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Did Kodak Just Go Full Retard?

BG2008

By BG2008
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rb Newbie

rb

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Frankly, I wish that some of the names that I own would go FullTard

Hahahahhah  ....  Hahahahhaha

 

That never happens if you're a rational investor or a value investor. In my career I once got a little retard, like 10%-20% retard and I thanked the heaves for it. If I ever get full 100% retard I buy beers for the whole board.

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valueinvestor Enthusiast

valueinvestor

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I don't think so - on a perfunctory view, it was trading at less than cash per share.

 

Basically zero optimism priced in, low trading volume, and then this 715M loan revolutionized the prospects of this company.

 

If the ingredient is really in a shortage, how hard is it to earn 100M to justify TEV?

 

Literally went from melting ice cube to company with optionality.

 

 

 

 

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BG2008 Mentor

BG2008

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Frankly, I wish that some of the names that I own would go FullTard

Hahahahhah  ....  Hahahahhaha

 

That never happens if you're a rational investor or a value investor. In my career I once got a little retard, like 10%-20% retard and I thanked the heaves for it. If I ever get full 100% retard I buy beers for the whole board.

 

You once got a little retard or your name got a little retard?  I am not looking to go retard.  I want my name to go a little retard. 

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BG2008 Mentor

BG2008

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One of the checklist that I want to have in the future is "Can this name potentially go FullTard?"  It is a legitimate question.  If there is a tech, infrastructure, space travel, or something to hook a retail buyer base on, it's an additional feature. 

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rb Newbie

rb

Posted
Posted

Frankly, I wish that some of the names that I own would go FullTard

Hahahahhah  ....  Hahahahhaha

 

That never happens if you're a rational investor or a value investor. In my career I once got a little retard, like 10%-20% retard and I thanked the heaves for it. If I ever get full 100% retard I buy beers for the whole board.

 

You once got a little retard or your name got a little retard?  I am not looking to go retard.  I want my name to go a little retard.

Sorry, I wasn't clear. I didn't go retard. My name went a little retard. It felt awesome. The previous day I was getting margin calls and shit because of it.

 

Nut now that you mention it I was ready to go a little retard when it happened. A great party definitely happened the next night.

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5xEBITDA Contributor

5xEBITDA

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I don't think so - on a perfunctory view, it was trading at less than cash per share.

 

Basically zero optimism priced in, low trading volume, and then this 715M loan revolutionized the prospects of this company.

 

 

Hey sorry, I don't understand this part.

 

Q1 cash was $209 million, but only $62 million was held within the US. Of the non-US cash, $88 million of cash was in China. My prior discussions with the Company indicate that while it may be possible to get non-US, non-China-based cash back to the US, they cannot get the China cash out easily due to the need to dividend it out of a specific subsidiary which requires both US and Chinese regulatory approval.

 

Assuming all $209 million cash is available, I still don't understand the net cash part. They have $111 million convertible debt outstanding, a $373 million unfunded pension liability, and another $200 million of convertible preferred stock all ahead of the equity. The equity was (and still is?) significantly out of the money and based on some work I did back in April I felt they would require bank debt amendments in order to avoid triggering covenants over the next several quarters.

 

Edit: From what I understand, the government financing is only an LOI and still has some hurdles to clear. Further, their facility has not been built / renovated / approved / etc. Think this is way overdone.

 

On 7/27, 9,312 Robinhood accounts owned KODK stock. At the close today, 113,464 Robinhood accounts owned the stock.

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valueinvestor Enthusiast

valueinvestor

Posted
Posted

I don't think so - on a perfunctory view, it was trading at less than cash per share.

 

Basically zero optimism priced in, low trading volume, and then this 715M loan revolutionized the prospects of this company.

 

 

Hey sorry, I don't understand this part.

 

Q1 cash was $209 million, but only $62 million was held within the US. Of the non-US cash, $88 million of cash was in China. My prior discussions with the Company indicate that while it may be possible to get non-US, non-China-based cash back to the US, they cannot get the China cash out easily due to the need to dividend it out of a specific subsidiary which requires both US and Chinese regulatory approval.

 

Assuming all $209 million cash is available, I still don't understand the net cash part. They have $111 million convertible debt outstanding, a $373 million unfunded pension liability, and another $200 million of convertible preferred stock all ahead of the equity. The equity was (and still is?) significantly out of the money and based on some work I did back in April I felt they would require bank debt amendments in order to avoid triggering covenants over the next several quarters.

 

Edit: From what I understand, the government financing is only an LOI and still has some hurdles to clear. Further, their facility has not been built / renovated / approved / etc. Think this is way overdone.

 

On 7/27, 9,312 Robinhood accounts owned KODK stock. At the close today, 113,464 Robinhood accounts owned the stock.

 

Don’t apologize, I don’t doubt your right. For some reason, I was under the impression they were net cash in my head, as I looked at it some years ago. I didn’t bother to verify, as I thought someone would correct me. So thank you!  :)

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Guest cherzeca

Guest cherzeca

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"On 7/27, 9,312 Robinhood accounts owned KODK stock. At the close today, 113,464 Robinhood accounts owned the stock."

 

curious where you got this datum

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Guest cherzeca

Guest cherzeca

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"On 7/27, 9,312 Robinhood accounts owned KODK stock. At the close today, 113,464 Robinhood accounts owned the stock."

 

curious where you got this datum

https://robintrack.net/symbol/KODK

 

so robin hood is like one big momo community.  actually makes alot of sense to offer this info to their community...

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alpha Apprentice

alpha

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Looks like insidertrading is crime number one:

https://finance.yahoo.com/news/closer-look-kodak-chairmans-stock-173052759.html

There are likely more. I can’t see how Kodak is most qualified to produce pharmaceutical ingredients. There are likely hundreds of more qualified entities.

 

I thought it was odd too. The Kodak CEO and chairman was on yahoo finance this morning trying to explain this. He said that primarily Kodak was not a camera company but a film company so they have lots of infrastructure in place for handling and processing large amounts of chemicals.

 

https://finance.yahoo.com/video/kodak-stock-soars-white-house-155307355.html

 

 

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peripatetic Newbie

peripatetic

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I don't understand it.  I don't see that they have any qualifications to produce any of these drugs at any price.  Why Kodak?  Forget the loan.  Why are they getting a contract?

 

Exactly. I keep waiting for the real contract manufacturers to get a covid-induced run. REPH would be a good candidate, and is trading near all time lows. Somebody tell the Robinhood crowd.

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Gregmal Grand Master

Gregmal

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Does this have retard potential?

 

https://www.prnewswire.com/news-releases/soc-telemed-to-merge-with-healthcare-merger-corp-301102426.html

 

Ive noticed "some" favorable setups in the "potential retards". You'd again have to think some of the SPAC's present favorable setups with the NAV backstop and leverage in warrants. You also have to bring yourself to buying things that arent typically the preferred cup of tea. Certainly not for everyone. And certainly have to be willing to gamble and therefor allocate responsibly.

 

I'd highlight the obvious risks, especially known to SPACs...such as, from the release...

 

TJ Carella, Managing Director at Warburg Pincus, said, "We are excited to join forces with the HCMC team and to continue our partnership with SOC in delivering value to its many customers." Amr Kronfol, Managing Director at Warburg Pincus, added, "We are very grateful to Paul for his leadership of SOC and believe that Steve and John are well positioned to drive the company forward in this next phase of its growth."

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