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Your picks of companies to short sell?

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  • 27-05-2009 2:23pm
    #1
    TheInquisitor
    Closed Accounts Posts: 1,530 ✭✭✭


    What do people think is the next company to fall in value? We have lots of threads on rising values but in these volatile times i think people should also be looking at short selling!

    I'm thinkin the next company to short is Ryanair! Currently at 3.50 i think they'll drop to 2.50-2.80 again. rising oil prices(if they had good hedges in place they would say so as they usually do) , no news from ryanair is normally bad news. Also suffered a huge loss in the final quarter of 08. Good short term short i believe.Though in 3-5 years they'll be back more than likely with a vengence!
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    #2
    HedgeHogging
    Closed Accounts Posts: 14 ✭HedgeHogging


    Good idea TheInquistor!

    Unsurprisingly, I have a few thoughts here which i will share when i get a chance.
    Also, as far as I am aware over past few years, Ryanair's hedging strategy on oil has been a disaster (certainly costly to them if I remember correctly). Do you or anyone else know who devises it? Is it Michael O'Leary himself?


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    #3
    TheInquisitor
    Closed Accounts Posts: 1,530 ✭✭✭TheInquisitor


    HedgeHogging wrote: »
    Good idea TheInquistor!

    Unsurprisingly, I have a few thoughts here which i will share when i get a chance.
    Also, as far as I am aware over past few years, Ryanair's hedging strategy on oil has been a disaster (certainly costly to them if I remember correctly). Do you or anyone else know who devises it? Is it Michael O'Leary himself?

    I honestly think it is michael o leary himself because he is so authoritarian in his managing of the company. During the oil spike ryanair were completely unhedged and then when the oil prices were falling they hedged most of their fuel at a ridiculously high price ! Like 120 dollars. Recently enough i heard him saying we are completely unhedged so i wonder are they still unhedged as oil prices are rising over $60! Falling demand rising oil prices are like a double edged sword for an airline especially one that seems to regularly get their hedging strategy wrong!


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