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Bullboard - Stock Discussion Forum Concordia Healthcare Corp. T.CXR.R

TSX:CXR.R - Post Discussion

Concordia Healthcare Corp. > Current landscape no longer warrants the debt level
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Post by ForRealNowAndNo on Aug 10, 2016 10:36am

Current landscape no longer warrants the debt level

Concordia contracted too much debt while its business environment changed so much. I am long the stock... but it is too long for the EPS to come through. Forget short time spike and money back. Will not see $30 any time soon. So, assuming no new share issuance, what does it take for CXR to be solvent in 2017? Mark Thompson insisted so much his guidance on 2016 alone. THANK YOU
Comment by wordless on Aug 10, 2016 11:07am
CXR to remain solvent needs to earn cashflow in the X was of its interest repayment obligations. There is and will be plenty of cashflow for that. GBP cashflow will pay GBP obligations and USD cashflow will be used for US obligations creating a natural hedge of sorts. I don't understand why people keep bringing up solvency? The Company generates tons of cash to satisfy its obligations.
Comment by ForRealNowAndNo on Aug 10, 2016 11:41am
Shorts can and do distort prices. Mr Wynn can testify! However when we see sustained 70% drop and plenty of shares to buy so @cheap@ we can no longer call it @short distort@. Up to a 15% on low volume I can see it... past that it must be numbers... company business.... the valuation! There@s no private equity fund that would let pass a chance! Hence... forget about @plenty of cashflow@. I wanted ...more  
Comment by ForRealNowAndNo on Aug 10, 2016 11:42am
Shorts can and do distort prices. Mr Wynn can testify! However when we see sustained 70% drop and plenty of shares to buy so "cheap" we can no longer call it "short distort". Up to a 15% on low volume I can see it... past that it must be numbers... company business.... the valuation! There's no private equity fund that would let pass a chance! Hence... forget about " ...more  
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