AAL DEBT LOAD-Debt to Equity Ratio

[Rusty Hilock]

Class, once again THE NUMBERS DON'T LIE.

The numbers below are EXACTLY why DAL stock sells for $10.00 / share MORE than AAL.

JUN 1 CLOSING:

AAL= $44.00 / Share

DAL= $54.42 / Share


Balance Sheet American Airlines Group Inc.

• 
  
  
  • QUARTERLY
  • ANNUAL

Total Assets
020B40B60B
Mar2017Jun2017Sep2017Dec2017Mar2018
Mar 2018 5-quarter trend
Cash & Short-Term Investment 5.59 B
Total Debt 24.74 B
Total Liabilities 54.30 B
Total Shareholder's Equity -1.02 B
Book Value Per Share -2.18 -


Balance Sheet Delta Air Lines Inc.

• 
  
  
  • QUARTERLY
  • ANNUAL

Total Assets
020B40B60B
Mar2017Jun2017Sep2017Dec2017Mar2018
Mar 2018 5-quarter trend
Cash & Short-Term Investment 2.01 B
Total Debt 8.65 B
Total Liabilities 41.52 B
Total Shareholder's Equity 12.56 B
Book Value Per Share 17.88 -

I have a suggestion for everyone who wants to keep this thread going.

Stop posting er·ro·ne·ous information and I will stop posting the FACTUAL NUMBERS.
Then we can let the thread self implode.

Even Doug Parker and Robert Isom OFTEN uses DAL as a measuring stick.

 

[CremaDiLimone]

Class, once again THE NUMBERS DON'T LIE.

The numbers below are EXACTLY why DAL stock sells for $10.00 / share MORE than AAL.

JUN 1 CLOSING:

AAL= $44.00 / Share

DAL= $54.42 / Share

ok, husty rilock..if the debt is solely why the dl stock price is $10 more than aa's...then why is ua's stock price $20 higher per share than delta? ua doesn't even pay a dividend. zero. zero.

ua has $14 billion in debt? what will happen when ua has to buy new planes?

dl basically had a 10 year headstart on aa to fully synergize it's nw merger. give aa the same time and we'll see.

delta pays a $1.20/year dividend. aa pays a .40 cent/year dividend. in my opinion, that is probably the biggest factor in the price spread. in time, aa will be able to triple it's dividend and it will cost aa nearly 50% less than what delta pays, due to the lower amount of shares outstanding.

as mentioned before, aa can easily raise capital. why are you ringing the alarm bells? boeing and ge want aa to file for bk, so aa can squirm out of repaying them?

 

[Rusty Hilock]

ok, husty rilock..if the debt is solely why the dl stock price is $10 more than aa's...then why is ua's stock price $20 higher per share than delta? ua doesn't even pay a dividend. zero. zero.

ua has $14 billion in debt? what will happen when ua has to buy new planes?

dl basically had a 10 year headstart on aa to fully synergize it's nw merger. give aa the same time and we'll see.

delta pays a $1.20/year dividend. aa pays a .40 cent/year dividend. in my opinion, that is probably the biggest factor in the price spread. in time, aa will be able to triple it's dividend and it will cost aa nearly 50% less than what delta pays, due to the lower amount of shares outstanding.

as mentioned before, aa can easily raise capital. why are you ringing the alarm bells? boeing and ge want aa to file for bk, so aa can squirm out of repaying them?

If you look at Book Value / Share you will find your answer about UAL. UAL also has a very good DEBT / EQUITY RATIO.

UAL =
Balance Sheet United Continental Holdings Inc.

• QUARTERLY
• ANNUAL

Total Assets
020B40B60B
Mar2017Jun2017Sep2017Dec2017Mar2018

Mar 2018 5-quarter trend
Cash & Short-Term Investment 4.47 B
Total Debt 14.96 B
Total Liabilities 35.68 B
Total Shareholder's Equity 8.34 B
Book Value Per Share 29.83

I posted WSJ Summary BALANCE SHEET NUMBERS NOT JUST "SOLEY" DEBT.

ONCE AGAIN -NUMBERS not NUMBER.


Balance Sheet American Airlines Group Inc.

