Originally Posted by
rover4618
What kind of fool world do you live in ? If AA goes under and several different airlines pickup some of their routes there is no take over Johnny. Take a deep breath, sit down, have a cup of hot coco. I know this has got to be hard for you.
The game has changed and somebody has to get squeezed out so the others can survive and I know who its gonna be ...
You have not made a single articulate argument for your position that accounts will be zero'd out.
Originally Posted by
rover4618
Is Chapter 11 Inevitable?
...Calhoun also made the financial headlines by predicting that by the end of 2020, a major airline will “most likely” have gone out of business. This bleak outlook, coming from the chief of Boeing, should send shivers down the spine of AAL stockholders.
While it’s true that Calhoun didn’t mention American Airlines by name, it’s hard
not to think of that particular company. As
InvestorPlace contributor Thomas Niel suggests,
American Airlines’ rate of cash burn is staggering:
UH OH !!
And what else did the article say?
"Things sound bleak for American Airlines. Yet, with the share price falling below $10 per share, the stock could be bottoming out."
"Nevertheless, don’t see this to mean, “American stock is heading to zero.” Granted, air travel could remain depressed for several years."
And not a single reference to the mileage program folding, which is what you have been suggesting..
And what was the author's advice...
"Bottom line: wait for American Airlines shares to head lower before entering a position. At prices far in the single-digits, the potential price appreciation could more than make up for the risk."
So the author says if the stock gets to the low single digits,
buy. Doesn't sound like they think bankruptcy is on the horizon.