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Mixed sales results, but automaker stocks rise on need for cars in Houston

DETROIT — The Big Three Detroit automakers on Friday reported better-than-expected August sales and issued optimistic outlooks for demand as residents of the Houston area replace flood-damaged cars and trucks after Hurricane Harvey, sending their stocks higher. General Motors, Ford and Fiat Chrysler posted mixed August U.S. sales, with GM up 7.5 percent and Ford and Fiat Chrysler down. Japanese automaker Toyota improved sales by nearly 7 percent, while Honda fell 2.4 percent. Still, analysts focused on the potential for Detroit automakers to cut inventories and stabilize used vehicle prices as residents of Houston, the fourth largest city in the United States, are forced to replace tens of thousands, perhaps hundreds of thousands, of vehicles after the devastation from Hurricane Harvey. Mark LaNeve, Ford's U.S. sales chief, told analysts on Friday that following Hurricane Katrina in 2005 "we saw a very dramatic snapback" in demand. That said, Ford sales fell 2.1 percent in August. It sold 209,897 vehicles in the United States, compared with 214,482 a year earlier. Sales were down 1.9 percent in the Ford division and off 5.8 percent at Lincoln. Demand was down for cars, crossovers and SUVs. It was not clear how many vehicles in the Houston area will be scrapped, LaNeve said, saying he had seen estimates ranging from 200,000 to 400,000 to 1 million. Ford's Houston dealers may have lost fewer than 5,000 vehicles in inventory, he said. Ford is the No. 1 automaker in the Houston market, with 18 percent share, according to IHS Markit. The company plans to ship used vehicles to Houston dealers and has "every indication we would have to add some production" of new vehicles to meet demand, LaNeve said. Investor concerns about inventories of unsold vehicles and falling used car prices have weighed on Detroit automakers' shares most of this year. Now, automakers can anticipate a jolt of demand from a big market that is a stronghold for Detroit brand trucks and SUVs. "It's got to be a positive for the industry," LaNeve said. Investors appeared to agree. GM shares rose as much as 3.3 percent to their highest since early March. Ford increased 2.8 percent at $11.34, and Fiat Chrysler's U.S.-traded shares were up 5.2 percent $15.91, hitting their highest in more than five years. GM reported a 7.5 percent increase in U.S. auto sales in August, helped by robust sales of crossovers across its four brands.

Autocar pits McLaren MP4-12C against turbo Toyota GT86

The Toyota GT86, in all of its forms, is one of the best-handling cars money can buy, a trait that can put a smile on the faces of all but the most jaded car enthusiasts. But if good handling isn't what they're looking for, then what is? Our first guess would have to be more power, something the 200-horsepower Toyota would benefit from. Autocar tries out that theory by driving two turbocharged GT86s on track, then pitting the more powerful one against the 616-hp McLaren MP4-12C in a track battle.
The first GT86 turbo Autocar's Steve Sutcliffe drives makes around 255 rear-wheel horsepower and a bucket-load more torque than the stock car. That's plenty of power to either have a lot of fun or get into a lot of trouble. But the GT86 that Sutcliffe tails in the McLaren is race-prepped, stripped to the bone and wears slicks to harness a heavy-hitting 335 hp at the wheel. Weighing in at under 2,500 pounds, the Toyota can't overcome the MP4-12C's power-to-weight ratio of 5.3 pounds per horsepower, but it comes pretty close.
Enjoy a lot of chasing and drifting fun in the video below!

eBay Find of the Day: Harley-Davidson powered Toyota Prius [w/video]

Sometimes we pluck cars from the listings of eBay Motors because they're old and interesting, some for being simply lovely, some for rarity and some for pure fun. And sometimes we pick eBay Finds of the Day, because they're hacked apart Toyota Prius' with Harley Davidson V-twin-power; concocted by the same mind that brought you innumerable Jalopnik articles and is partially responsible for the joy that is the 24 Hours of LeMons. This time it's that last one.
A fairly subtle tweet from long-time Jalop contributor and well-regarded grease monkey, Murilee Martin, hipped us to this crazy Frankenstein Prius. Built from the bones of a 2008 Toyota and the heart of a 1986 Harley-Davidson Sportster 883, the motive portmanteau is, well... it's a thing.
Toyota's advanced Hybrid Synergy Drive has been unceremoniously wrenched and snipped out of the engine bay, making room (via an artful hole in the hood) for the towering, bored out V-twin. Or, as the maestro himself puts it: