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Does today's RNS indicate that JPMorgan Chase probably bought up what BlackRock disposed of the day before ?
It indicates that yet another finance house has dumped this and is running for the hills.
MM, you were saying this is an absolute lemon and should be called the **** bus company last week. Make your mind up.
Don’t see why people are so disgruntled by opposing views anyway. Truth hurts?
Yes, please explain it in simpler terms. I thought you meant the **** bus company would be a good name because of the fundamentals (massive debt/ROA less than interest rates).
It’s a shame really that a name change wouldn’t change the fundamentals.
I find it hilarious that you compare this to FGP just because it operates in the same sector. Well, it doesn’t even operate in the same sector really, FGP is primarily trains, mostly used by professionals with money to spend, and NEX is primarily busses, a service for people with no money.
More importantly though FGP is a solid profitable business with plenty of cash and a very healthy balance sheet. So you really can’t compare the 2. NEX is the kind of business that would be taken over for a £1 with a promise to invest hundreds of millions paying down the debt.
Busses- US plural for bus. Nex primarily operates busses in the US.
You obviously have no idea about business or the importance of understanding your target market if you think it doesn’t matter how much money they have. Imagine a your costs go up, and your margins are very tight. Not such a problem if your customers are well off, just pass it on. Now imagine your customers have no money, you can’t pass it on. They’ll just walk/cycle. I suggest you look at BBC bite size to get a basic understanding of micro economics.
And before you mention it, spellcheck put the space in microeconomics!
Since we are talking economics...
Interesting argument , but I think it should be pointed out that NEX is in coach travel, not bus travel. Its not a commuter service, its for intercity travel thats not daily. Semantics matter
In my opinion coach travel is pretty inelastic demand , that is people will pay what it takes to get a seat . If a coach ticket goes from £10 to £15 thats still affordable because its not daily ticket.. People dont commute by coach daily, it would take too long for starters
If ticket prices on intercity rail increase, then the NEX coach network will catch some of the travel demand
MM, You seem quite knowledgeable on buses, you must use them yourself. I’m honoured that you would spend all evening telling me about them too.
It’s a shame your understanding on the financial isn’t quite so well versed. As I say, I suggest you look up the basics on bitesize. It doesn’t take a genius to realise that when a business has no equity other that goodwill, and it produces a return less than you can get on cash, it’s effectively worthless.
This reminds me of when marstons was sitting on the 30 year bottom at 53p. The chart never runs out of paper though, and it’s now 30p.
Gengis, nex is mostly coach travel in the UK, but not internationally.
QD
I had a look at ALSA Spain it is look similar to the NEX coach network