Bonds Lead Stocks Out of Distress
In this issue, Marty Fridson details an opportunity to buy the common stock of a company whose bonds he previously recommended.
distressed investing
Why, and How, You Should Be Raising Cash…
When markets are hitting new highs, and inflation is rising, raising cash can feel like the last thing you’d want to do. But it should be the first thing to do. Here are few lessons on how to raise cash and where to put it once you do.
“Zeroes”, Tight Spreads, and Why the CEO Rushed Back From Singapore
In this special edition of the Daily Journal, Martin Fridson, Wall Street’s Dean of High Yield, shows how companies looking to raise capital tend to issue new bonds into an environment that benefits them, and not investors. Marty uses his decades in the sector to provide insights into how you can get in on the right side of the bond market.
Sell Alert: Half position of Peloton Interactive (PTON)
With shares trading up more than 100% from our entry price, we are recommending selling a half position in Peloton Interactive (Nasdaq: PTON). In our initial report on Peloton, “A Change of Gears,” dated October 11, 2023, we recommended purchasing Peloton’s 0% coupon bonds coming due February 15, 2026. At the time these bonds were
What’s Your Plan Z?: What to Do When Things Go Bad
When things get really bad, escaping to the Grand Canyon is not enough. You need cash, passports, food, and all the right investments. Kim Iskyan explores Plan Z.
Be Careful of Averages When It Comes to Distressed Debt
When investing in distressed debt, be very selective about which distressed bonds you buy. Buying a market basket of assets – a quick, efficient way of adding to equity holdings – is not a smart alternative with distressed debt.
Bonds and Liar’s Poker at Salomon Brothers
Just a few years before Michael Lewis was at Salomon Brothers, eventually writing his best-seller Liar’s Poker, Porter & Co. Distressed Investing analyst Marty Fridson was in another part of the building at One New York Plaza, identifying profitable trade opportunities in the debt market. He shares details in today’s Journal.
Making Money Off Making Movies
The largest movie theater operator in the world, the business we feature this month struggled after the pandemic, but management improved operations and bought distressed competitors and now is on a path to pre-pandemic levels of profitability.
Distressed Debt and the Presidential Election
The media likes to guess how the outcome of the U.S. presidential election will play out in the financial markets. Here, Marty Fridson analyzes past distressed-debt data to discover if it actually matters who wins on November 5: Donald Trump or Kamala Harris.
Dig, Baby, Dig
As low-cost EV manufacturers lead the transition to electrified transport, and with lithium (the key component of electric vehicle batteries) prices down 85% in the last three years, the lithium mining industry has become one of the most beaten down in the stock market. That has created the ultimate contrarian opportunity we introduce in this issue.