International Consolidat... Share Discussion Threads

[careful] 27/5/2020 20:15

Was Warren Buffett wrong to dump his airline shares at a loss?

[nathandc] 27/5/2020 20:05

That's certainly true - thats why we are looking at £4-£5 and Not £6.50

[nathandc] 27/5/2020 20:01

Exactly!In addition - there is more upside on the cost of fuel and picking up routes and/ or passengers from airlines that have gone bust. They have deep enough pockets and diversity in their business to survive. Painful - but will recover IMHO

[sif12] 27/5/2020 17:42

Swiss the CEO himself said they wont be back to 2019 trading until 2023+. do you know something he doesnt?

[swiss tony] 27/5/2020 17:21

You do know they have £10 billion in cash and made a profit of £2.5 billion ish last year yeah?
Even with zero flights for 4 months this year, they will still turn a profit.
Cut away some deadwood, restructuring contracts for employees etc and this has the potential to rise to at least 3/4 of what the share price was in Feb.
I'm in for the long term, so shorter can do what they want, but fair value or around £4 - £5 a share for a quality business which will be back to normal in under 4 months from now, it's a bargain imho.

Not often you get to buy solid company like this at these prices.
Long term, less worry....

[eriktherock] 27/5/2020 15:57

234 to close that gap

[eriktherock] 27/5/2020 15:36

Yeah, When the government bail-out comes it will be at a 66% discount against the current share price as Germany and Lufthansa. Alternatively, nationalization.

[nathandc] 27/5/2020 15:32

Probably why the share price is near rock bottom and not at 600+ ?

[eriktherock] 27/5/2020 15:10

Take a look at the Interim Management Statement 3 month Results at end March 2020 >

[pander45] 27/5/2020 14:50

Airline profit margins are wafer thin. Capacity on flights is guaranteed to be impacted. Losses are inevitable. Just because a business is restarting does not mean it's model can make profit with severe constraints.

[swiss tony] 27/5/2020 12:57

It takes a brave person to short airlines right now.
Gap up to about £4, smashing resistance as it goes, hedge funds and retail investors looking for the last couple of sectors to rebound after Covid, strong stable company who's profits are in the billions, doubting people will be bursting to go on holiday after 2 months of lockdown...

What's the upside to shorting this now? Covid has been priced in at £2 ish, now we are looking forward to resuming flights in around a month. Who says the market doesn't look forward?

[careful] 27/5/2020 12:19

It feels as though we shall all get back to normal very quickly.
Pandemic, what pandemic?

History is littered with non events that seemed important at the time.
IAG will take a short term hit, but people soon forget.


I got a speeding fine, had to go to a speed awareness course.
They taught me that those signs with a red circle with a 30 inside meant I had to drive at below 30 mph. Amazing.
For a while I read every speed sign, never realised there were so many.
But soon I was back to normal, never read a sign, don't notice, don't care.

Same as George Best with his new liver.He became teetotal for a sort while.
Then back to normal, binge drinking.
That is how it will be, back to normal very quickly.

[younasm] 27/5/2020 12:13

Yep, I closed some recent purchases and started going short this morning (from 243). I will add to shorts and adjust / close as needed to make profits. The best thing about IAG is the volatility keeps everyone guessing how far each move will go.I don't have targets like sub-150p or 400/500p; I just try to achieve 30-50p gain in each trade and sometimes I will close if share price gets too "boring" - it's better to start a fresh.Good luck.

[hamhamham1] 27/5/2020 12:03

If you think it's going down the swanny, short it, if you think the share price is going to recover, go long.

[younasm] 27/5/2020 11:58

Do you have a long /short position in IAG ?

[hamhamham1] 27/5/2020 10:06

I see more upside to SIG plc, gov going to promote insulation, etc in the impending house building spree which will part of their capital projects.

[loganair] 27/5/2020 09:52

Greece has produced a White List of countries, unless on this White List then their borders remain closed - Britain in not on the White List therefore I would not take a chance on booking a holiday to Greece this Summer.

Like with the Isle of Man, if the flight has not been cancelled, but passengers can not go because the border is closed them then they have no recourse to get a refund from the airline.

[ny boy] 27/5/2020 09:38

Onwards & upwards, bullish markets now the key S&P 500, 200 day ma has broken through 3000 level, bulls are out feasting again on bargains.

(SAGA) is breaking out, big upside move likely after a long period of consolidation dyor

[watfordhornet] 27/5/2020 09:29

Eh! I think you are a bit behind.Why would IAG let or need to let U.K. government do that. Many options prior to that

[hamhamham1] 27/5/2020 09:29

Look for any decent company who is down over 50% since February.
If they a sounds company, and in the right markets, they will likely double their share price over a couple of years.
Easy money, but I avoid spreads and CFDs.
Let's watch and see.

[nathandc] 27/5/2020 09:26

IAG have cash

[hamhamham1] 27/5/2020 08:57

Long, long, long on any good company shares.
Yesterday was tipping point confirmation.