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The week's question
In December 2024, in the thread "Re: BRK: Why Not XOM?", BreckHutHigh asked the members: "What about the long road trips with kids?" This week it is put to everyone again. The button below opens the small thread re-asking it - read what others have said so far, then give your own answer as an ordinary reply.
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Investment Strategies / Falling Knives
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Author: weatherman   😊 😞
Number: of 1166 
Subject: Re: KMX
Date: 11/13/25 5:42 PM
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No. of Recommendations: 6

great thread.
i follow (and hold) asbury, where real world services are far above just fixed cost offset. they have tried to build services to sustain breakeven in a typical recession scenario. and they have a nice ratio of reliable japanese\korean models to luxury brands.

asbury seem to run on a 'local oligopoly' hypothesis, which is to cluster high quality dealerships within a certain geo-logistical distance. this allows them to exceed some car selection\variety threshold while keeping low transport costs, and share staff in a pinch.
i dont know how valid this model is, but one can see a pattern in their dealers acquired\disposed.
of course, this would not work w/out great capital allocation in a rough business; especially as trump brutalizes the entire auto ecosystem.
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