nycfuturepilot
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Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 1:34 am

I've been tracking Delta's stock (symbol: DALRQ) for a while and noticed today that it took a 25% drop but no news posted on it. Any informtaion? Thanks
Father, Son, HOYA spirit
 
isitsafenow
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 1:42 am

It's quite simple.....
Wall street thinks Delta is going to pull a Braniff if they dont either merge or implement a plan by mid summer.
safe
If two people agree on EVERYTHING, then one isn't necessary.
 
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clickhappy
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 1:44 am

because they will emerge from C11 in April, and said shares will be worth $0.00 per share.
 
thegooddoctor
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 1:49 am

Quoting Isitsafenow (Reply 1):
Wall street thinks Delta is going to pull a Braniff if they dont either merge or implement a plan by mid summer.
safe

Wasnt someone asking where US could get wide-bodies in a hurry?  Wink
The GoodDoctor
 
cubastar
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 1:51 am

Quoting Isitsafenow (Reply 1):
It's quite simple.....
Wall street thinks Delta is going to pull a Braniff if they dont either merge or implement a plan by mid summer.
safe

Are you serious or just tounge in cheek?
 
isitsafenow
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 4:56 am

Quoting Cubastar (Reply 4):
Are you serious or just tongue in cheek?

I read a lot of financials in a day and the money boys are not keen of DL, or any airline for that matter.
The only carrier that has shown stock improvement the past 120 days is Allegiant..ALGT.

I have been watching it closely...
safe
If two people agree on EVERYTHING, then one isn't necessary.
 
bagoldex
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 5:08 am

DL's going to crash and burn if they don't merge or come up with an exit strategy. At the current pace money is falling out of their coffers there is no way they can, nor deserve to stay in business. Basically they are over extending themselves with new routes and such when they should be contracting in order to keep themselves in the black. I wonder if those FA's will be singing keep delta my delta as they're spending the long hot summer in the unemployment line. This airline is clearly more concerned with image than profitability, take a look at where that got Pan Am, TWA and Eastern. It makes sense, we haven't had a great American company crash in a while and this will be the perfect reality check.
 
haggis79
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 5:14 am

Quoting BAGoldEx (Reply 6):
DL's going to crash and burn if they don't merge or come up with an exit strategy. At the current pace money is falling out of their coffers there is no way they can, nor deserve to stay in business. Basically they are over extending themselves with new routes and such when they should be contracting in order to keep themselves in the black. I wonder if those FA's will be singing keep delta my delta as they're spending the long hot summer in the unemployment line. This airline is clearly more concerned with image than profitability, take a look at where that got Pan Am, TWA and Eastern. It makes sense, we haven't had a great American company crash in a while and this will be the perfect reality check.

blah blah blah... is that hatred or envy talking or what? IF DLs state was so bad as you say, why haven't their creditors taken US' offer then? Besides, if I'm not mistaken, they actually have come up with an exit strategy quite some time ago...
300 310 319/20/21 332/3 343 AT4/7 143 B19 732/3/4/5/G/8/9 742/4 752/3 763/4 77E/W CR2/7/9 D95 E45/70 F50 F70 100 M11 M90
 
jettaknight
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 5:22 am

Quoting Isitsafenow (Reply 5):
The only carrier that has shown stock improvement the past 120 days is Allegiant..ALGT.

Are you forgetting YX? They've gone from $8.50 to $13.50, or does the FL buyout offer disqualify them?
 
AeroWesty
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 5:39 am

Delta is a bankrupt company with their shares traded on the pink sheets. Volume in the stock is nearly 38 million shares so far today vs. a daily average of 5.5 million. It appears someone is moving out of a position, for one reason or another, and blowing through the market maker's bids.

