QF profit to fall 90% - shares falling

[drron]

Never catch the falling knife. Usually it comes with handle removed! Ouch!

But buy straw hats in winter.

 

[DC3]

But buy straw hats in winter.

As long as there's going to be a summer!!

 

[Must...Fly!]

This stock is starting to look seriously undervalued IMO

Big assets
Profitable subsidiaries
Profitable domestic mainline arm

Virgin having its impact, perhaps.

Personally I think the reason for splitting QFi and QFd is simply as the board says...separate financial statements. Make it absolutely clear to the market where the problems are, and the situation QFd is in. This price war with Virgin will be interesting.

 

[DC3]

Lucky I'm not a current shareholder, sold years ago.. although might have to buy in again soon

Would that be above or below 60 cents per share? :shock:

 

[markis10]

Its down to 1.065 now, another 6c loss today.

 

[cove]

I bought on the closing match at 1.06 today.
There was one buyer at 1.09 for just under 5 million shares so they still got them on the closing match of 1.06.
About 15 minutes ealier they were 2 cents lower.
If they open at 80 or 90 tomorrow it will prove I cannot ever pick the bottom.
QFF has to be worth 1.50 a share so the rest is currently valued at a negative amount.
I always thought domestic might be worth 1.50 a share but the market does not think so.

 

[eastwest101]

As long as there's going to be a summer!!

That seems to be the theme of the market at the moment, the market is predicting that there will never be another summer and that Qantas is worthless and will never make another profit. I heard someone else comment that its now valued below its cash in the bank. Some other companies have a similar story to tell at the moment with valuations.

Or another way of thinking about it - buyers of the stock now are essentially buying QFd shares (and ascribing no value to QFi at all).

I had to laugh at the self serving comments in the media about the aborted APA Private Equity bid back in 2007. It would be interesting to see what QF would have looked like if APA had succeeded in their bid!

Loaded up with debt? Plus or minus Alan Joyce? In receviership? Re-nationalized? Or something completely different to how it looks now?

 

[browski]

$104.50 today at 10.57am. My guess is that there will be a large volume of automatic BUY issues at $0.99.
Actually, now that I look, there seems to be support at $1.01.

 

[markis10]

One can only imagine where the shares might be if one large shareholder had not jumped on the opportunity, although I suspect they may have wished they waited:

http://www.asx.com.au/asxpdf/20120608/pdf/426qvx42vh72lq.pdf

 

[SeatBackForward]

One can only imagine where the shares might be if one large shareholder had not jumped on the opportunity, although I suspect they may have wished they waited:

http://www.asx.com.au/asxpdf/20120608/pdf/426qvx42vh72lq.pdf

I wonder if it was these guys:

Look we own more of Qantas now!

The Capital Group Companies: See our offices
Capital Group Companies - Wikipedia, the free encyclopedia

 

[eastwest101]

I wonder if it was these guys:


Look we own more of Qantas now!

The Capital Group Companies: See our offices
Capital Group Companies - Wikipedia, the free encyclopedia

Other than the links provided I do not know much about them. They seem pretty diversified but conservative (except for their Greek cement company). Are they long term investors or representing hedge funds/mass shorter? Or the people left without a chair when the music has stopped?

Will be interesting to see if its a perfectly timed genius financial move or one of those exploding cigar moments....

 

[cove]

Have spent some time buying QANTAS shares today to get my average under a dollar. Lots of turnover today so it could be a change of substantial shareholders.

 

[DC3]

$104.50 today at 10.57am. My guess is that there will be a large volume of automatic BUY issues at $0.99.
Actually, now that I look, there seems to be support at $1.01.

Now 97 cents.

 

[cove]

I felt like I was standing in front of a freight train around 2.00 pm in Perth with sellers outnumbering buyers by more than 2 to 1. Anyway I am happy to get QANTAS at 97 to get the average below one dollar.

 

[docjames]

I felt like I was standing in front of a freight train around 2.00 pm in Perth with sellers outnumbering buyers by more than 2 to 1. Anyway I am happy to get QANTAS at 97 to get the average below one dollar.

What is your short and long term target price (ie. I assume you're buying because you think it'll go up.....)

 

[cove]

I think a big player will turn up in the next 90 days as the whole business is now valued at 2.4 billion. I am in no hurry for selling these shares as they are dirt cheap at the moment.
Now that does not mean Qantas shares cannot sink further and sure if they halve again I won't blink when it comes to doubling up. It is a fluke if you can pick the bottom. Naturally it would be great if Singapore Airlines got a 25% stake rather than a private equity plunder-er.......
Qantas has a very strong domestic business and a big Frequent Flyer program.

 

[docjames]

[SUB]Last time I saw it reconciled, the international investor % was about 40-42%. cannot exceed 49%. Will be fun monitoring the %s with the amount of trading volume at the moment.

I can't see any airline easily slipping up to 25% easily.

There are also listing rules such that 5%+ has to be announced to market meaning no hiding.[/SUB]

 

[ChrisCunard]

How low can it go? QAN at 0.97c

Anyone else concerned? Has anyone heard anything from Qantas about what they plan to do to stem the flow?

How low until a private equity buyout attempt?

"If" that happens, how many of you will use up the Frequent Flyer points before its too late?

 

[yohy?!]

Re: How low can it go? QAN at 0.97c

seems like it's becoming an 'when' question as opposed to an 'if' on a PE tilt..

Maybe Gina Rinehart could buy it out and use the jets to fly advertising banners for 'The Bolt Report' across capital cities! (Yes, I do have Fridayitis! )

 

[medhead]

[SUB]Last time I saw it reconciled, the international investor % was about 40-42%. cannot exceed 49%. Will be fun monitoring the %s with the amount of trading volume at the moment.

I can't see any airline easily slipping up to 25% easily.

There are also listing rules such that 5%+ has to be announced to market meaning no hiding.[/SUB]

Plus that anyone who wants to buy more than either 15% or 19% are required to make an open bid to all shareholders.


Sent from the Throne