And the way I see it, ladies, you owe me for one jelly doughnut!
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HTZZW on fire today +12%
Actually the NYS DEC Annual Facility Report is the written word on what it can and can't do.
And Heddle has repeatedly ignored or willfully omitted including that information on the P20 webpage.
Reading those reports it is immediately apparent they make the webpage claims inaccurate or false.
Heddle knows he can lie to the public and shareholders but he can't hide the truth from the regulatory agencies.
Add in the fact the last Annual Facility Report gave a ratio that about 50% of the input was HTF and not plastic.
That is omitted from the website also.
Hertz Stock Looks Appealing. The Warrants Might Be Even Better.
By Andrew Bary
Updated Aug. 27, 2021 8:47 pm ET / Original Aug. 27, 2021 8:43 pm ET
The rental-car company, valued at $7.5 billion, is coming off a successful second quarter, and the current quarter could be even better.
Hertz Global Holdings (ticker: HTZZ) emerged from bankruptcy on June 30. The shares in the reorganized company, now trading around $16, look appealing. But the better bet is the company’s warrants (HTZZW), trading at $7. The 30-year warrants, a call option with an exercise price of $13.80, are statistically supercheap.
The rental-car company, valued at $7.5 billion, is coming off a successful second quarter, and the current quarter could be even better thanks to strong pricing that reflects robust demand and scarce vehicles.
Hertz has a great balance sheet, with net cash of $300 million, excluding asset-backed debt secured by its fleet. The U.S. rental-car business is an oligopoly with three dominant players: Hertz, Avis Budget Group (CAR), and the private Enterprise. That bodes well for pricing even after the companies build up their vehicle fleets next year.
Hertz has a low valuation based on its earnings before interest, taxes, depreciation, and amortization, or Ebitda. The company could be in position to return cash to shareholders by 2022.
Hertz has little in the way of analyst coverage, but its profile should rise by year end. The stock’s listing is expected to move from the Pink Sheets to either the New York Stock Exchange or Nasdaq by then, and the company plans to do what it calls a “re-IPO,” which could involve the sale of stock by institutional holders who got shares in the bankruptcy reorganization as well as newly listed shares.
Write to Andrew Bary at andrew.bary@barrons.com
It took a couple months almost but HTZZ and HTZZW have finally started trading in the correct delta correlation.
That is a good sign.
Thank you.
Chart posting..... it's been years since I did this and I know the bracketed [chart] was removed from the features to post.
Can anyone direct me on how to post an live chart from StockCharts to either IBOX or posts ?
Thanks
So basically the new webpage begging anyone to partner was scrubbed clean of any mention of the flounder Bordynuik.
I guess when he sold all his shares Heddle finally realized he was swindled also.....
I'm not sure if centering the new webpage around begging for partners is a legit business tactic.....lol.
I forget to add that the 'business aquaintance' was also an insurance scam artist who was accused of burning his own mansion down to collect.....as well as other insurance scams....
Heddle really likes to pal around with some known fraudsters....
Let's not forget Heddle was also involved in a scheme to hide assets of a business aquaintance from a bankruptcy court in NJ.
And while he avoided any legal consequences for his participation it certainly was a look into how shady he can be.
https://www.siliconinvestor.com/readmsg.aspx?msgid=30180342
The “re-IPO” will just be an offering of existing shares held by the hedge funds that won the bankruptcy bid.
In a real IPO, the company creates a big block of shares worth X% of the total company, then sells that big block to the underwriters (think Goldman Sachs).
The underwriters then go around and sell off the shares to big funds that want them in sort of an auction.
Based on that auction process, an initial share price is set, and the stock starts trading.
The only shares are the ones owned by the big funds, and the public wants them, so usually the price pops on IPO day and the big funds all make a big profit.
Sometimes existing management also includes some of their shares in the IPO block given to the underwriters, but it’s the same process.
In this case, the company isn’t issuing any shares. They are all already held.
3% of the total shares are currently trading on the OTC market.
The rest are locked up, and can only be traded privately between big firms.
Once they list on an exchange, the other 97% will become publicly available.
The big firms that own them can sell them to the public, just like how a normal IPO works.
It’s like a normal IPO, but instead of company issuing new shares, the shares are already held by the hedge funds that won the bid, and they will be selling some.
What that does to the price in the short term… who knows. Probably a lot of volatility. I’m guessing the public shares are a bit overvalued right now because only 3% are trading and the public buyers are mostly retail (pension funds don’t trade on the OTC markets), and retail investors are the least well informed players in the market. That would explain why the warrants are so cheap relative to the shares right now. But a listing also means a lot more demand, because a lot of big money that can’t buy on OTC will be able to buy again, so it could send the price up too. It’s not so much about how many shares are available, because the shares already exist, but they are in lockup. It’s not dilution in the real sense.
