Agree. Bought some. With company urgently trying to initiate share buy back mandate, px should be well supported in the near future. DYODD


What do you say about the convertible bonds that will make up 28-51% of the shares if converted?

The dilution to the shares will be quite substantial if that were to happen. I believe there’s a price ceiling in the range of 0.5-0.6 because above that, inevitably the two PE will convert their bonds to shares. If it did not happen, then of course the shareholders will have greater shares to the fruits but at the expense of greater debt.

But I believe sunpower will do whatever they can to ensure that the conversion will happen if not they are taking on a huge debt of $180 million USD.


Reply to @KennyChia : Fair enough, substantial earnings growth depends on execution and whether their GI remains a moat in the future. So we have to see whether the management walk the talk.

Nevertheless, your analysis is actually very closely aligned with mine, with the exception of the dilutive factor from the convertible bonds. So I might throw in some chips for Sunpower if I can't find better opportunities elsewhere.

Hope to see more from you mate. Cheers

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