Bombardier Inc. T.BBD.A

Alternate Symbol(s): BDRPF | T.BBD.PR.B | BDRXF | T.BBD.PR.C | T.BBD.PR.D | BOMBF | BDRAF | T.BBD.B | BDRBF

Industrials Aerospace & Defense

Bombardier Inc. is a Canada-based manufacturer of business aircraft with a global network of service centers. The Company is focused on designing, manufacturing and servicing business jets. The Company has a worldwide fleet of more than 5,000 aircraft in service with a variety of multinational corporations, charter and fractional ownership providers, governments and private individuals. It operates aerostructure, assembly and completion facilities in Canada, the United States and Mexico. Its robust customer support network services the Learjet, Challenger and Global families of aircraft, and includes facilities in strategic locations in the United States and Canada, as well as in the United Kingdom, Germany, France, Switzerland, Austria, the United Arab Emirates, Singapore, China and Australia. The Company's jets include Challenger 350, Challenger 3500, Challenger 650, Global 5500, Global 6500, Global 7500 and Global 8000.

TSX:BBD.A - Post by User

Bombardier Inc.

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Comment by joemanon Jul 19, 2020 4:01pm

203 Views

Post# 31288146

RE:BT +BA

The timing of this announcement is very telling. Berlin setting the table for a strong Bombardier Transportation in europe. Germany doesn't want to create an Alstom/Siemens duopoly. Bombardier Transportation is here to stay IMHO. Berlin is putting it's money where it's mouth is.

bbdaerospacecnd wrote:

Media: Berlin guarantees huge credit for Bombardier
https://industriemagazin.at/a/medien-berlin-buergt-fuer-riesigen-kredit-fuer-bombardier

every contact BT gets now supports its value (backlog) plus there should be down payment with every new contract that goes directly to BT now.

if Alstom deal is approved = debt issue is mostly under control and sp will appreciate upward

if not, then why not to split bbd into two separate entities BT + BA with $8.5 bln and $7 bln revenues and total debt ($9.3 bln) distributed as 4.65+4.65 between the two .
Then with 8x multiple applied to both and 9% (most BT problems are resolved now) and 13% respectively in profit margins the
sp for BT would be $0.63US=$0.86 CND
sp for BA would be $1.10 USD=$1.36 CND

so, the sum of the parts calculations produce the bbd value as 1.36+0.86=$2.22 CND per share

Imo, if the Alstom deal is not approved on July 31 then bbd should pull off and remove the uncertainty over its head before the end of Q! 2021 that only allows Alstom to reap the benefits in bagging the rail contracts in the meantime.

BT HAS VALUE no matter what