]

I will

I will

But. I will back it up with CD's and Local/State/Federal Government Bonds. Here in the NW, this appears to be the only way to guarantee a payback for what I invested.

 

[Gabriel M.A.]

Money is useless if you do not use it!!!!

True. But I guess the whole point here is that it makes us feel better to bash anything we don't like, specially when there's a segment of the population that bashes the same target.

 

[Andrew Sowerby]

This thread makes me laugh.

 

[varjag]

Leica will still be around when other camera companies will bite the dust. That's what it always did at least 🙂

 

[Rayt]

I'd buy one share...and a nice frame.

Didn't the Ein Stuck M6 come with a certificate?

 

[craygc]

Lets see, you use/own Leica equipment so you want to own stock in the company. That is an emotional attachment that should have no connection with evaluating whether or not to become an investor in a company. Im sure some of you own a GM vehicle, would you currently invest in that company too...

 

[Fred Burton]

GM is a great investment right now. The government is going to give them billions of dollars, they will crank up the big SUV's again, and their sales will go through the roof when the consumers get their billions next year and can fuel 'em with $1.00 a gallon gasoline. Happy times are here again. 🙄

 

[Olsen]

Canon seems to be the sole winner of the digital camera age with a profit of it's camera division of more than 180 Billion Yen of a 1.162 BY camera division turnover in 2007. Nikon, - the company is for sale (shareholders have urged the Board to find a buyer), has a 'imaging division' that earned only something like 62 billion Yen of a 510 billion Yen turnover.

While Nikon's and Canon's camera divisions were about the same size back in the analogue days, with Nikon slightly more profitable (selling more expensive pro gear) it is now Canon that leads the game. Back in 2005 and 2006 Canon raked in 80% of the total profit of the camera business.

The Yen seems to increase towards the dollar. That means that now it is the Japanese that have to increase their camera prices. A new experience, I am sure, while the Euro is stable.

Leica can't compare to these giants. Canon could put Leica into men's room! I make no secret of that one of the reason why I bought a M8 (a WATE etc. etc.) was to support one of the very few European camera producers left. I am supporting a small, but strong brand within an industry going through a paradigm shift.

Would I buy Leica stock? Yes, I would.

 

[Gabriel M.A.]

GM is a great investment right now. The government is going to give them billions of dollars, they will crank up the big SUV's again, and their sales will go through the roof when the consumers get their billions next year and can fuel 'em with $1.00 a gallon gasoline. Happy times are here again. 🙄

In the U.S. business model, it's all about maximizing profit, short-term return, turning a blind eye to problems that are not a problem "now" (so you can utter the phrase "hindsight is 20/20" once it rears its ugly head after it's way too late). They're driven by a consumer that holds "who cares!" as the ultimate "now" philosophy and will rather spend $1 eight times rather than spend $4 once.

Good times indeed. I'm already seeing more SUVs back on the road. Living in the moment. Invest in what works now, not in what will work for years and years to come. It's the Wall Street way.

 

[veraikon]

Leica stock has dropped 50% since August (from approximately $12 Euros to 6).

Who cares about. Leica Camera belongs to 97% to ACM (Mr. Kaufmanns family "Stiftung")
A "squeeze out" process is running because Mr Kaufmann wants to take Leica Camera out of the stock exchange.

 

[Olsen]

Who cares about. Leica Camera belongs to 97% to ACM (Mr. Kaufmanns family "Stiftung")
A "squeeze out" process is running because Mr Kaufmann wants to take Leica Camera out of the stock exchange.

Norwegian shipowners, one of the richest segment of people in the world, have fooled shareholders over and over again by 'going public' with their companies, - that is selling off some of their own shares for small fortunes, then see the shares fall, and then buy the shares back again for a fraction of what they sold them for, just a few years later.

 

[Eric T]

In this economy, investing in any company that makes only high-end products is VERY risky. In Leica's case, they are not only high-end but they appeal to a VERY small number of photographers. The Leica S2 might work. A great deal will depend on the new R product. If you think the new R can compete with other dSLRs, then buy Leica stock. If you think Leica does not have the resources to build a product that can compete in this market, don't buy the stock.
I happen to like Leica products very much but that does not mean that there are enough people who share my interests to make Leica a profitable concern. A profitable business cannot be made largely on a very expensive rangefinder with its very expensive lenses.

 

[Hacker]

Another of Olsen's stunts?

 

[JPSuisse]

Don't know why I'm posting about things that don't have anything do with photography on this forum... But,

Having worked for a number of smaller engineering/technology companies that were listed, it's become painfully obvious that idea of public traded companies is not the wealth-distribution remedy for long-term sustainable development.

Theoretically, I prefer a rich upper class that identifies with it's productive assets and tries to build on them long-term, rather than a bunch of screaming shareholders.

Practically, the one advantage Leica may have is that is not under the pressure of short-term earnings growth that usually leads to under investment. This killed the other companies I was working for.

As for a P/E of 36, to me that's high for a company that is not a growth company, even if the company may have the advantage of a strong majority shareholder.

That having been said, I'm still a customer of their products.

JP

 

[craygc]

GM is a great investment right now. The government is going to give them billions of dollars, they will crank up the big SUV's again, and their sales will go through the roof when the consumers get their billions next year and can fuel 'em with $1.00 a gallon gasoline. Happy times are here again. 🙄

Hope it was just a flippant comment and not one you committed to Fred 😀

 

[FPjohn]

To the original question: yes, sometime next summer if they are still with us.

yours
FPJ