Anything in life is only worth what someone else is willing to pay for it. If you put an extra 30 million shares of a bankrupt company on the market to sell, prices are going to go down if there isn't positive news to generate the interest of buyers.
International Homo of Mystery
 
haggis79
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 6:05 am

Quoting AeroWesty (Reply 10):
Volume in the stock is nearly 38 million shares so far today vs. a daily average of 5.5 million. It appears someone is moving out of a position, for one reason or another, and blowing through the market maker's bids.

ok this certainly explains the drop in stock value.... thanks for the insight. Any speculation about where (or better who) these shares came from?
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Boston92
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 6:08 am

Plus, didn't they just post a 2B loss?
"Why does a slight tax increase cost you $200 and a substantial tax cut save you 30 cents?"
 
haggis79
Posts: 535
Joined: Tue Jun 27, 2006 8:05 pm

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 6:11 am

Quoting Boston92 (Reply 12):
Plus, didn't they just post a 2B loss?

they did... but that's been a few days ago already, so the stock would have dropped earlier if it was due to that loss...
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mham001
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 6:18 am

Quoting Isitsafenow (Reply 5):
I read a lot of financials in a day and the money boys are not keen of DL, or any airline for that matter.
The only carrier that has shown stock improvement the past 120 days is Allegiant..ALGT.

Are you telling me that 49.7% gain I show for LAN (LFL) since December is just an illusion?
 
ScottB
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 6:22 am

Quoting BAGoldEx (Reply 6):
DL's going to crash and burn if they don't merge or come up with an exit strategy.

Is this guy USAirPlatinum under a different name?

Quoting Nycfuturepilot (Thread starter):
I've been tracking Delta's stock (symbol: DALRQ) for a while

I wouldn't put any stock, so to speak, in the performance of a bankrupt company's stock. Delta's management has repeatedly stated that the shareholders would receive nothing for their shares when the company emerges. The creditors and other stakeholders (employees, management) will receive all of the reorganized company's shares. This is why you'll see them post a paper profit in the neighborhood of $20 billion when they emerge from bankruptcy; all of those "liabilities subject to compromise" on the balance sheet will be wiped out in exchange for Delta shares.
 
mham001
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 6:29 am

Quoting Isitsafenow (Reply 5):
I read a lot of financials in a day and the money boys are not keen of DL, or any airline for that matter.
The only carrier that has shown stock improvement the past 120 days is Allegiant..ALGT.

On second thought, you need to find some new analysts to read, unlees they are saying airlines are already reached their peak.
You might want to add the 25%+ gain for Ryan Air(RYAAY) over the last 3 months to the list. Sure wished I had pulled the trigger on that one in 04...
 
twolz2rn
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 6:32 am

someone must have heard that DL wants to change their livery...


Delta's New Livery?
 
AeroWesty
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 7:25 am

Quoting Haggis79 (Reply 11):
Any speculation about where (or better who) these shares came from?

No clue. A sell that went through a certain price level may have simply triggered Stop Sell orders from other investors, upping the volume and pushing down the price. It didn't need to be from anyone in particular.
International Homo of Mystery
 
bagoldex
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Joined: Thu Jan 25, 2007 3:33 pm

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 9:01 am

Quoting ScottB (Reply 15):
Is this guy USAirPlatinum under a different name?

Nope, but I always love the mindless conspiracy theories, as if I really (over)paid to join a message board just to screw with people as you suggest. Get a grip.
 
turpentyine
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 12:17 pm

So if I buy DL stock right now once it comes out of bankruptcy my stock will be worth zero, and I am going to have to buy new shares that they issue once they are out?
 
Delta787
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 12:31 pm

Quoting Boston92 (Reply 11):
Plus, didn't they just post a 2B loss?

Most of it was a paper loss.
Fly Delta!
 
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mariner
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 12:34 pm

Quoting Turpentyine (Reply 19):
So if I buy DL stock right now once it comes out of bankruptcy my stock will be worth zero

That is exactly what happened with United shares.

mariner
aeternum nauta
 
deltal1011man
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 12:41 pm

Quoting BAGoldEx (Reply 6):
DL's going to crash and burn if they don't merge or come up with an exit strategy. At the current pace money is falling out of their coffers there is no way they can, nor deserve to stay in business. Basically they are over extending themselves with new routes and such when they should be contracting in order to keep themselves in the black. I wonder if those FA's will be singing keep delta my delta as they're spending the long hot summer in the unemployment line. This airline is clearly more concerned with image than profitability, take a look at where that got Pan Am, TWA and Eastern. It makes sense, we haven't had a great American company crash in a while and this will be the perfect reality check.

