Message Font: Serif | Sans-Serif
UnThreaded | Threaded | Whole Thread (4) | Ignore Thread Prev | Next
Author: SpockV One star, 50 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 685  
Subject: Is there an asset play here? Date: 9/14/2005 10:10 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 0
I see that Yahoo has DAL Market Cap = $123m and EV = $12b based on a share price of $0.78.

So I was curious as to what DAL's fleet is worth if the company was liquidated.

This site lists its fleet composition:

I count 533 craft. To cover its $12b in EV, they would have to get about $22m per plane.

And here is a site that gives Boeing's price list:

I realize that these are new craft but I was struck that they are so much more expensive. My impression is that aircraft don't depreciate anywhere near as fast as cars do. My dad owned a used single prop Piper for several years and sold it for about what he bought it. It just seems to me that DAL's fleet is worth more than its debt even if the business model is horribly outdated.

Any thoughts about this line of thinking? It seems that no one wants to touch these stocks.
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (4) | Ignore Thread Prev | Next


Foolanthropy 2014!
By working with young, first-time moms, Nurse-Family Partnership is able to truly change lives – for generations to come.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Berkshire Hathaway

Buffett's Biggest Mistake
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.