Indigo Books and Music Inc T.IDG

Indigo and other book stores on lockdown starting Monday

[mingzhu]

https://www.bnnbloomberg.ca/indigo-penguin-random-house-want-ontario-to-deem-bookstores-essential-1.1525681

[mingzhu]

holiday season sale is done. 

[mingzhu]

on its first spring lockdown, the share price went under $1. Let us see how far it goes this time 

[Dollarboy]

The stock price was at these levels during the peak of the spring lockdown (mid march-mid May). The lower 1 CAD level was triggered by (the assumed) Foyston-mega-fire-sale of 13% of the shares late May-June. That was a huge share of the float. Thus I think one should anchor lockdown price expectations around current levels (2-2.50 CAD). Only if once again a major fund (e.g. Franklin T) decides to

[mingzhu]

Indigo has potential to reach $10 in coming 2 years. But in short term it has 2 big negatives: lockdown and tax loss sell.  i will be back in new year. 

[Cdnmate23]

I wouldn't exit before Q4 earnings it is their bread and butter.   

[Dollarboy]

Agree, Oct-Dec quarter cash flow typically very strong. I assume we may be in the range 160-200 MCAD net cash by 31 December (considering typical seasonality). That is around 7 CAD per share (excl IFRS 16). 

[TheNextBigThing]

Lockdowns are obviously not great for Indigo with all there store locations, but online traffic has increased significantly. I'm looking for good numbers for Q3