I really wounder i really do wounder why people on this site dont understand that Delta will be out of BK at the latest by July. They have pretended there plan in front of the judge and guess what it got approved and hey have started to go get votes. So i dont get it did EA or PA and TW get to that point? DL will stay a standalone carrier and if they merger with anyone it will be NW. The DL/US deal is DONE!!!!!!!!!!! I just don't get why you people don't get it that Delta will stay my Delta and will be out of BK in 3 to 4 months!
New airliners.net web site sucks.
 
deltal1011man
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 12:42 pm

DL's stock will be worthless in a few months so i bet thats why it dropped.
New airliners.net web site sucks.
 
AeroWesty
Posts: 19551
Joined: Sat Oct 30, 2004 7:37 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 12:59 pm

Quoting DeltaL1011man (Reply 23):
DL's stock will be worthless in a few months so i bet thats why it dropped.

Stock prices move for reasons, not on whims. It's a pink sheet stock, so it has market makers behind it. They adjust the price according to supply and demand via bids and offers. A market maker will rarely discount their supply of a stock by 25% "just because it's going to be worthless soon" if there are active bidders in the market.

People buy shares of bankrupt stocks all the time for various reasons. If I was still in the business, I could just pick up the phone and call one of my pink sheet houses and ask the reason why it moved today like it did.
International Homo of Mystery
 
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Acey559
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 1:05 pm

Quoting BAGoldEx (Reply 6):
DL's going to crash and burn if they don't merge or come up with an exit strategy. At the current pace money is falling out of their coffers there is no way they can, nor deserve to stay in business. Basically they are over extending themselves with new routes and such when they should be contracting in order to keep themselves in the black. I wonder if those FA's will be singing keep delta my delta as they're spending the long hot summer in the unemployment line. This airline is clearly more concerned with image than profitability, take a look at where that got Pan Am, TWA and Eastern. It makes sense, we haven't had a great American company crash in a while and this will be the perfect reality check.

 laughing  There's my good laugh for the night!
 
Silver764
Posts: 58
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 1:06 pm

The stock will be worth nothing once they exit bnk. Sell now. New stock will be re-issued.
 
milesrich
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 2:21 pm

The better question is the stock trading above a few cents. The answer is simple, STUPID speculators. As others have written, correctly, I might add, the Stock is worthless. When DL emerges from Chapter 11, and new stock is issued, the old stock will no longer be traded and will be worthless. But there are many fools who gamble on a roulette wheel and that is what buying Delta stock is, hoping to find the greater fool a few days later.

As far as the $2Billion loss, that is all on paper. The airline is generating cash. They aren't going to pull a Braniff. If there was a real risk of shutdown or failure, the creditors would have jumped at the US Airways offer. I remember reading the same garbage about United on these boards.

Delta may merge, that is a real possibliity, but their stock has been worthless for a long time. No one with any brains would buy it. All of the disclosures warn investors that it will be worthless, but there are still plenty of greedy stupid people out there who trade penny stocks. But the stock has absolutely no value.
 
steeler83
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 3:14 pm

Quoting Acey559 (Reply 25):
Quoting BAGoldEx (Reply 6):
DL's going to crash and burn if they don't merge or come up with an exit strategy. At the current pace money is falling out of their coffers there is no way they can, nor deserve to stay in business. Basically they are over extending themselves with new routes and such when they should be contracting in order to keep themselves in the black. I wonder if those FA's will be singing keep delta my delta as they're spending the long hot summer in the unemployment line. This airline is clearly more concerned with image than profitability, take a look at where that got Pan Am, TWA and Eastern. It makes sense, we haven't had a great American company crash in a while and this will be the perfect reality check.

