Wazua
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Kenya Airways...why ignore..
Rank: Chief Joined: 1/3/2007 Posts: 18,221 Location: Nairobi
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Thiong'o wrote:VituVingiSana wrote:obiero wrote:harrydre wrote:watching this stock closely...rose by 25 cents today. Watch it very closely @harrydre.. Something must give.. The exchange bar gentleman opine that @mbuvingunze decided to pack in all 'historical' losses into the full year results so as to move with reduced baggage. With sale of the obsolete craft, Embakasi land, coupled with weaning of unprofitable international routes via reduced frequency, increased local travel via Jambojet, oil savings via newer efficient planes; a profit for H1 is assured. Thank me later Facts: 1) The old aircraft have not been sold. So they continue 'depreciating' in value as they wait to be sold. Depreciated has to be provided and unless there is real obsolescence the values are carrying book values, depreciation is to ensure prudence in reporting and management is not bound to sell the aircraft at depreciated values if going market rates are higher. The sale if actualized will generate the much needed cash flow -it may be at a gain compared to the already depreciated/book valuesDepreciation is an ongoing expense until the aircraft are sold. Could be higher or lower vs Book Value. Depreciation is a non-cash item but a cost nevertheless. Just like a car, the REALIZABLE worth of planes drop with age. Planes are a-plenty in the market but lower fuel prices has helped make older, less efficient planes more attractive.2) The debts are not going anywhere. They need to be serviced. True, but cash flows from the disposals if actualized can help
When the sales happen. That may bring in 18-25bn. Sales in USD so better realization in KES since KES has weakened. Nevertheless, there's still 100+bn left to service. BTW, other planes coming in FY 2015-6.3) Has the land been sold? What value is the land being carried at in the books?? I suppose Fair value has been used since land is meant for sale otherwise historical cost.
So no major 'gain' to book from this sale. I do hope KQ gets more than they show as the value.4) Lower fuel prices. Good news for Emirates that doesn't hedge.. What’s was the duration for the hedges, the hedge positions are periodically reviewed (may have reduced), this according to a past CEO’s TV interview (citizen)
3 months to 2 years after they have shortened the duration of the hedges i.e. more hedges but for shorter time frames. Apparently, some run into 2016. The bank (Citi, GS) always wins despite what KQ's CFO says.In the meantime, my KK released 1H results... 1) Not selling assets (excluding normal PPE disposals) anymore  [Stations acquired in Rwanda and Burundi are being rehabbed] 2) Debts reduced [Gearing Ratio down to 50% despite selling 8% more volume] as have interest costs [down 43%] 3) Lower fuel prices means higher GPM (no hedging) in 2H 4) Did I mention that KK could hit 3bn PBT for 2015? Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Chief Joined: 1/3/2007 Posts: 18,221 Location: Nairobi
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Robert Crandall, former CEO of American Airlines: "I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment." Keep in mind, Robert Crandall isn't just another stock picker or analyst. He's a former airline executive who has won countless awards for his work in the airline industry. If he doesn't believe airlines are investable, how should we? http://www.fool.com/inve...s-wont-make-you-ric.aspxGreedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Veteran Joined: 7/3/2007 Posts: 1,635
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VituVingiSana wrote:Robert Crandall, former CEO of American Airlines:
"I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment."
I suppose these are the people that Kiyosaki dismissively calls "Managerial Capitalists; with no skin in the game." "The opposite of a correct statement is a false statement. But the opposite of a profound truth may well be another profound truth." (Niels Bohr)
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Rank: Elder Joined: 7/11/2010 Posts: 5,040
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Wakanyugi wrote:VituVingiSana wrote:Robert Crandall, former CEO of American Airlines:
"I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment."
I suppose these are the people that Kiyosaki dismissively calls "Managerial Capitalists; with no skin in the game." Is that your only take away here. Even buffet resists airlines as much as he can. I know there's one he had/has invested in The investor's chief problem - and even his worst enemy - is likely to be himself
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Rank: Elder Joined: 6/23/2009 Posts: 13,775 Location: nairobi
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Aguytrying wrote:Wakanyugi wrote:VituVingiSana wrote:Robert Crandall, former CEO of American Airlines:
"I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment."
