Airline Equities and Bankruptcy Risk

[taowave]

Put your Deep Value hat on and look at Altman Z score,Net cash per share,Int Coverage and Free cash flow yield..Compare within the industry...If that doesnt work,grab some crayons,draw horizontal lines and play the breakout

Hey All,

What do you think the risk of bankruptcy is for the airlines? I checked AAL today, and they're at about 17, down from 60 before Corona hit.

Airlines seem like a reasonable buy n' hold play, but if bankruptcy hits...

I did a little analysis of this last year. See link below.

Thanks,
Keith

Beware bankruptcy, my bottom-feeding dip-buying friends | Elite Trader

 

[kmiklas]

why would you invest in such an industry at the worst possible moment, and that would take decades to recover?

Buy low, sell high my friend, and I don't think that it will take decades to recover.

Methinks that Corona is going to start winding down in the northern summer, and peeps are hungry to travel.

Watch the oil prices, Airline stocks go opposite to the oil.

Why?

 

[Butterfly]

I think we are going to see a few bankruptcies with airlines before we see any improvement

AOT, for the Airport of Thailand is a prime example of a poor play IMO, and I used to own shares in that company,

 

[kmiklas]

I think we are going to see a few bankruptcies with airlines before we see any improvement

AOT, for the Airport of Thailand is a prime example of a poor play IMO, and I used to own shares in that company,

Yea... Chapter 11, like after the towers went down.