RE: Dropping like a stone24 Mar 2023 15:58
Noah, the problem with a cash/deep recession is not *just* people buying enough AML cars, it's the debt.
No institution wanted to touch AML's debt when rates were 0%, there is zero chance of this happening when the financial world is imploding around them and rates are far higher. It's a risk off environment for the foreseeable.
The Saudis will lose more than most, because all they do is 'invest' in shiny western brands. You say PIF will finance the debt, why didn't they do it last year during the RI then? Stroll missed a trick. He should have made that a pre-requisite for buy-in, played hardball.
Debt ridden companies are folding every day now.
The short squeeze is over here, another short term Stroll manouvre.
I wish he would make better decisions rather than short term schemes (like 20-1 stock splits) which always run out of fuel.
Fundamentals are going to be key in the next couple of years, the days of easy profits on cheap money all gone.
Read up, keep cash aside and know what you will buy when things meltdown.
Before every crash is extreme volatility.