WIN CDS USD SR 3Y D14, WIN CDS USD SR 5Y D14

Windstream Holdings Inc

Credit, Finance/Real Estate, TMT


Presented:06/08/2018
Price:N/A
Cap:N/A
Current Price:$1.61
Cap:N/A

Presented

Date06/08/2018
PriceN/A
Market CapN/A
Ent ValueN/A
P/E RatioN/A
Book ValueN/A
Div Yield0%
Shares O/SN/A
Ave Daily VolN/A
Short IntN/A

Current

Price$1.61
Market CapN/A

Publicly traded companies mentioned herein: Uniti Group Inc (UNIT), Windstream Holdings Inc (WIN)

Highlights

The presenter is bearish on Windstream Services, stating he is skeptical about the company’s ability to improve revenues with enterprise offerings; nor is he convinced that it can cut interconnect costs. As such, he sees continued declines in EBITDA and a challenged cash flow situation. In addition, there remain pressures from lease dynamics with Uniti. The presenter expresses his bearish sentiment by buying Windstream’s 5-year CDS, though the 3-year is also an option. Investors can choose to pair the 5-year CDS position with Windstream secured debt, Uniti secured debt, or a sale of the front-end, to help mitigate the ~30-point cost of the 5-Year.

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Idea Discussion

Commentor 1 - 2 weeks ago

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