Futhermore, I’m not sure how much rev AMA generates from minor repairs vs major repairs, but there was mention during the Cap Smart acquisition that the business also acquired new infra red paint drying tech that sped up minor repairs...so I’m guessing revenue generated from minor repairs, ie dents from hail, etc make up a very significant % of total revenue.
Even in the case of major repairs...most people over the next couple weeks/months looks like they’ll be using their vehicles far less ie, if they’re working from home/kids are doing school from home, etc...so there’ll simply be no need to use the car, let alone spend money on an insurance excess to have it repaired.
Keen to hear your thoughts and/or if you think I’m being too negative, but I think the scenarios I envisage are super realistic at this time.
AMA will be very lucky to survive this.
AMA Price at posting:
18.5¢ Sentiment: Sell Disclosure: Held
(20min delay)