There's my good laugh for the night!

Then this guy should have come to Pittsburgh about a decade or two ago. Not just one great American company, but SEVERAL... Enough to cripple a city... like the one mentioned in this post! Jones & Laughlin, LTV... USAir came close!

"We haven't had a great American company crash in a while..." Is this some attack against the American way here?
Do not bring stranger girt into your room. The stranger girt is dangerous, it will hurt your life.
 
jetdeltamsy
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 4:29 pm

Quoting Nycfuturepilot (Thread starter):
noticed today that it took a 25% drop but no news posted on it. Any informtaion?

It's not rocket science. When Delta emerges from bankruptcy, the stock will be void/have no value. Expect it to continued trading downward until the last profit takers pull out. You don't buy stock in a bankrupt company.

Quoting Isitsafenow (Reply 1):
Delta is going to pull a Braniff if they dont either merge or implement a plan by mid summer.

What exactly did Braniff "pull"? If you mean they went out of business, to compare the scenarios of the two companies is ridicilous. Delta has $3.0 billion on hand with another $2.5 billion lined up for exit financing. Unless there is a major disruption in fuel supplies or a major terrorist incident, there is little chance Delta will be out of business by mid-summer.

If Braniff "pulled" something else, please elaborate.
Tired of airline bankruptcies....EA/PA/TW and finally DL.
 
Dazed767
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Joined: Tue May 18, 1999 11:55 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 4:58 pm

Quoting Jetdeltamsy (Reply 29):
You don't buy stock in a bankrupt company.

NW was around .40-.50 for awhile, and shot up over $6. I just don't think DL will do the same for me....
 
elmothehobo
Posts: 965
Joined: Thu Aug 10, 2006 11:10 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 7:56 pm

Quoting Isitsafenow (Reply 5):
The only carrier that has shown stock improvement the past 120 days is Allegiant..ALGT.

I don't know what you're talking about, check the performance of all airline stocks and you'll see your statement doesn't make any sense. American and Continental have made big leaps, not only over the past 120 days, but over the past 3 years.

Quoting Turpentyine (Reply 19):
So if I buy DL stock right now once it comes out of bankruptcy my stock will be worth zero, and I am going to have to buy new shares that they issue once they are out?

Yes.

Quoting Silver764 (Reply 26):
The stock will be worth nothing once they exit bnk. Sell now. New stock will be re-issued.

Only problem with selling now is you're selling stock for just about nothing. I'd be pissed if I bought Delta stock pre-9-11 and was forced to sell it while it was penny stocks. Again, another problem with Chapter 11 is destruction of shareholder value.
 
DLPMMM
Posts: 2118
Joined: Wed Apr 20, 2005 12:34 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 8:58 pm

Quoting Isitsafenow (Reply 1):
It's quite simple.....
Wall street thinks Delta is going to pull a Braniff if they dont either merge or implement a plan by mid summer.
safe

You don't know what you are talking about. With over $3 B in cash there is no chance that DL will close down during the summer, when cash flow is always positive.

Quoting BAGoldEx (Reply 6):
DL's going to crash and burn if they don't merge or come up with an exit strategy. At the current pace money is falling out of their coffers there is no way they can, nor deserve to stay in business. Basically they are over extending themselves with new routes and such when they should be contracting in order to keep themselves in the black. I wonder if those FA's will be singing keep delta my delta as they're spending the long hot summer in the unemployment line. This airline is clearly more concerned with image than profitability, take a look at where that got Pan Am, TWA and Eastern. It makes sense, we haven't had a great American company crash in a while and this will be the perfect reality check.

You are also completely wrong. DL has been cash flow positive since entering Chapter 11. Money is not "falling out of their coffers". If you are really a 21 to 25 year old hedge fund manager and this is the financial research you regularly do, I would suggest that you find a new occupation very soon.

Quoting Clickhappy (Reply 2):
because they will emerge from C11 in April, and said shares will be worth $0.00 per share

Correct

Quoting Boston92 (Reply 11):
Plus, didn't they just post a 2B loss?

