General Insight - Aimia - The Perfect Storm or is it?Aimia has lost 11% of their total revenue……starting in June 2020, until then it is business as usual. With 350mil in cash and options and 200mil in investments they can pay off the entire market cap without even considering any of their other assets. The book value alone of this company is 2 billion+. Aimia fills over $700 million worth of seats every year. Does this seem like a company that is worth its current stock worth ~300mil?
The overreaction of this stock has been unprecedented and it’s amazing watching big companies control the stock with the manipulation and the panic they cause. The dividend is only suspended not cancelled by the CBCA rules it was mandated. I know this is well known, to most, on this board but don’t let other opinions stray you from the facts, this is so undervalued by any standard and system known to investors.
The cuts today were good to see of the directors. It’s sad to see people leave but it is obvious cutbacks, rather than these directors resigning. This is a good move by the company and it is great to see quick reaction by the management team to get closer to their goal of $70mil in cuts which would make up more in straight profit for Aimia, than Aimia makes from Air Canada in their current agreement!
It's going to be a wild ride over the next few weeks but in the end …nothing has changed a company that is profitable and brings in over 2 billion dollars a year. Hold tight longs keep your hard-earned shares in your pockets this is where your patience will pay you back. My prediction is there a quick double up from here, which is similar to every other company that has been in this situation FM, HCG, Air Canada, don't get manipulated. Try not to be on the sidelines when the News Release happens! Good luck all!