having said that clearly an overaction as aal was not priced anywhere near perfection
Fact is though that the street has been taught to hate airlines and that isn't going to change for a long time
that would be great if the airlines were driven by vacation travelers, biz traffic is much more important to wit - a short notice flight from chattanooga to Detroit can cost $1K and only biz travelers will pay that price
The fear is that bankers will not be traveling to London as much which will hurt AAL
Interest bearing debt less cash is 14.3B and mrkt cap is 14.6B so enterprise value is 28.9B
2014 10% against 2015 sales you come up with 6.1B EBITDA for 2016
28.9B/6.1B = 4.7 x enterprise value to normalized EBITDA 5.5x if you cut ebitda by 10% due to brexit
Seems cheap to me only problem is there are only two buyers when you get out IPO or another PE as I assume the feds are all done with airline consolidation
trades create money for the banks - why would you think they would ever stop that - to protect average investors? fat chance
I'd say it was pretty bad phil. its almost impossible this isn't going to -0-
we are in the US, you really want a restaurant that only brings in skinny people?
obviously they have other options putting on debt, selling distribution rights or selling outright.
I can't say I'm a startup bio expert but I would think with the push back to December they'll have to make that call prior to the FDA decision as they will be down to $77 million by 12/31
so it looks like they have 5 more qtrs. of cash left. I suppose this all but insures they will need to do another equity raise before this launches. Maybe that doesn't matter much because the value goes up if they get approved in December and they can bring investors in at a decent price.