Bombardier Inc (B)

BBD.B-T

A poorly managed company that struggles to deliver on its products. There's no end to their problems. BBD needs to reduce its huge debt and get the family out of ownership, though it's not possible now. It also needs to get rid of its dual-class share structure.

A company that he really tried to like. There is a trust deficit. There is a potential for an upside. He definitely wouldn't be adding here.

They've sold off some of their businesses and are left with the core. They rely on their business jet. They are fairly levered and isn't in a rush to buy. It's fairly or over-valued now.

How does this sector behave in a recession? It's a high-growth cyclical stock, so it will underperform during volatility and outperform during market strength. It's down around 50% over the past year. He has recommended it in the past around $1.30, then he sold it around $3. Yes, there's big upside here, but also great volatility. Very risky.

Everytime it get close to $2, he buys. It's built a bottom at $2. A nice range between $2-4 and that's how he'd play it. BBD is fine long term given a constant flow of contracts. BBD should be much higher.

It'll come down to BBD executing and meeting targets, but there are ingrained cultural issues here.

Not a fan. But people extoll its virtues. It is cheap, but she's not a fan of value. If you want to trade it, go ahead. But it's not a long-term hold.

It is a good day today. It has been a bad 6 months. He has been short it. No cash flow or return on equity. They have too much debt.

They effectively sold their airplane division. He looks for companies with good balance sheets and strong margins. He does not see this as a good margin business and would rather look for more quantifiable investments.

This company has never really made money. The time to buy is when they are in real trouble, because the government will always help them out. It is really a work creation strategy for the government in Quebec. It never makes money. He would trade it, but not own it long term.

He thinks it was an overdone situation. They have a history of disappointing investors over the years. $1.80 is a pretty significant level. We have a significant seasonal period coming up. It is on track to meet its targets of free cash flow. Yesterday's announcement with New Jersey transit adds to the tailwinds. (Analysts’ price target is $4.60)

He is looking at it. It has been on his watch list for quite a while. They made the same mistake as before when they ran up debt. They are selling off things that will hurt them. They don't seem to care that much about Canada now. Governments may be less likely to feed them in the future. It could be a good buy later on. He would rather sit back and watch it.

Was following an uptrend, went parabolic, and then fell right out of bed and has continued its waterfall decline. It's like a lot of other stocks, but more of an aggressive breakdown. To him, he has less confidence in an immediate turnaround. He'd like to see a base and for it to go sideways for a while. He's not interested now.

It is a risky name. They have dramatically improved their balance sheet. An asymmetric bet in terms that a lot of potential upside if there is no recession and they execute and not much downside if there is a recession.