True

Quoting Delta787 (Reply 20):
Most of it was a paper loss.

Also true

Quoting Milesrich (Reply 27):
The better question is the stock trading above a few cents. The answer is simple, STUPID speculators. As others have written, correctly, I might add, the Stock is worthless. When DL emerges from Chapter 11, and new stock is issued, the old stock will no longer be traded and will be worthless. But there are many fools who gamble on a roulette wheel and that is what buying Delta stock is, hoping to find the greater fool a few days later.

As far as the $2Billion loss, that is all on paper. The airline is generating cash. They aren't going to pull a Braniff. If there was a real risk of shutdown or failure, the creditors would have jumped at the US Airways offer. I remember reading the same garbage about United on these boards.

Delta may merge, that is a real possibliity, but their stock has been worthless for a long time. No one with any brains would buy it. All of the disclosures warn investors that it will be worthless, but there are still plenty of greedy stupid people out there who trade penny stocks. But the stock has absolutely no value.

Nail on the head.

Quoting Dazed767 (Reply 30):
NW was around .40-.50 for awhile, and shot up over $6. I just don't think DL will do the same for me....

Please show me where NW stock shot up $6.00 after NW entered Chapter 11. NW stock will also be worth zero when they exit Chapter 11.
 
art
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Joined: Tue Feb 08, 2005 11:46 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 9:02 pm

Quoting Mham001 (Reply 15):
You might want to add the 25%+ gain for Ryan Air(RYAAY) over the last 3 months to the list. Sure wished I had pulled the trigger on that one in 04...

You're gonna wish you pulled the trigger on Easyjet (LSE ticker EZJ) in 2006 even more: 75% gain over the last 12 months.

[Edit] Or British Airways for that matter - up two thirds in lst 12 months

[Edited 2007-02-17 13:21:29]
 
UALMMFlyer
Posts: 120
Joined: Sun Dec 11, 2005 8:51 pm

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 9:39 pm

Quoting Clickhappy (Reply 2):
because they will emerge from C11 in April, and said shares will be worth $0.00 per share.

Here is the correct answer  checkmark 
Treat others like you'd like to be treated!
 
art
Posts: 2670
Joined: Tue Feb 08, 2005 11:46 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 9:48 pm

Quoting ScottB (Reply 14):
Delta's management has repeatedly stated that the shareholders would receive nothing for their shares when the company emerges. The creditors and other stakeholders (employees, management) will receive all of the reorganized company's shares.

I've got to ask: if DL stock will be worthless in April and stockholders will receive all of the reorganised company's shares, why is DL stock not worthless now?
 
kiwiandrew

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 9:53 pm

Quoting Art (Reply 35):
I've got to ask: if DL stock will be worthless in April and stockholders will receive all of the reorganised company's shares, why is DL stock not worthless now?

firstly , that should be stakeholders as per the original quote , not 'stockholders' .

secondly , the reason the stock is not worthless now is because people who do not understand that it will be worth nothing in April are still prepared to throw their money away on it - a stock is worth whatever people are prepared to pay for it and at the moment some people are prepared to pay for it regardless of logic
 
CrazyHorse
Posts: 316
Joined: Wed Nov 02, 2005 12:16 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 10:00 pm

Quoting Art (Reply 35):
I've got to ask: if DL stock will be worthless in April and stockholders will receive all of the reorganised company's shares, why is DL stock not worthless now?

Many day trader and same nuts who throw their money to the marktmaker.
As day trader you can earn much money whit such a stock, but it´s very risky. Every stock on the Other OTC is very, very risky.
 
art
Posts: 2670
Joined: Tue Feb 08, 2005 11:46 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 10:29 pm

Quoting Kiwiandrew (Reply 36):
Quoting Art (Reply 35):
I've got to ask: if DL stock will be worthless in April and stockholders will receive all of the reorganised company's shares, why is DL stock not worthless now?

firstly , that should be stakeholders as per the original quote , not 'stockholders' .

