Q: I owned this yeas ago as an income source. Sold yrs ago
I have not look at the price in ages and am shocked it has fallen so much
It seems to be on the way to bankruptcy, maybe not.
I do like turn arounds and could see myself buying 10-20k shares .
It or bitcoin , what do you suggest
I have not look at the price in ages and am shocked it has fallen so much
It seems to be on the way to bankruptcy, maybe not.
I do like turn arounds and could see myself buying 10-20k shares .
It or bitcoin , what do you suggest
5i Research Answer:
HOT.UN's small size, debt, sector and interes rates all add risk to the stock, not even considering the negative momentum (down 71% in a year). The distribution was omitted in November 2023. Interest expense is running at about $35M annually, getting very close to eating up all of its cash flow ($41M). Bloomberg default risk is 9.06%, very very high for that ratio. We might be more interested if revenue was rising, but it fell last quarter, along with cash flow. A recovery is not out of the question, IF the economy holds up and revenue returns to growth. But if rates stay high and/or there is a recession impacting its business, things could certainly get worse from here. We can't confidently recommend it at all.