Disclaimer...from a recent Reddit post.
Hertz Global Holdings Reports Strong Second Quarter 2021 Financial Results
- Total revenues of $1.9 billion up 62% from first quarter 2021, excluding Donlen revenues
- Net loss of $168 million including $633 million of reorganization expenses
- Adjusted Corporate EBITDA of $639 million for the quarter was a Company record
- Corporate liquidity of $3.0 billion at June 30, 2021, including $1.8 billion of unrestricted cash, compared to $1.1 billion at first quarter-end
- Hertz Global emerged from its Chapter 11 process on June 30, 2021 as a well-capitalized company with the flexibility and resources to pursue exciting new growth opportunities. The Company anticipates a re-IPO, which includes hosting an investor roadshow andrelisting on a major exchange by year-end.
https://www.prnewswire.com/news-releases/hertz-global-holdings-reports-strong-second-quarter-2021-financial-results-301351024.html
Duck Duck Go ??
lmfao.....
Who knew a batshittery paranoid search engine even existed.
Oh yeah. Based on AVIS projections I'd expect to be .70 no problem.
Great quarter is an understatement.
It beat estimates by nearly double.
That is incredible.
MedRecycler is off to a incredible start....lol...
https://www.wpri.com/news/local-news/west-bay/state-blocks-medrecycler-ri-facility-planned-for-west-warwick/
It should be August 8.
AVIS is tomorrow and that should be a benchmark for the rental car quarter.
Was wondering if news or rumors is slipping out of an uplist soon.
Price action the last two days on HTZZ and HTZZW has been fairly dramatic upwards.
God old Lee Brain is so friggin stupid he actually is on the inside supposedly and still can't figure out a way to recoup his massive losses.
Which by his own admission are tied into his company Hess Millwork.
Now there was a sound business strategy... lmfao.
You would have to figure the private equity that bailed this company out for billions of dollars in shares never did it for a share price in the teens.
Their valuation had to be much higher before committing that kind of stake.
This is just out of BK and nearly every stock takes a pounding for a few weeks to a month or so after emerging.
The OTC Bid/Ask spreads on this are ridiculous at times.
It's so ripe for traders to play games when it's not on a regulated exchange.
Until the gets off the OTC and on an exchange it probably will have some swings so it will be unpredictable.
Even the Bid/Ask spreads are a bit nutty due to the OTC.
Is HTZZ Nasdaq bound ?
It certainly would explain why the company did not uplist immediately upon exiting BK.
NASDAQ usually takes 4-6 weeks.
https://nypost.com/2021/05/19/hertz-insiders-dreaming-of-nasdaq-listed-ipo-sources/
If you sell the warrant it is just like selling a share of stock....you receive the value in dollars. Someone else , or entity, is actually buying the warrant from you.
Easy and done online.
If you exercise the warrant you have to contact your brokerage and ask to exercise it and then they will start the process of exercising and buying common shares based on the exercise price.
The trend right now is BK players cashing in their NEWCO conversions.
This became a Reddit favorite and garnered more interest than almost any other Ch11 play ever just because it happened during the lockdown.
It might take a while to clear these folks out who really aren't interested in any longer term holding of the NEWCO.
One thing is for certain.....the private equity groups that invested billions ain't in it for a sub $20 stock price.
I think the fact that the HTZZW volume is about 100% greater than HTZZ today shows that BK recipients are liquidating their newco holdings.
Retail for the most part didn't invest in Hertz as much as were looking to get a decent return if commons survived.
But in this case they ended up with more warrants than shares.
Volume has fallen off a cliff.
Being on the OTC is not doing holders any favors.
CAR has an average volume of over 1mm a day.
Last few days HTZZ isn't even getting 50% of that.
This needs to move back to an exchange sooner than later.
Hertz warrants.... pricing is all about the implied volatility
Avis (CAR) is better than 50% but somehow they seem to be pricing HTZZW at 15-20%....which is incredibly low.
Like really, really low.
Even the S&P500 has a higher volatility.
If that ever corrects to a more normal volatility this things jumps big.
I didn't think this would go this low so soon after the offering....it does seem to be getting into bargain territory.
It's lost nearly a third of value in a months time.
When HTZZ and HTZZW get off the OTC and move onto an exchange this thing is going to see a nice steady climb similar to CAR.
It's not going to $10....lol.
As the BK players clear out and cash in their shares and warrants this will swing some but not that low.