Key Success Factors – Follow up ($TA)
Do you remember those posts about Travelcenters of America from some weeks ago? One of the tough parts about investing is that is part creative thinking and part disciplined execution. And it is very difficult to find both character traits in the same person. I know I lack discipline sometimes.
Travelcenters is still in my radar screen even after I sold it last week; 2x returns in less than three weeks do not come so often and there were alternatives. One of the advantages of using key success factors, is that you can rapidly pick the story where you left it and see how it is developing. In this case, August was another good month for the trucking industry so I will keep TA in my watchlist looking for a good re-entry price.
ATA Chief Economist Bob Costello said that the latest increase was another positive sign for the industry. “The gains in tonnage during July and August reflect a growing economy and less of an overhang in inventories,” Costello noted. He is hopeful that the overall trend in truck tonnage during the months ahead will be upward; however, he acknowledged that the pace of increase will likely moderate from the cumulative 4.3 percent gain over the last two months. “While I am optimistic that the worst is behind us, most economic indicators, including industrial output and household spending, suggest freight tonnage will exhibit moderate, and probably inconsistent, growth in the months ahead,” Costello said.