• 
  
  
  • 
    
    
    • QUARTERLY
    • ANNUAL

Total Assets
020B40B60B
Mar2017Jun2017Sep2017Dec2017Mar2018
Mar 2018 5-quarter trend
Cash & Short-Term Investment 5.59 B
Total Debt 24.74 B
Total Liabilities 54.30 B
Total Shareholder's Equity -1.02 B
Book Value Per Share -2.18 -


Balance Sheet Delta Air Lines Inc.

• 
  
  
  • 
    
    
    • QUARTERLY
    • ANNUAL

Total Assets
020B40B60B
Mar2017Jun2017Sep2017Dec2017Mar2018
Mar 2018 5-quarter trend
Cash & Short-Term Investment 2.01 B
Total Debt 8.65 B
Total Liabilities 41.52 B
Total Shareholder's Equity 12.56 B
Book Value Per Share 17.88 -

In fact Doug Parker and Robert Isom are DIRECTLY connecting the JCBA Wage Increases to Delta + 3.

Why is it so difficult to ACCEPT that DAL sets the STANDARD for all other carriers?

 

[CremaDiLimone]

you correlated debt, in regards to dl's stock and aa's stock price.

THE NUMBERS DON'T LIE.

The numbers below are EXACTLY why DAL stock sells for $10.00 / share MORE than AAL.

JUN 1 CLOSING:

AAL= $44.00 / Share

DAL= $54.42 / Share


Balance Sheet American Airlines Group Inc.

that's what you said.

i said, if that's the case, why is ua's stock price substantially higher than dl's?? can you please post a balance sheet for ua? ua has nearly double the debt as delta. check your rusty, er, trusty, balance sheet.

In fact Doug Parker and Robert Isom is DIRECTLY connecting the JCBA Wage Increases to Delta + 3.

Why is it so difficult to ACCEPT that DAL sets the STANDARD for all other carriers?

in regards to wages, in 2001, my local president told me that it's the accepted norm to ask for 3% more than the highest paid airline. not that i agree, nor, believe that should be set in stone anywhere.

in december, ua will pass dl...and this now applies to us getting 3% more than ua. i find that asking plausible, as mentioned here for possible 'sweetening' scenarios.

 

[Rusty Hilock]

you correlated debt, in regards to dl's stock and aa's stock price.



that's what you said.

i said, if that's the case, why is ua's stock price substantially higher than dl's?? can you please post a balance sheet for ua? ua has nearly double the debt as delta. check your rusty, er, trusty, balance sheet.



in regards to wages, in 2001, my local president told me that it's the accepted norm to ask for 3% more than the highest paid airline. not that i agree, nor, believe that should be set in stone anywhere.

in december, ua will pass dl...and this now applies to us getting 3% more than ua. i find that asking plausible, as mentioned here for possible 'sweetening' scenarios.

"in regards to wages, in 2001"

We are in 2018 JCBA Contract Talks.


ALREADY HAVE POSTED UAL Balance Sheet. Post # 78

Are you actually ready my replies or just posting replies with your mind already made up?

You have missed ONE-HALF of the equation of the title of this thread . EQUITY


Look at DAL and UAL DEBT / EQUITY RATIO
Both of them are much better than AAL and that does have an effect on Stock Prices.

 

[CremaDiLimone]

"in regards to wages, in 2001"

We are in 2018 JCBA Contract Talks.

that's right, it's 2018, yet aa also has a strange fetish with 3%. apparently, 3% has been and currently is the benchmark...as explained to me in 2001.

not a fan of it, thought it was a % the twu got for brooklyn bus drivers and ralph kramden in 1955. seems as though it has staying power.

ALREADY HAVE POSTED UAL Balance Sheet. Post # 78

Are you actually ready my replies or just posting replies with your mind already made up?

of course i read your replies. you were busy editing a post while i posted a follow-up asking you about united.

united is in better shape and it's stock...etc...?? ok.

for ua to have the same value as dl ($38 billion market cap), ua should be apprx. $138/share. aa should be around $83/share.

it's clear that ua has flopped with it's ua-co synergies (same amount of time as dl-nw) and doesn't pay a dividend...this is why the stock is a dog.

You have missed ONE-HALF of the equation of the title of this thread . EQUITY

and aa has spent it's money on losing lottery tickets? as the debt shrinks and the equity grows...we'll do a retake with dl's & ua's debt/equity.

this thread isn't about aa's debt. this thread was you equating the debt to another bk. let's not move the goalposts. any 5th grader could tell us that aa has a lot of debt. you believe it will take us to bk.

