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Bullboard - Stock Discussion Forum 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

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... see more

TSX:BBD.A - Post Discussion

Bombardier Inc. > what I am watching 23-Q3
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Post by Snowey on Oct 24, 2023 4:43pm

what I am watching 23-Q3

It’s great to see Bombardier making so much progress. Reducing debt. Increasing earnings. Watching Analysts regularly revise upwards their target prices. I see great profit potential for the stock. I believe we will make some nice money here if we hang on. Things have to settle down in the general economy, which it will. But to date the company is doing what it needs to do.

We have one week to go before 23-Q3 earnings report and this is what I am watching for:

On the positive side the big ones like Revenue, earnings per share, EBITDA. Expecting good things.
 
On the negative side there are two items that would make me nervous. CASH and FCF. I don’t like CASH at $883. I would prefer north of $1B. The other thing that would be a concern for me is negative FCF. If that is the case, we are in for more volatility.
 
This is a very testy stock to own, but I am confident we will do well.
 
One thing I am happy to see: no cancelations.
 
GLTA
Comment by PabloLafortune on Oct 24, 2023 8:06pm
I dont care about Q3 except cash. Positive FCf from ops is not guaranteed depends on capex etc..its not a big quarter for co, basically you measure this company annually not quarterly IMO. Q1 Q2 Q3 is not the main course, its the appetizers. Hedge funds will disagree of course, this is how they make money.  but I'm comfortable that if they finish at 135+ for 2023 and reach 150ish ...more  
Comment by Snowey on Oct 24, 2023 10:33pm
Hi Pablo. I will take your advice and focus not so much on Q3 FCF but annually. There are businesses like that, for example retail where over 50% of revenues can come at the Christmas holiday period. Book to bill ratio is the thing to watch, as you say. Where it all starts. Then comes the execution. I don’t see cause for concern, yet. Slow and steady as she goes. Keeping a close eye on BBD but ...more  
Comment by PabloLafortune on Oct 25, 2023 11:06am
Cautiously optimistic. Btw, General Dynamics (Gulfstream) just released their Q3 results, aerospace book to bill was 1.44 ($2.9B new orders, $2B revenue). 27 deliveries (72 YTD), quite a bit less than a year ago
Comment by Jacques4444 on Oct 24, 2023 8:08pm
On the Q2 report, about FCF , 104 millions was paid for past activity and it was a non reccurent expense, then you have 222 millions for Pearsons and the ''increase'' expenses to be able and to be sure to produce more planes. We can expect more FCF without those expenses + the FCF at the Q3 2022 was positif. Can be a good news to come.  
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