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 Capital A Berhad /AirAsia (5099), Asia's largest LCC group

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icemanfx
post Apr 7 2020, 11:17 PM

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QUOTE(tangtang22 @ Apr 7 2020, 11:08 PM)
Why should Govt help this private company? Wont it be a moral hazard issue?
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Similar argument could be given on cash payment to b40 and m40 in recent stimulus.
kkk8787
post Apr 7 2020, 11:23 PM

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QUOTE(icemanfx @ Apr 7 2020, 11:16 PM)
Don't under estimate tf's connection, ak brand or his i.b. beside mys gomen soft loan or loan guarantee, tf could tap sovereign wealth funds.
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Govenemtn may wanna help but first, will there be political repercussion. Sexondaly does that boost the share price?
icemanfx
post Apr 7 2020, 11:34 PM

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QUOTE(kkk8787 @ Apr 7 2020, 11:23 PM)
Govenemtn may wanna help but first, will there be political repercussion. Sexondaly does that boost the share price?
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Almost everything in this country could be political issue.

airlines is vulnerable to lock down and restriction, it will take longer than most businesses to return to normal. stock price is more likely to drop than rise in the short term.

joeblow
post Apr 8 2020, 02:05 AM

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QUOTE(icemanfx @ Apr 7 2020, 11:34 PM)
Almost everything in this country could be political issue.

airlines is vulnerable to lock down and restriction, it will take longer than most businesses to return to normal. stock price is more likely to drop than rise in the short term.
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Since you mention political issue, I am wondering if TF and gang closer to PN or PH? Seems to be closer to PH or playing both sides. I guess at his level should be playing both sides. At the end of the day, is AA too big to fail? Also I could be noob here, TF acts as if AA can continue at least for the next 3 months. Also they seem to want to transit to ecommerce platform! lol. Anyway I am not owning AA, tempted to go in below 50 cents. But now maybe got better value stocks elsewhere.

Fascinating how our airline industry so weak...
icemanfx
post Apr 8 2020, 02:20 AM

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QUOTE(joeblow @ Apr 8 2020, 02:05 AM)
Since you mention political issue, I am wondering if TF and gang closer to PN or PH? Seems to be closer to PH or playing both sides. I guess at his level should be playing both sides. At the end of the day, is AA too big to fail? Also I could be noob here, TF acts as if AA can continue at least for the next 3 months. Also they seem to want to transit to ecommerce platform! lol. Anyway I am not owning AA, tempted to go in below 50 cents. But now maybe got better value stocks elsewhere.

Fascinating how our airline industry so weak...
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TF is a shrewd businessman, airlines business is highly regulated, he needs to be close to whoever is in power.

It seems there is a strong support to stop the price to drop below 50 cents level.

This post has been edited by icemanfx: Apr 8 2020, 02:32 AM
kkk8787
post Apr 8 2020, 06:33 AM

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QUOTE(icemanfx @ Apr 8 2020, 02:20 AM)
TF is a shrewd businessman, airlines business is highly regulated, he needs to be close to whoever is in power.

It seems there is a strong support to stop the price to drop below 50 cents level.
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Longer term say 6 months. 81 cent I guess is a buy?
icemanfx
post Apr 8 2020, 07:56 AM

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QUOTE(kkk8787 @ Apr 8 2020, 06:33 AM)
Longer term say 6 months. 81 cent I guess is a buy?
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It is your money.
LittleSmarty
post Apr 8 2020, 12:17 PM

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nice reading what boon3 says. learn alot from sifu
moosset
post Apr 8 2020, 02:04 PM

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QUOTE(joeblow @ Apr 8 2020, 02:05 AM)
Since you mention political issue, I am wondering if TF and gang closer to PN or PH? Seems to be closer to PH or playing both sides. I guess at his level should be playing both sides. At the end of the day, is AA too big to fail? Also I could be noob here, TF acts as if AA can continue at least for the next 3 months. Also they seem to want to transit to ecommerce platform! lol. Anyway I am not owning AA, tempted to go in below 50 cents. But now maybe got better value stocks elsewhere.

Fascinating how our airline industry so weak...

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Look at it this way, if you were a corrupted PM or finance minister, would you save or bailout AA? hmm.gif

fascinating? All airlines around the world are affected, not just AA.
kkk8787
post Apr 8 2020, 03:29 PM

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So far no news on funding for air asia?
joeblow
post Apr 9 2020, 03:28 AM

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QUOTE(moosset @ Apr 8 2020, 02:04 PM)
Look at it this way, if you were a corrupted PM or finance minister, would you save or bailout AA?  hmm.gif

fascinating? All airlines around the world are affected, not just AA.
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I am referring to not just AA, Malaysia airline industry in general ie MAS too. And even before the crisis our airline industry already wobbly with bad management issues.
Bendan[520]
post Apr 9 2020, 09:49 AM

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Air Asia keeps dropping, even in bull market, they cannot increase much in price. Why people are still buying this stock?
kkk8787
post Apr 9 2020, 09:59 AM

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QUOTE(Bendan520 @ Apr 9 2020, 09:49 AM)
Air Asia keeps dropping, even in bull market, they cannot increase much in price. Why people are still buying this stock?
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It's a bet that it will increase. If somehow they manage to survive it will go up again.

