Tunisia is a hot spot for terrorists. The UK warns of terrorism and kidnapping. This is where they want to expand? Idiots.
Very good. My position is short based on valuation and exhaustion of dairy price tailwind. Opening stores internationally is without scale or foresight. BTW, Tunisia? Who were the geniuses that decided to expand into Tunisia?
Nice conversation you are having. Are you interested in having a real dialog?
Sentiment: Strong Sell
Cheese bottomed on the CME. They're not going to get another boast like they had. The FF industry has too many choices today.
On the pull back the second time is the charm. It's going to be a very nasty election. Markets are going to rotate into PMs imo. Also don't count out Trump talking national debt and the gold standard. Also the deficit is real. You can count coins as supply. Nobody pays a 10% premium in and then out. The price would need to be significantly higher to tempt a stacker.
Sentiment: Strong Buy
The breakfast thing was a good idea but it has its limits. Btw, the poor have a lot more choices today than MCD. Overbought territory for sure.
If he was being fired the board would not approve so many new locations. So I think they are still on board. Why can't you answer my prior question. What backs up the revolver? Don't tell me cash flow which doesn't include store closes or remodels. I mean hard assets. What do they own? Fixtures?
Let get real they don't have cash flow. They keep drawing from their line. BofA is negligent if they give managment more rope.
Sentiment: Strong Sell
Correction $22.7 - $7.5 = $15.2 available on their revolver. So what does BofA due? Do they expand the line another $25 million and increase the spread? The company is not worth $125 million! Stockholders equity is $90 which includes $200+ million in leasehold improvements? I think they need to do a secondary later this year or next. The chutzpah to stay with the plan of opening more stores. They are really rolling the dice while BofAs runs the risk. What whould Moody's or S&P bond rate Noodles? Clearly deep junk.
$5.9 million of additional borrowing. 74.1 million in debt outstanding (prior quarter $68.2 million) on their revolving credit facility. Cash on hand was $1.9 million (unchanged from prior quarter).
$5.9 million down the tubes.
Then they have remodels for another $7.5 million.
They will need to expand their credit line. Will BofA oblige? What’s their collateral? Company has under $2 million in cash, and the balance of collateral is equipment and furniture.
How does BofA not stop them from expanding? Reckless.
Carl Ichan understands better than anyone you can serve up. Obama came in a novice and will leave the WH without learning much. Trump will steer America in the right direction. Ten trillion of debt spending would help any economy temporarily. If we don't reverse course our Nation will be in a lot of trouble years from now.