Use access key #2 to skip to page content.
$7.47 1.77 (31.05%)
7/8/2008 4:01 PM

Northwest Airlines Corp (NWA)

CAPS Rating:
*

The Company is engaged in the business of transporting passengers and cargo. The Company's business focuses on the operation of a global airline network through its strategic assets.

View All Commentary (NWA)

Recs

4

Avatar TheAsterion (99.42) Submitted: 11/12/07 4:31 PM : Outperform Start Price: $17.70 NWA Score: -45.30

Here is a company that has sucked gas for quite some time, in a tough sector, etc. It may keep going down for quite some time (I'm terrible with timing), but I'm going to go out on a limb against the caps community- let me tell you why.








1) This company has a PE of 2.1 according to yahoo finance. they make 1.8 billion a year in net earnings with a market cap of 4.6 billion. VERY cheap with powerful earnings.





2) Manageable debt (relative). 6 billion debt with 3 billion of cash on hand. They should be able to cashflow their way out of the economic downturn, and should do great when things recover years from now.





3) 15% profit margin in an AIRLINE. compare with southwest at 6%, delta at -1%, continental at 3%, and USAirways at 4%, and frontier at -1%. An airline with a moat.

Report this Post Replies: 4 | Reply

Avatar leohaas (99.90) Submitted: 3/26/08 3:36 PM

Recs: 0 | Rec This

So, when do you think this one is going up? According to Yahoo financial, their P/E is now 0.88! That is a screaming buy...

Report this Post Reply

Avatar zygnoda (93.01) Submitted: 4/15/08 4:56 PM

Recs: 0 | Rec This

Perhaps when all the other airlines vanish into thin air?

Report this Post Reply

Avatar FleaBagger (99.62) Submitted: 5/01/08 2:58 PM

Recs: 0 | Rec This

I don't know how to break it to you, but YFin's stats on companies coming out of bankruptcy are all screwed up. Try looking at IMMR, which has a low reported P/E and is a growing company with cool tech patents, and is not an airline.

Report this Post Reply

Avatar shortmcb (99.60) Submitted: 6/05/08 1:49 PM

Recs: 0 | Rec This

have you seen their EPS? -$7.5 per share! i think you left that part out. i dont even touch stocks with - EPS.

Report this Post Reply

Featured Broker Partners