Look at DAL and UAL DEBT / EQUITY RATIO
Both of them are much better than AAL and that does have an effect on Stock Prices.

delta is proven, the jury is still out on aa and ua has flopped and is very risky as far as ROI.

 

[Rusty Hilock]

ONCE AGAIN- READ THE TITLE OF THIS THREAD.

AAL DEBT LOAD-Debt to Equity Ratio



I'm finished beating this dead horse.

 

[CremaDiLimone]

The current management at AA is operating the Airline on CREDIT. They are using the Billions of profit to buy back stock for themselves and then Borrow Money to operate the Airline. The current Debt is approx. 25 BILLION DOLLARS and Climbing.
To make matters worse 12 billion of the debt has to be repaid by 2021 and 1 Billion is due for Pension Payments in the next 18 months. All this debt is coming due at the same time Fuel Prices are INCREASING.
This is the "Perfect Storm" for ANOTHER Chapter 11 in the next 3 years.

This is the "Perfect Storm" for ANOTHER Chapter 11 in the next 3 years.

that's how this thread started. you give us 3 years.

 

[CremaDiLimone]

Crema there could be some more bad news on the Horizon for our Crude Oil worriers? Uh oh.

https://www.google.com/amp/s/mobile.reuters.com/article/amp/idUSKCN1IN2NS

the us oil rig count came out on june 1st, and it increased by 2, to 861. that's the highest amount of american oil rigs since march, 2015. the mom & pop oil rigs started popping up again as oil hit $55-$58-$62-$67-$72.

opec curbing production and sticking with it's program saw WTI oil rise from $32/barrel in jan. 2016 to $72/barrel in may of 2018. good for opec.

but, good for us in the airline industry as the rig count has gone up..and the potential for over-supply is there, to put downward pressure on oil prices.

west texas intermediate is at $65/barrel today.

 

[CremaDiLimone]

You’ve posted 3 Motley Fool contributions all written by the same “value investor” Adam Levine- Weinberg.

Did you note his bio and the positions he holds to ascertain how credible he should be considered?

View attachment 12832

oh boy, adam is at it again..

It can't be fun to be American Airlines (NASDAQ:AAL) CEO Doug Parker right now. His company has experienced massive nonfuel cost increases over the past few years. Now that the carrier is finally reining in controllable costs, fuel prices have surged, creating a new headache. Meanwhile, American has the weakest balance sheet of any major U.S. airline.

https://www.yahoo.com/finance/m/5ce...ba0835cf94/ss_american-airlines-ceo-doug.html

 

[WeAAsles]

oh boy, adam is at it again..



https://www.yahoo.com/finance/m/5ce...ba0835cf94/ss_american-airlines-ceo-doug.html

Yea and he also went off the deep end 3 days ago too.

 

[1AA]

https://www-fool-com.cdn.ampproject...irlines-ceo-doug-parker-is-deep-in-a-mes.aspx

 

[ALUS78]

https://www-fool-com.cdn.ampproject.org/v/s/www.fool.com/amp/investing/2018/06/10/american-airlines-ceo-doug-parker-is-deep-in-a-mes.aspx?amp_js_v=a1&amp_gsa=1#amp_tf=From %1$s&ampshare=https://www.fool.com/investing/2018/06/10/american-airlines-ceo-doug-parker-is-deep-in-a-mes.aspx&ampshare=https://www.fool.com/investing/2018/06/10/american-airlines-ceo-doug-parker-is-deep-in-a-mes.aspx&ampshare=https://www.fool.com/investing/2018/06/10/american-airlines-ceo-doug-parker-is-deep-in-a-mes.aspx

Where does on go now for actual unbiased news?

 

[WeAAsles]

Hey Crema check it out it’s once again old Adam Levine singing the praises of Delta Airlines.

He really seems to LOVE that Fleet renewal for Delta that he doesn’t give AA any credit whatsoever for.

Good old Adam can always be counted on for his unbiased opinions.

https://finance.yahoo.com/news/fleet-renewal-lift-delta-air-154500548.html

 

[CremaDiLimone]

i knew it...delta gets free airplanes and free jet fuel.

oh wait...

Adam Levine-Weinberg owns shares of Delta Air Lines. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

he'll come around to love us: