Put into Perspective15 Aug 2020 16:06
Hi i dont post often but do read posts, both positive and negative... sometimes its good to step back and look at things in the clear light of day, is Cineworld SP underpriced? IMO yes... why?
1) They have probably conserved cash better than forecasted... we will find out in September.
2) they have already stated that they could survive until well in to next year even without opening this year.
3) cinemas are open in the majority of countries with the US to open back up soon.
4) unlimited card revenue is starting to roll in again, and at the end of this month Uk membership monies will start rolling in.
5) The share price is being deliberately held back, so MM and probably new players from the east can get cheap shares, and make money shorting it...
Will Cineworld go bankrupt... imo no... why some of the previous plus..
1) recent changes in who can own cinemas and interest increasing..
2) liquidity... i know i said that before!
3) court case not for a years time and a lot can happy between now and then, and perhaps an out of court settlement etc.. so less risk today
4) a lot of interest in this share, why would a chinese company buy over 4% of the shares if they didnt think it would survive and also getting a cheap entry-level... and will probably buy more at this giveaway price!
So in summary and IMO keep the faith, dont get distracted by the deramping trolls... like me hold onto your shares, buy more if you can, buckle up and enjoy the ride up to the SP summit... GLA and DYOR....