Sorry, my bad. Ineed I meant to say stakeholders wil receive shares (whereas existing stockholders will not).
 
Evan767
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RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 10:45 pm

If some people are dumb enough to invest in airline stock, then it's their fault they are losing money.
The proper term is "on final" not "on finals" bud...
 
CrazyHorse
Posts: 316
Joined: Wed Nov 02, 2005 12:16 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 10:53 pm

Quoting Evan767 (Reply 39):
If some people are dumb enough to invest in airline stock, then it's their fault they are losing money.

Not really true, look at the Chart of BA or Qantas. With this airlines had a great performance the last time.
But airline stocks are very risky, this day´s.

http://www.boersencenter.at/index.as...me=BRIT.%20AIRW.%20LS-,25%20ADR/10

http://www.boersencenter.at/index.as...menuId=1&pathName=QANTAS%20AIRWAYS
 
Evan767
Posts: 2198
Joined: Wed Aug 24, 2005 10:52 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 11:04 pm

Quoting CrazyHorse (Reply 40):
But airline stocks are very risky, this day´s.

My point exactly....
The proper term is "on final" not "on finals" bud...
 
norcal
Posts: 1507
Joined: Sun Mar 20, 2005 1:44 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 11:21 pm

How about short selling the stock? Could that make a little money?
 
CrazyHorse
Posts: 316
Joined: Wed Nov 02, 2005 12:16 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sat Feb 17, 2007 11:28 pm

Quoting NorCal (Reply 42):
How about short selling the stock? Could that make a little money?

I think with short selling Delta you can earn a good money in the next time, but you had to stop, at the right time.
Many market maker will do that in next time, that´s for sure.
 
socalfive
Posts: 474
Joined: Sat Mar 10, 2001 5:37 am

RE: Whats Going On With Delta Today- Stock Down 25

Sun Feb 18, 2007 1:28 am

Quoting Milesrich (Reply 27):
The answer is simple, STUPID speculators.

Well there may be some STUPID speculators still in the Delta Market but there's plenty of smart people probably up until today having made PLENTY on DL *while* during the BK. I used to routinely buy BK companies because if you watch what's going on, there's LOTS of money to be made day-trading the OTC slips of a company in BK. There's tons of volume and if you're SMART, not STUPID you can make a ton. I took a year off at the beach after what I made on Enron as it went BK. First rule in stock trading is not to be emotional, yet, that's exactly what everyone is. Then go profit on that human weakness in the day market, if you pay attention, there's plenty to be made.

DL stock became scrap paper the minute after it went bankrupt but it's still traded and will be until it emerges from BK under a new symbol. Until then it will swing in price (not value) and in greater volume until one day it falls to zero and is delisted. That day will be right as the BK exit plan is approved and it transitions. Until then, it CAN still be profitable for those STUPID fools that have the balls to speculate. Where do you think humanity would be by the way without "speculation" and risk taking? Fools? ...not all of them.
 
jacobin777
Posts: 12262
Joined: Sat Sep 11, 2004 6:29 pm

RE: Whats Going On With Delta Today- Stock Down 25%

Sun Feb 18, 2007 1:39 am

Quoting Mariner (Reply 21):
Quoting Turpentyine (Reply 19):
So if I buy DL stock right now once it comes out of bankruptcy my stock will be worth zero

That is exactly what happened with United shares.

mariner

what happens with 99.99% of companies which come out of bk....their stocks are worthless...this happens because the people who own the "IOU's" don't get the $1 back they invested....of which they are theoretically (and legally) entitled to....add to bankruptcy costs, etc. and its quite obvious as to why stock holders don't get anything back.... Smile

Quoting NorCal (Reply 42):
How about short selling the stock? Could that make a little money?

short selling penny stocks is not the best thing to do.....stocks gap up all the time, and there is nothing really one can do..and shorting a penny stock like DL might be difficult because its already known the stock will be going down to zero......

