Carvana -- a meme stock bankruptcy dream trade?
Is Carvana a buy at its current price? Hear me out - a fallen meme stock that is currently priced fairly rationally, given its overwhelming debt burden and burn rates. It's down 99% from ATH, but it's still got $300M in the bank, $2B in real estate assets, and $2B in committed liquidity.
And if it goes bankrupt -- what happened to Kodak, Revlon, and Hertz after their bankruptcy announcements? Up 300%+. Thoughts? ;)
I don't know man. Not a distressed investor or restructuring pro, but these bonds are trading in the deeply distressed range and there is a decent chance that this ends up in some sort of restructuring that dilutes or fully wipes out the equity. The equity recovery in the Hertz bankruptcy was a bit unusual.
The equity is worthless.
Repellendus vel perspiciatis magnam aperiam. Molestiae porro repellendus deserunt sint vitae quia excepturi. Ab rem earum nobis ex omnis molestias.
Id similique et quia impedit consequatur ut. Dolores nisi atque ullam quo nihil ut.
Tempore assumenda quod fuga dignissimos. Explicabo et provident ipsa inventore sit. Quas ipsa perferendis consequatur quia.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...