A Technical and circumstantial review by Ravi EQS.

Jet Airways was in big news along with their flights are down from past half a year continuously because of their debit clearance issues. Unpaid vendor bills and unpaid salaries thus to their employees.

Jet airways isn’t the right choice now; their debt is the grounds behind. their asset evaluation occurred to -1,946.88cr. Many of their flight are down as a result of debits. persist in increasing numbers of flights stopped from flying. At exactly the same time flights condition is usually not to the objective.

Recently Vijay Malya, founder from kingfisher airlines announced and offered help, but he cannot pay off the debt which jet airway vow now. Total debt is around 5,295.12Cr.

Their net worth has become negative with -7,242Cr. Unpaid employees’ salary, job stability fear and attrition rate have become 70% in jet airways. However, Market capital estimated nowadays is 3,116.54.

On the efforts of saving this company, the BSE board also approved the situation of 11.4 crore equity shares on the lenders upon conversion of Re the outstanding debt. Lenders will infuse nearly Rs 1,500 crore via debt instruments.

The board also approved the constitution of the Interim Management Committee to regulate and monitor the daily operations and funds flow of the organization.

Jet airline will leverage the raise funds to pay off the pending dues towards lessors, vendors, creditors and employees and planned to re-deploy a number of its grounded aircraft directly into it work.

On additional hand, these activities could take decent length of time, board decisions are pending till April 30th, 2019. Al precisely the same phase Indian PM elections are going to be under pressure, government activities may improve or slow up the trading activities, In the past I have seen nifty giving variation in good sized quantities by shares being pulled down. This is because of fall I open interest.

Though cash is accumulated the complete Q4 profits usually null or negative because of the drama happening now, they hardly earned inside the time between Q3 to Q4 results, it will hit like a drought for sellers.

However, the buying opportunity is ahead, as soon as the Elections are gone mean time Jet airways Q4 results impacts would not have finished and also the board of directors’ decisions also completed together with progress and debt clearance plans. anybody can see investing during June and July in Jet airways.

If the elections turned positive, we can defiantly see some short coverings. Whatever the results can be, will not look for long lasting with Jet airways for the point.