NIO: this will end in tears

Forget where the stock has come from and the fact that it is already down 50% from the highs. NIO (NIO, listed on the NYSE), the recently-listed Chinese BEV name, is a hype-driven, cash-incinerating JOBS-act IPO that may qualify as the best poster child for ZIRP's distortionary capital allocation effect when the history books get … Continue reading NIO: this will end in tears

Stranded on the Westshore

Westshore Terminals (WTE, listed in Toronto), is by all appearances an amazing business. Located just south of Vancouver, WTE operates one of the largest coal export terminals in the world, loading around 30 million tons (mt) per year while operating almost continuously, 24 hours a day, 365 days a year, either from trains arriving directly … Continue reading Stranded on the Westshore

Tesla unsecured debt: recovery tops out at ~30c (if you’re lucky)

I'm dusting off the cleats (yes, it's been a while), as I've had a large number of incoming questions regarding what happens to Tesla (TSLA) unsecured debt if or when they file for bankruptcy. This will not be a post about the long list of existential risks facing TSLA at the moment: there will be … Continue reading Tesla unsecured debt: recovery tops out at ~30c (if you’re lucky)