All things STOCKS

#4,858
#4,858
LIvol said:
What does all of this mean?
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They did a 9,000,000 share offering at $17.25 through Morgan Stanley. With 40 months cash on hand, I’m not sure what they’re up to with this 🤨

Will be covered during the conference call tomorrow, I’m sure.
 
#4,859
#4,859
LIvol said:
What does all of this mean?
Click to expand...
@VolAllen. Can explain better than I, but as I understand to raise money Spirit is going to buy back shares and they're offering 17.25. So basically they're trying to bring up the floor. If I understand correctly
3 Reasons I can come up with Spirit doing this.

1. They are in bigger trouble than they are letting on.
2. They are merging with one of the big 3.
3. They aren't merging, but are expanding and maybe buying some routes from one of the big boys.
 
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#4,860
#4,860
mr.checkerboards said:
@VolAllen. Can explain better than I, but as I understand to raise money Spirit is going to buy back shares and they're offering 17.25. So basically they're trying to bring up the floor. If I understand correctly
3 Reasons I can come up with Spirit doing this.

1. They are in bigger trouble than they are letting on.
2. They are merging with one of the big 3.
3. They aren't merging, but are expanding and maybe buying some routes from one of the big boys.
Click to expand...
They are not buying back shares, they are selling them. Generally seen as a negative as it dilutes current share owners. However, obviously could be a positive in the long run based on how they use the new found capital.
 
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#4,862
#4,862
A live look at the football forum

Post 1: We are not playing football this season
Post 2-10: Yes, we are
Post 11: No we're not
Post 12: COVID is just like the common cold
Post 13: JG sucks
Post 14-40 Some variation of Post 13
Post 41: Random cherry picked stat about JG is pulled
Post 42-75: People argue with Post 41
Post 76: Someone claims 15-0
Post 77-100: People make fun of Post 76
Post 101: Someone claims that Pruitt is 100% going to turn it around
Post 102-110: People poke holes in Post 101
Post 111-125: People call posters 102-110 Negavols
Post 125-150: Posters 102-110 call posters 111-125 Sunshine Pumpers
Post 151: A poster with 100,000 posts tells everyone to get a life
Post 152: Someone brings up recruiting
Post 153: Someone says an insider who got 1 recruitment right is saying a 5* is still interested
Post 154-500: Boom
Post 501-600: People question 153
Post 601: Another JG sucks post
Post 602-1979: More variations of Post 601
Post 1980: A comment about UGA choking just cuz
 
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#4,863
#4,863
VolAllen said:
They did a 9,000,000 share offering at $17.25 through Morgan Stanley. With 40 months cash on hand, I’m not sure what they’re up to with this 🤨

Will be covered during the conference call tomorrow, I’m sure.
Click to expand...

Yeah, they diluted the heck out of the stock back in March already. Something just doesn't add up here. That's over 10% of the market cap with this offering.
 
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#4,866
#4,866
VolAllen said:
They did a 9,000,000 share offering at $17.25 through Morgan Stanley. With 40 months cash on hand, I’m not sure what they’re up to with this 🤨

Will be covered during the conference call tomorrow, I’m sure.
Click to expand...

Just my thoughts:

The 40 months is obviously not a correct number. Cash burn is expected to increase to $3-$4MM per day in Q3. Based on available funding of $1.2BB, that's approximately 300-400 days at Q3 cash burn rate. Obviously, there's additional funding mechanisms, they may be able to tack on another 4-6 months.

Outside of REITs/early stage companies, I really do not like dilution. It's the Company's management essentially saying they think the stock is over-valued.
 
#4,868
#4,868
BigOrangeMojo said:
Just my thoughts:

The 40 months is obviously not a correct number. Cash burn is expected to increase to $3-$4MM per day in Q3. Based on available funding of $1.2BB, that's approximately 300-400 days at Q3 cash burn rate. Obviously, there's additional funding mechanisms, they may be able to tack on another 4-6 months.

Outside of REITs/early stage companies, I really do not like dilution. It's the Company's management essentially saying they think the stock is over-valued.
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Well, it’s moved from 16.25 back up to 16.60’s now. The news isn’t crippling as of now. Excited to hear the conference call tomorrow morning.
 
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#4,872
#4,872
VolAllen said:
Well, it’s moved from 16.25 back up to 16.60’s now. The news isn’t crippling as of now. Excited to hear the conference call tomorrow morning.
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It's not crippling but it does limit your upside even more. Getting harder to see scenarios where a rational market would have SAVE trading over $28 in the next 18-24 months. Might give you a chance to buy more in the 14s though.

That's still a lot over where it's at today but I think you'd get a similar reward holding LUV intermediate/long term without as much risk.
 
#4,873
#4,873
BigOrangeMojo said:
It's not crippling but it does limit your upside even more. Getting harder to see scenarios where a rational market would have SAVE trading over $28 in the next 18-24 months. Might give you a chance to buy more in the 14s though.

That's still a lot over where it's at today but I think you'd get a similar reward holding LUV intermediate/long term without as much risk.
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I know $20 is still easy, but we’ll see what happens. I’m still thinking SAVE has something up their sleeve with this.
 
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