What's bad for the goose is bad for the gander
Tower provides parts to automakers, so its fate is intimately tied to that of its customers, a group well-known for its problems. While Tower's customer mix is fairly diversified, and mostly concentrated in Europe, the "Detroit 3" still make up 18% of its business, and being an American company, it suffers from some of the same labor problems that caused General Motors
Fortunately, just as auto manufacturers like GM and Ford
With a low interest coverage ratio of 0.73, Tower still has a tough road ahead. But the company is focused on getting its debt to manageable levels, and the all-new management team seems to have made progress toward that goal. This is definitely one to put on your watchlist to keep an eye on how this story unfolds. Click here to put Tower International on your free, personalized Motley Fool watchlist.
Fool contributor Jacob Roche holds no position in any of the stocks mentioned. General Motors is a Motley Fool Inside Value selection. Ford Motor is a Motley Fool Stock Advisor recommendation. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.