Transportation

Corona Capital: Newspaper rivals, College football

17 September 2020

Concise views on the pandemic’s corporate and financial fallout: the Wall Street Journal hits up the New York Times’ printing presses; U.S. college football’s Big Ten makes a comeback.

Big price for trains just about stays on track

15 September 2020

Blackstone’s infrastructure group may be offering what looks like top dollar – $20 billion – for Kansas City Southern, a 133-year-old U.S. freight railroad. But with interest rates so low, big prices for relatively predictable assets with stable returns may become the new normal.

Corona Capital: Vaccine politics, Peloton

8 September 2020

Concise views on the pandemic’s corporate and financial fallout: Pharma firms like Merck and Pfizer are putting long-term profit first by promising to wait for full approvals for Covid-19 treatments; Peloton cycles towards more profit by cutting the price of its high-cost bikes.

Corona Capital: Pools, Dell

28 August 2020

Concise views on the pandemic’s corporate and financial fallout: Pool firm’s dive into public markets, Dell’s hardware resilience.

Corona Capital: Europe’s recovery, Indian selloffs

21 August 2020

Concise views on the pandemic’s corporate and financial fallout: The latest economic reports from Britain, France and Germany paint a patchy picture; and why the virus will hinder New Delhi’s asset-sale programme.

Work-from-home shunts UK rail towards state siding

18 August 2020

Employers like accountants PwC think offices will be permanently slimmed down after Covid-19. Less commuting means more government help for rail, and even less room for the profit motive. Nationalisation, rather than Britain’s messy halfway house, might even improve services.

Alstom can drive a hard bargain on Bombardier

10 August 2020

The French train maker hinted it will reassess an $8.2 bln buyout of its Canadian rival’s unit following surprise losses. A 20% price cut would allow CEO Henri Poupart-Lafarge to make an economic return. EU consent for a deal and Bombardier’s high debts strengthen his hand.

Corona Capital: Telemedicine, Outdated movie rules

10 August 2020

Concise views on the pandemic’s corporate and financial fallout: Men’s wellness outfit Hims matches the online medical consultation trend with a financial one, namely blank-check companies; and Washington finally scraps a “Gone with the Wind”-era regulation.

Uber’s post-Covid prognosis is far from all clear

6 August 2020

The $60 bln ride-hailing app's second-quarter revenue fell 29%. That may mark the bottom. But despite CEO Dara Khosrowshahi's efforts Uber is still Exhibit A for the lack of benefits extended to gig workers. Washington is unlikely to rubber-stamp its deal for Postmates, either.

Corona Capital: GM, Glaxo, Shopify, Movies, Pemex

29 July 2020

Concise views on the pandemic’s corporate and financial fallout: General Motors pulls further ahead; GlaxoSmithKline’s vaccine-order boost; Shopify fills its revenue basket; AMC bows to online streaming’s growing power; Mexico’s oil giant puts on a brave face.

E-bikes give the two-wheeled market a jolt

24 July 2020

Pandemic-induced fear of public transport and state subsidies have boosted the $65 bln bicycle business. Growing numbers are opting for battery-assisted pedalling. As with cars, the shift is disruptive. Leaders like Shimano and Giant will have to make space for new players.

Corona Capital: Thanksgiving shopping, Airlines

22 July 2020

Concise views on the pandemic’s corporate and financial fallout: Walmart gives thanks to employees; Airlines’ relative winners emerge.

Italy road saga hands Benettons life-saving finale

15 July 2020

The clan’s infrastructure group Atlantia could end a government dispute over a bridge disaster by letting state actors invest in its motorway unit, and list it. The shakedown may leave the group with a stake worth just 5 bln euros, but it’s better than a threatened expropriation.

Uber’s Postmates deal will barely touch the sides

6 July 2020

Boss Dara Khosrowshahi is removing a food delivery competitor at a cheap price. More than half of the deal’s $2.7 bln value will be recouped through cost savings. It’s also an amuse-bouche sized test of how regulators will respond to the ride-hailing firm’s future acquisitions.

Corona Capital: J.C. Penney, Hockey

17 June 2020

Concise views on the pandemic’s corporate and financial fallout: Executives at bankrupt clothing chain J.C. Penney sell their shares for, well, pennies; and ice hockey gear supplier Bauer adapts for the Covid-19 era.

Hapag-Lloyd sails into valuation Bermuda Triangle

14 May 2020

The German shipping giant’s shares have doubled in a month, to the bemusement of all including its CEO. A tiny 3.6% free-float may be part of the puzzle. But positive reasons for the valuation hike – brightening horizons, M&A fever or short-sellers caught short – are absent.

Corona Capital: Beyond Meat, Facebook, Natixis

6 May 2020

Concise views on the pandemic’s corporate and financial fallout: Beyond Meat’s stock burn, Facebook installs an oversight board, Natixis’s bad news-good news situation.

Messy Air France-KLM rescue has lessons for others

27 April 2020

The French and Dutch governments are lending their respective parts of the ailing carrier up to 11 bln euros. The tricky bailout exposes the frailty of the 2004 merger. Germany’s Lufthansa, which owns Swiss and Austrian, and Anglo-Spanish operator IAG may face similar challenges.

EasyJet files turbulent post-virus flight plan

16 April 2020

The budget carrier hopes face masks and empty middle seats will speed up a return to the skies. Such measures will reduce profit as well as infection risks but lower taxes and fuel prices could help. The bigger question is how soon punters will feel safe enough to travel again.

Virus-hit airlines can fly without state thrust

12 March 2020

A U.S. ban on European travellers hammered airline stocks on both sides of the Atlantic. Washington doled out $15 bln of aid after the post-9/11 shutdown. But airlines are bigger now and fitter, letting them ride out turbulence. Regulatory leeway may suffice.