Market Volatility Shows on Annual Stockholders List

by Gwen Moritz and Jan Cottingham  on Monday, Sep. 5, 2011 12:00 am  

"The situation our industry is in today is unsustainable," Tyson CEO Donnie Smith said during a conference call with investors Aug. 8. Smith went on to forecast better results for next year, predicting protein supply would slip as unprofitable companies cut their supplies.

America's Car-Mart Inc. of Bentonville has seen its share price rise from its $27.38 close on Jan. 3 to $30.02 on Aug. 23. Its shares rose to trade in the $37 range in late July but slipped just as those of other Arkansas companies did.

In noting that Car-Mart stock had pulled back almost 20 percent from its high, David Burtzlaff, a research analyst with Stephens Inc. of Little Rock, said, "I think Car-Mart is doing a very good job in the environment that they're in. They've got positive sales. I think that will continue.

"What's holding them back a little bit is customers, it seems, are holding onto their cars a little longer and maybe going without a car payment. I think that's impacting their sales," he said.

Nevertheless, Burtzlaff said, Car-Mart, which he called well-managed, had been able to maintain a fairly high gross margin. "I think if the economy starts to improve, Car-Mart will come out much better than their competitors."



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