BBD/B CN, BBDCN 7 7/8 04/15/27

Bombardier Inc. - Ordinary Shares - Class B (Sub Voting)

Industrial/Transportation, Credit


Presented:05/19/2022
Price:CA$30.25
Cap:$2.36B
Current Price:CA$111.36
Cap:$8.90B

Presented

Date05/19/2022
PriceCA$30.25
Market Cap$2.36B
Ent Value$8.32B
P/E RatioN/A
Book ValueCA$42.00
Div Yield0%
Shares O/S97.72M
Ave Daily Vol233,482
Short IntN/A

Current

PriceCA$111.36
Market Cap$8.90B
Bombardier, Inc. engages in the design, development, and manufacture of business aircraft. It operates through the Business Aircraft Segment and Customer Services Segment. The Business Aircraft segment includes the manufacture of three families of business jets spanning from the light to large categories. Its models include: Global, Challenger, and Learjet aircraft. The Customer Services segment offers aircraft maintenance services as well as value added packages, including refurbishment and modification of business aircraft, and component repair and overhaul services. The services can be performed in house, and through dispatching mobile repair teams to customers’ aircraft. The company was founded on June 19, 1902 and is headquartered in Dorval, Canada.

Please note, Bombardier Inc. (BBD/B CN) reverse split on 06/13/2022 at a ratio of 25:1. The presented data has been updated to account for the change, however, the text of the note may refer to data based on the original presented price of $1.21 CAD.

Publicly traded companies mentioned herein: Bombardier Inc (BBD/B CN)

Highlights

The presenter is bullish on Bombardier Inc (BBD/B CN) and is therefore long the equity and the 7.875% coupon bonds that mature in April 2027. In his view, BBD gets unfairly punished for prior business units and management teams that are no longer part of the company, which has clouded an otherwise attractive outlook based on secular tailwinds, high quality leadership, and strong fundamentals. With the equity trading at C$1.20 and the bonds trading at ~86, the market seems to have priced in a recession. If there isn’t a recession, he thinks this is easily a C$2.50 stock and that the bonds will be upgraded from CCC+, creating a total return in the high teen% range for the bondholders.

  • Signing up and creating account with us unlocks this content for you. Contact us today for full access to DeMatteo Research and more.

  • Signing up and creating account with us unlocks this content for you. Contact us today for full access to DeMatteo Research and more.

Request access to DeMatteo Research for full access

Request Access

Already have an account?

Idea Discussion

Commentor 1 - 2 weeks ago

Signing up and creating account with us, unlocks this content for you. Contact us today for full access to DeMatteo Research and more.

Commentor 1 - 2 weeks ago

Signing up and creating account with us, unlocks this content for you. Contact us today for full access to DeMatteo Research and more.

Idea Discussions display submitted commentary from our investor community.

To read and participate in the discussion with the presenter and investor base, request access to DeMatteo

Request Access

Already have an account?

An error occurred loading this content. Try again later or contact us.