|
PureBytes Links
Trading Reference Links
|
The entire global economic recession/depression is all about debt.... ie
Japan, Argentina, Brazil others..... all the new debt that USA is having to
put on with new costs along with WAR... every day S & P downgrades another
corp name...... and the corp calendar to float more debt continues... then
there is the consumer....... DEBT... DEBT .... DEBT......It not just the
internet bubble.. .. and it is too bad that it has taken Japan 12 yrs to
write down their debt.. if they had addressed their bank debt earlier this
global economic downturn would not have been so serious... it was in play
long before 911... though 911 has made it deeper...........
----- Original Message -----
From: "Ira Tunik" <irat@xxxxxxxxx>
To: "realtraders" <realtraders@xxxxxxxxxxxxxxx>
Sent: Thursday, November 08, 2001 5:56 PM
Subject: [RT] Debt
> I am neither a bull nor a bear. Some stocks go up and some go down no
> matter what the market conditions, so it is the charts that dictate what
> the trade should be. I do, however, read various things when I have no
> position in the market and don't intend to trade the next day. Here are
> some interesting facts that I thought might be of interest to this
> forum.
>
> After scanning the top 100 volume leaders on the Nasdaq and NYSE I found
> that the majority still have astounding PE ratios. The only ways to
> reduce the PE are reduction of the number of shares, increase earning or
> reduce the price of the stock. Reducing the number of shares is what is
> happening with the buy backs going on, but the reverse is true with the
> exercise of maturing stock options.
>
> Now what happens to some of the big names. Lucent: $8billion in debt,
> $0.3 billion in cash and still losing money. Nextel: $4.7 billion in
> cash and $18.8 billion of debt. PSINet: $3.4 billion in debt,
> $300million annual interest expense and still hasn't earned a dime.
> Here are some other companies swimming in debt. Amazon, CableVision
> Systems, Paxson communications, Del Monte, Coca-Cola, Trump Hotels &
> Casinos, Ford, J.C.Penney, Campbell Soup, AOL Time Warner, Motorola and
> it is my understanding the even GE owes $6.88 for every dollar of
> Shareholder Equity.
>
> To the best of my knowledge the source of this information is accurate,
> but you should research it for yourselves. If this is the case and
> business doesn't pick up then the markets have a great deal further to
> contract. What happens if companies like Motorola, Lucent, XRX start
> going bankrupt along with Sunbeam that had $1.7 billion in loans. ?
>
> How much bad paper are the big banks holding on bankrupt dot coms and
> soon to be bankrupt companies like LTV. Is it true that Bof A has $4.5
> billion in loans that now pose a credit risk.
>
> Just some obsevations to add to the mix. Ira.
>
>
> To unsubscribe from this group, send an email to:
> realtraders-unsubscribe@xxxxxxxxxxxxxxx
>
>
>
> Your use of Yahoo! Groups is subject to http://docs.yahoo.com/info/terms/
>
To unsubscribe from this group, send an email to:
realtraders-unsubscribe@xxxxxxxxxxxxxxx
Your use of Yahoo! Groups is subject to http://docs.yahoo.com/info/terms/
|