I suppose these are the people that Kiyosaki dismissively calls "Managerial Capitalists; with no skin in the game." Is that your only take away here. Even buffet resists airlines as much as he can. I know there's one he had/has invested in Thats a fake CEO who should not be quoted.. A business exists to create profit and shareholder value. That is taught in primary school
COOP 255,000 ABP 15.85; IMH 5,000 ABP 35.55; KQ 604,200 ABP 6.96; MTN 23,800 ABP 5.20
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Rank: Chief Joined: 1/3/2007 Posts: 18,221 Location: Nairobi
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obiero wrote:Aguytrying wrote:Wakanyugi wrote:VituVingiSana wrote:Robert Crandall, former CEO of American Airlines:
"I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment."
I suppose these are the people that Kiyosaki dismissively calls "Managerial Capitalists; with no skin in the game." Is that your only take away here. Even buffet resists airlines as much as he can. I know there's one he had/has invested in Thats a fake CEO who should not be quoted.. A business exists to create profit and shareholder value. That is taught in primary school Like your buddy Naikuni? Or the CFO, Alex? Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Veteran Joined: 7/3/2007 Posts: 1,635
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Aguytrying wrote:Wakanyugi wrote:VituVingiSana wrote:Robert Crandall, former CEO of American Airlines:
"I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment."
I suppose these are the people that Kiyosaki dismissively calls "Managerial Capitalists; with no skin in the game." Is that your only take away here. Even buffet resists airlines as much as he can. I know there's one he had/has invested in What take away? There is nothing to take away As for Buffet, even the oracle gets it wrong once in a while. "The opposite of a correct statement is a false statement. But the opposite of a profound truth may well be another profound truth." (Niels Bohr)
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Rank: Elder Joined: 6/23/2009 Posts: 13,775 Location: nairobi
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Wakanyugi wrote:Aguytrying wrote:Wakanyugi wrote:VituVingiSana wrote:Robert Crandall, former CEO of American Airlines:
"I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment."
I suppose these are the people that Kiyosaki dismissively calls "Managerial Capitalists; with no skin in the game." Is that your only take away here. Even buffet resists airlines as much as he can. I know there's one he had/has invested in What take away? There is nothing to take away As for Buffet, even the oracle gets it wrong once in a while. The oracle is an owner of an airline! Well sort of.. www.forbes.com/sites/mat.../22/warren-buffeett-jet/ It is common knowledge that top management who have a significant stake in the business are better at generation of traction needed for excellent service, growth and profits. Huyo Grandall ni escapist mwenye hafai kuwa CEO. In other news, KQ has gained 19% in last 3 days and is likely to close the week at KES 7.50
COOP 255,000 ABP 15.85; IMH 5,000 ABP 35.55; KQ 604,200 ABP 6.96; MTN 23,800 ABP 5.20
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Rank: Elder Joined: 7/10/2008 Posts: 9,131 Location: Kanjo
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The Stock rose further today + + closing at 6.05 i.am.back!!!!
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Rank: Elder Joined: 6/23/2009 Posts: 13,775 Location: nairobi
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harrydre wrote:The Stock rose further today + + closing at 6.05 At one point it threatened to run up to 6.50 but it could not go higher than the 10% maximum daily CMA rule.. I repeat, the worst is behind us. KQ is on a clear runway, ready for take off
COOP 255,000 ABP 15.85; IMH 5,000 ABP 35.55; KQ 604,200 ABP 6.96; MTN 23,800 ABP 5.20
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Rank: Member Joined: 8/17/2007 Posts: 294
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Flogging a dead horse. Successfully
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Rank: New-farer Joined: 3/3/2010 Posts: 79
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[quote=VituVingiSana]Robert Crandall, former CEO of American Airlines: "I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment." Keep in mind, Robert Crandall isn't just another stock picker or analyst. He's a former airline executive who has won countless awards for his work in the airline industry. If he doesn't believe airlines are investable, how should we? http://www.fool.com/inve...-wont-make-you-ric.aspx[/quote] Where's a credible source?? In the meantime, those who invested in Airline stocks in the US realized an average of +300% gain in the last three years! Knowledge is contagious...Infect truth!
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Rank: Elder Joined: 6/23/2009 Posts: 13,775 Location: nairobi
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Afroblk wrote:[quote=VituVingiSana]Robert Crandall, former CEO of American Airlines: "I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment." Keep in mind, Robert Crandall isn't just another stock picker or analyst. He's a former airline executive who has won countless awards for his work in the airline industry. If he doesn't believe airlines are investable, how should we? http://www.fool.com/inve...-wont-make-you-ric.aspx[/quote] Where's a credible source?? In the meantime, those who invested in Airline stocks in the US realized an average of +300% gain in the last three years! @afroblk please continue to educate our dear brother @vvs.. He made a huge loss on KQ and that makes him insist that the firm cannot turn a corner.. Today KES 6.50 will print. We are taking off!!! :)
COOP 255,000 ABP 15.85; IMH 5,000 ABP 35.55; KQ 604,200 ABP 6.96; MTN 23,800 ABP 5.20
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Rank: Chief Joined: 1/3/2007 Posts: 18,221 Location: Nairobi
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obiero wrote:Afroblk wrote:[quote=VituVingiSana]Robert Crandall, former CEO of American Airlines: "I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment." Keep in mind, Robert Crandall isn't just another stock picker or analyst. He's a former airline executive who has won countless awards for his work in the airline industry. If he doesn't believe airlines are investable, how should we? http://www.fool.com/inve...-wont-make-you-ric.aspx[/quote] Where's a credible source?? In the meantime, those who invested in Airline stocks in the US realized an average of +300% gain in the last three years! @afroblk please continue to educate our dear brother @vvs.. He made a huge loss on KQ and that makes him insist that the firm cannot turn a corner.. Today KES 6.50 will print. We are taking off!!! :) I will not touch KQ until the Management & Board have changed. In particular, the guy who pushed (& benefited from) Project Mawingu. To paraphrase Warren Buffett: Do I trust the Management? No, I do not. That informs my decision to invest however attractive the price or the ratios of any firm I look at. I can't buy enough shares to own 25% to influence any NSE firm so I will remain a minority shareholder who relies on the Board/Management to do the right thing. Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Elder Joined: 7/21/2010 Posts: 6,191 Location: nairobi
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VituVingiSana wrote:obiero wrote:Afroblk wrote:[quote=VituVingiSana]Robert Crandall, former CEO of American Airlines: "I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment." Keep in mind, Robert Crandall isn't just another stock picker or analyst. He's a former airline executive who has won countless awards for his work in the airline industry. If he doesn't believe airlines are investable, how should we? http://www.fool.com/inve...-wont-make-you-ric.aspx[/quote] Where's a credible source?? In the meantime, those who invested in Airline stocks in the US realized an average of +300% gain in the last three years! @afroblk please continue to educate our dear brother @vvs.. He made a huge loss on KQ and that makes him insist that the firm cannot turn a corner.. Today KES 6.50 will print. We are taking off!!! :) I will not touch KQ until the Management & Board have changed. In particular, the guy who pushed (& benefited from) Project Mawingu. To paraphrase Warren Buffett: Do you trust the Management? No. I believe there must have been good commission in all this dealings "Don't let the fear of losing be greater than the excitement of winning."
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Rank: Elder Joined: 6/23/2009 Posts: 13,775 Location: nairobi
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mlennyma wrote:VituVingiSana wrote:obiero wrote:Afroblk wrote:[quote=VituVingiSana]Robert Crandall, former CEO of American Airlines: "I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment." Keep in mind, Robert Crandall isn't just another stock picker or analyst. He's a former airline executive who has won countless awards for his work in the airline industry. If he doesn't believe airlines are investable, how should we? http://www.fool.com/inve...-wont-make-you-ric.aspx[/quote] Where's a credible source?? In the meantime, those who invested in Airline stocks in the US realized an average of +300% gain in the last three years! @afroblk please continue to educate our dear brother @vvs.. He made a huge loss on KQ and that makes him insist that the firm cannot turn a corner.. Today KES 6.50 will print. We are taking off!!! :) I will not touch KQ until the Management & Board have changed. In particular, the guy who pushed (& benefited from) Project Mawingu. To paraphrase Warren Buffett: Do you trust the Management? No. I believe there must have been good commission in all this dealings This is Africa. I dont condone kickbacks but the general public is addicted to the vice..
