facebookSingapore Airlines is cutting 96% of the capacity due to the tightened border controls to stem Covid-19. SIA (SGX: C6L) shares are currently at a low of S$5.40. Is now a good time to buy SIA shares? - Seedly

Anonymous

25 May 2020

Stocks

Singapore Airlines is cutting 96% of the capacity due to the tightened border controls to stem Covid-19. SIA (SGX: C6L) shares are currently at a low of S$5.40. Is now a good time to buy SIA shares?

Given that the national carrier's share price is low now, and might continue to lower further, would now be a good time to buy?

Discussion (8)

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It shouldn't be because you believe the price is at Bitlife lowest that you purchase it. You'll be devastated if it decreases to zero. It's the lowest any stock can go, after all.

SIA closed at $3.63 on 22 May 2020. With its future uncertain but cannot failed position (supported by our sovereign fund), it is worthwhile for a 3-4 year timeframe?

Ernest Yeam Wee Leong

02 Apr 2020

Content Creator at www.youtube.com/c/JustBeingErnest

The easiest way to ask is will SIA recover and how much will it recover

And even though now is low, could it go lower?

If you are confident that it will bounce back, you can buy but using dollar cost averaging.

Personally i will say it is a risker bet. Prefer companies that are more resilient.
I make videos about interesting stuff at youtube here​​​

Josh Tan Jian Liang

01 Apr 2020

Co-founder https://theastuteparent.com at Promiseland Independent Pte Ltd

Hi Anon,

SIA has fallen on bad times. Business has almost grinded to a standstill as they have just announced the halting of flights.

SIA will be issuing rights and mandatory convertible bonds (MCB) Rights will be issued at 3 rights per 2 shares. Exercise price at $3. MCB will be issued at 295 per 100 shares. It is a zero coupon 10y bond.
Full explanation in this video "SIA Bailout? How It Works (Rights And Mandatory Convertible Bond)" : https://youtu.be/gsY_czHU97Y

Also shared before a prequel "INTERESTED IN SIA SHARES": https://youtu.be/TfeLltNAxxw

Given that the national carrier's share price is low now, and might continue to lower further, would now be a good time to buy?

  • There are a few assumptions made. Nobody knows the price direction moving forward for sure. Don't worry about the "now" exact timing of investing. It may impede proper expectations on your investments.

Invest over a period. Hope it helps. If in doubt look for a qualified adviser.

Alvin Teo

30 Mar 2020

Aviva Relationship Consultant at Aviva Affinity Channel

Some people will tell you yes, but given current situation, Some more might tell you no.

but for su...

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