If one wants to short an airline stock like B6, ect. then I would recommend purchasing a "call" option for the stock, that way if the stock goes up, one will have a finite loss (as long as the amount of options contracts=amount of stocks i.e.-4 option contracts= 400 shares.)...think of it as an "insurance policy" for one's trade..

regards...
"Up the Irons!"
 
floridaflyboy
Posts: 1496
Joined: Sat Jun 03, 2006 3:26 pm

RE: Whats Going On With Delta Today- Stock Down 25%

Sun Feb 18, 2007 1:44 am

Quoting BAGoldEx (Reply 6):
At the current pace money is falling out of their coffers there is no way they can, nor deserve to stay in business.

Why would you say they don't deserve to stay in business? Any business deserves to stay in business. Maybe you should think of all the jobs lost and lives ruined before you post something like that. Some people on A.net seem to only care about their preferred carrier and could care less about all the others who work for other airlines.
Good goes around!
 
EXAAUADL
Posts: 1740
Joined: Tue Jun 13, 2006 3:48 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sun Feb 18, 2007 1:55 am

Merril donwgraded AMR, which probably had a ripple effect for all airlines, Given just about everyone isworse off financially then AMR, other carreirs took a big hit as well
 
cloudy
Posts: 1613
Joined: Sat Apr 06, 2002 3:23 pm

RE: Whats Going On With Delta Today- Stock Down 25%

Sun Feb 18, 2007 2:05 am

Quoting Socalfive (Reply 44):
DL stock became scrap paper the minute after it went bankrupt but it's still traded and will be until it emerges from BK under a new symbol. Until then it will swing in price (not value) and in greater volume until one day it falls to zero and is delisted. That day will be right as the BK exit plan is approved and it transitions. Until then, it CAN still be profitable for those STUPID fools that have the balls to speculate. Where do you think humanity would be by the way without "speculation" and risk taking? Fools? ...not all of them.

Are you really smart or did you just have a lucky streak?

Speculation on something with no intrinsic value (that is, having no value to ANYONE except for speculative purposes) is a zero sum game. Any money made on it is money lost by someone else. That means it is not investing, but gambling. It is possible to win while gambling, but 99 times out of 100 you will lose the money back in time. Only the smartest players in a gambling market can win consistently - and even they could probably win more by actually earning the money in true investments. I doubt anybody can predict their gambling performance well enough to make it worth the risk, in economic terms. It can be very entertaining, however. And the loosers pick their own fate by participating, so it is hard to feel sorry for them. Just be careful not to join their ranks by letting yourself get arrogant about your own skills.

Most stocks, however, have some intrinsic value that may increase with time. On the whole, the stock market goes up in time - in fact, it earns more than it is possible to make by loaning money through bonds, etc. Buying stocks intelligently for the long term is like playing in a casino where the odds are tilted towards the player rather then the house. To me, that is just as fun and makes much more economic sense then gambling.
 
AeroWesty
Posts: 19551
Joined: Sat Oct 30, 2004 7:37 am

RE: Whats Going On With Delta Today- Stock Down 25%

Sun Feb 18, 2007 2:49 am

Quoting NorCal (Reply 42):
How about short selling the stock? Could that make a little money?

Can't do it, IIRC. Pink sheet stocks are non-marginable, so they can't be used as collateral by a public customer. When you sell a stock short, you're in essence borrowing someone else's shares and selling them, to pay them back with (hopefully cheaper) stock later when you cover your short.

Quoting CrazyHorse (Reply 43):
Many market maker will do that in next time, that´s for sure.

If you wanted to risk landing your ass in jail. If you're a bona fide market maker in a stock, you have to, in almost every instance, have the shares to deliver. If you do a naked short, that could put you into a fail to deliver position. There have been a lot of rule changes regarding naked shorts recently, as they've come under increasing scrutiny due to companies charging that unscrupulous dealers were driving down the prices of stocks intentionally through this practice. I wouldn't make a sweeping generalization that it would be occurring on a widespread basis in any stock.
International Homo of Mystery