COOP 255,000 ABP 15.85; IMH 5,000 ABP 35.55; KQ 604,200 ABP 6.96; MTN 23,800 ABP 5.20
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Rank: Elder Joined: 6/23/2009 Posts: 13,775 Location: nairobi
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Boris Boyka wrote:obiero wrote:all this is simple intellectual dialogue.. fact is, naikuni is rotten in that he is a dictator who does not consider anyones opinion. do wazuans know its hedging that mainly led to the huge losses and that this company ordinarily should not report a loss since it is a monopoly in a regional hub frequented by many air travellers. his word is law and that is why he publicly undressed a senior manager over a rather petty issue. even the court's alluded to this fact when they reinstated the sacked workers. all in all, he has done fairly well but KQ will be much better without him @ Obiero " this company ordinarily should not report a loss since it is a monopoly in a regional hub frequented by many air travellers." True to it and I suspect cooking of figures amongst other things. Post 579.. Blast from the past
COOP 255,000 ABP 15.85; IMH 5,000 ABP 35.55; KQ 604,200 ABP 6.96; MTN 23,800 ABP 5.20
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Rank: Elder Joined: 6/23/2009 Posts: 13,775 Location: nairobi
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VituVingiSana wrote:obiero wrote:Afroblk wrote:[quote=VituVingiSana]Robert Crandall, former CEO of American Airlines: "I've never invested in any airline. I'm an airline manager. I don't invest in airlines. And I always said to the employees of American, 'This is not an appropriate investment. It's a great place to work and it's a great company that does important work. But airlines are not an investment." Keep in mind, Robert Crandall isn't just another stock picker or analyst. He's a former airline executive who has won countless awards for his work in the airline industry. If he doesn't believe airlines are investable, how should we? http://www.fool.com/inve...-wont-make-you-ric.aspx[/quote] Where's a credible source?? In the meantime, those who invested in Airline stocks in the US realized an average of +300% gain in the last three years! @afroblk please continue to educate our dear brother @vvs.. He made a huge loss on KQ and that makes him insist that the firm cannot turn a corner.. Today KES 6.50 will print. We are taking off!!! :) I will not touch KQ until the Management & Board have changed. In particular, the guy who pushed (& benefited from) Project Mawingu. To paraphrase Warren Buffett: Do I trust the Management? No, I do not. That informs my decision to invest however attractive the price or the ratios of any firm I look at. I can't buy enough shares to own 25% to influence any NSE firm so I will remain a minority shareholder who relies on the Board/Management to do the right thing. @wazua we now only need to ask ourselves who is it that bought 10.5million KQ shares on Friday at a cost of 63million and whether he/she/they shall be back for more.. Swali nyeti
COOP 255,000 ABP 15.85; IMH 5,000 ABP 35.55; KQ 604,200 ABP 6.96; MTN 23,800 ABP 5.20
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Rank: Member Joined: 7/3/2014 Posts: 245
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Mr ngunze and Alex told you this company is worth negative ksh 4 per share. Why is it still trading. NSE ? CMA ? In the world of securities, courage and patience become the supreme virtues after adequate knowledge and a tested judgment are at hand.
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Rank: Elder Joined: 6/23/2009 Posts: 13,775 Location: nairobi
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TheGeek wrote:Mr ngunze and Alex told you this company is worth negative ksh 4 per share.
Why is it still trading. NSE ? CMA ?
@thegeek exactly. why are people still buying at unprecedented volumes. i can see u are troubled by this odd behaviour
COOP 255,000 ABP 15.85; IMH 5,000 ABP 35.55; KQ 604,200 ABP 6.96; MTN 23,800 ABP 5.20
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