Boon3
post Apr 9 2020, 10:08 AM

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QUOTE(Boon3 @ Jul 14 2016, 09:02 AM)
LOL!

Really it doesn't matter?

Look at the core numbers la...

Cash 1.7 Billion ring
Total loans 10.9 Beeeeeeeeeee-liiiiions. (It was reaching 13 Beeeeeeeeeee-liiiiions until he was forced to embark on his sales and leaseback program)

304 fei kei means total capital commitment of 86 Beeeeeeeeeee-liiiiions.

86 Beeeeeeeeeee-liiiiions if AirAsia takes delivery of 304 fei kei.

Go imagine for a moment or two or maybe you need more ....
Can 1.7 Billion buy 86 Beeeeeeeeeee-liiiiions worth of fei kei?

Is the funding possible?

How much will AirAsia debts ballooooon to?

How many Beeeeeeeeeee-liiiiions?
if that was remotely even possible...

now bring in the super computers to do the math and add in the 100 new fei kei.....

can a company sustain such an illogical and reckless setup?
and so why does it matter?

it matters to me...
cos one day....
AirAsia will be one company drowned in Beeeeeeeeeee-liiiiions of debts....
and when it does fail.....

what will happen?

gift-a-ton to bailout AirAsia?

will it matters to me then?
... and needless to say I am chill ....
(actually that's such a stupid remark from me... do I go berserk or do I jump myself happily silly when I am a keyboard warrior. LOL! ) .... but unfortunately I have been wide awake and aware of such an unsustainable business model of AirAsia for many years already...

yeah... Tony gifts me the chance to fly cheap....
but I won't idolize just cos of that....
and neither will I idolize him for this recent wonderful, incredible flying stock.

LOL!

what to do...
console.gif
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Bump!

That post was dated 2016.... tongue.gif

Just to say that I wasn't an overnight critic of AA. innocent.gif

This post has been edited by Boon3: Apr 9 2020, 10:09 AM
SUSMasterConfucion
post Apr 9 2020, 10:10 AM

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No need worry government will backup cos can’t let maruah tercabar. It flying Malaysia goood name
Bendan[520]
post Apr 9 2020, 10:18 AM

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QUOTE(kkk8787 @ Apr 9 2020, 09:59 AM)
It's a bet that it will increase. If somehow they manage to survive it will go up again.
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Well I dont know whether that bet is worth or not, I've been watching AA since 2016.. AA is by far my longest counter in watchlist. As the years go by, AA is losing its value.. day by day.
Boon3
post Apr 9 2020, 10:24 AM

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QUOTE(Boon3 @ Apr 9 2020, 10:08 AM)
Bump!

That post was dated 2016.... tongue.gif

Just to say that I wasn't an overnight critic of AA.  innocent.gif
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One more thought....

That capital commitment of new fei kei...ie... the reckless buying of airplanes by Tony... which caused its supplier, Airbus to be charged with bribery corruption.....
in 2016, as noted in the posting, the capital commitment to buy new fei kei was 86 Beeeeeeeeeee-liiiiions.

end 2019... as reported by AA itself .... that figure is now 99 Beeeeeeeeeee-liiiiions.

Can you say 99 Beeeeeeeeeee-liiiiions???

Now here's another kicker...... since then the ringgit has now plunged to 4.3++ ....

which means the reckless boss has now committed AirAsia to buy 100 Beeeeeeeeeee-liiiiions of airplanes.....


You wanna the govt to bailout such a reckless company? ohmy.gif

So with Khazanah (or the govt itself) in deep trouble with MAS, who probably needs a massive injection of cash.... why would the govt involve itself with AA?
Govt so rich ka? Can baioult 2 airplanes company? Oh, then Malindo how? Can it qualify too ah?

With all airplanes not flying, MAHB should also be hurting big time? Does it need a bailout too ah?

Bursa also plenty of company needing bailout help.... bailout them too?

rolleyes.gif
kkk8787
post Apr 9 2020, 10:28 AM

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QUOTE(Bendan520 @ Apr 9 2020, 10:18 AM)
Well I dont know whether that bet is worth or not, I've been watching AA since 2016.. AA is by far my longest counter in watchlist. As the years go by, AA is losing its value.. day by day.
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Do u own any airasia? What's your view. For long term I think it's worth it. But if u r talking bout 2 weeks 1 month damn its risky man
Bendan[520]
post Apr 9 2020, 10:32 AM

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QUOTE(kkk8787 @ Apr 9 2020, 10:28 AM)
Do u own any airasia? What's your view. For long term I think it's worth it. But if u r talking bout 2 weeks 1 month damn its risky man
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Yeah I used to own airasia back then around 2017 when it was RM2.xx then I sold it at its peak and never look back again. This counter has become a shortie counter.
kkk8787
post Apr 9 2020, 10:33 AM

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QUOTE(Bendan520 @ Apr 9 2020, 10:32 AM)
Yeah I used to own airasia back then around 2017 when it was RM2.xx then I sold it at its peak and never look back again. This counter has become a shortie counter.
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for now ya. Anyway latest Fair value by Mornigstar, Im surprised they put at 1.99. wow.
Why would morningstar put it so high

This post has been edited by kkk8787: Apr 9 2020, 10:34 AM

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