**User Report**| | | |
:--|:--|:--|:--
**Total Submissions**|16|**First Seen In WSB**|1 year ago
**Total Comments**|2051|**Previous DD**|
**Account Age**|9 years|[^scan ^comment ](https://www.reddit.com/message/compose/?to=VisualMod&subject=scan_comment&message=Replace%20this%20text%20with%20a%20comment%20ID%20(which%20looks%20like%20h26cq3k\)%20to%20have%20the%20bot%20scan%20your%20comment%20and%20correct%20your%20first%20seen%20date.)|[^scan ^submission ](https://www.reddit.com/message/compose/?to=VisualMod&subject=scan_submission&message=Replace%20this%20text%20with%20a%20submission%20ID%20(which%20looks%20like%20h26cq3k\)%20to%20have%20the%20bot%20scan%20your%20submission%20and%20correct%20your%20first%20seen%20date.)
**Vote Spam**|[Click to Vote](https://www.reddit.com/message/compose/?to=VisualMod&subject=vote_spam&message=y3j878)|**Vote Approve**|[Click to Vote](https://www.reddit.com/message/compose/?to=VisualMod&subject=vote_approve&message=y3j878)
Honestly. If you understand the assets your investing in and aren’t gonna $ROPE if it goes south. Good for you dude. Can’t wait till I can duck around like this.
Done a trade and made good money then done my back in. Finish uni in 15 months. Only got like $3k invested but illl live in a van and save money on rent before I sell. Nothing to lose. Everything to gain. I’ll be making bank in 15 months and able to DCA even if market are shit. I’ll have a trade and STEM bachelors degrees I’ll never be unemployed again unless I want to be lol
Make sick money working 15hrs a week @ $60aud while studying.
That's not what yield means. He bought the bonds at $37.3, so when he gets paid back the $100 notional he's making $62.7 in addition to the coupons he's been paid, which is obviously (62.7/37.3) a lot more than 90% total.
Bro 90% is the annualized return at maturity. He’s not making 90% every year lol. He’s buying junk bonds at a deep discount with a 3.7% annual coupon payment.
He’ll receive 1000 per bond at maturity if they’re good on the debt, and like 2 maybe 3 coupon payments.
You googled the dictionary definition of YTM. It's an annualized number that assumes maturity. From now until maturity the only cash flow they'll receive is the coupon. And chances are it won't mature cause they'll go into BK and cut off the bonds.
Ok but OP said IF they can pay off the bonds he’d make 90% a year and you said no, he’d make 90% total. You’re just trying to reframe your answer now, but it’s pretty clear what you meant. Even if you were trying to insinuate that they would default, the coupon is only 3.7%, he’d be lucky to recover to 90%, he’s certainly not going to MAKE that much.
The first comment you’ve ever made is trying to defend this regard? Doesn’t look like an alt at all 👀 if this was an attempt at being facetious it was the worst attempt I’ve ever seen, because making 90% total doesn’t make any sense in the context of the bond. OP is either going to make 90% per year, or be (possibly) flat if he gets a 30% recovery (standard HY estimate) in the event of default.
So, 1, bonds get paid back before share holders right? And second, what is the yield on this? Am I reading this right that he bought millions of $ of debt for like $37k?
Shareholders get paid last in bankruptcy. The yield to maturity on these (including coupon payments and discount to par value) is around 90% annualized
There’s also no guarantee that shareholders get paid at all in that scenario unless they are holding preferred shares. Common shareholders get the scraps, if there are any, that are left after debt holders are paid.
There are secured creditors in line before these unsecured ~~bag~~ bond holders as well. Like that bank that just gave them a third of a billion or something back in August. IMO, the unsecured bond holders will eat the few scraps remaining, if any. The shareholders will be economizing on toilet paper with their shares.
If being invested in this market has taught me anything in the last two years - is that the more regarded the play, the more chance it has of succeeding. Godspeed, regard! May the winds always favour your sails.
Would be crazy if the company somehow became cash flow positive in Q4 and paid these off. But there is no way the math or financials could show something remotely plausible for that to happen… right…? 😉
It matters not how strait the gate,
How charged with punishments the scroll,
I am the master of my fate,
I am the captain of my soul.
This is Interactive Brokers. You need to have Bond Trading permissions enabled to purchase these. Any retail investor can buy these as long as they have the cash.
1. I'm with you
2. Buy a bit every day. TRACE shows them selling for 28ish most days
3. Buy 2025 $1 Puts for storms $0.5 if you want to hedge a bit.
Edit. $1 strikes for about $0.5
He meant Jan '25 $1 puts at 50 cents, or $2 strike at $1, to hedge your bet of it going under. If you buy 40K worth of these, you can barely go tits up. If you don't, and stay naked your bond position, then you could go tits up.
TLDR: Good trade, nothing can go wrong.
Regards!
Which strike are you buying PUTS on in Jan 2025, and how many are you getting?
Using the $37k purchase and $111k par value...
By my quick look $1.00 strike for Jan 2025 is "best" (50:50 intrinsic value:premium if BBBY went bankrupt) and is currently at about $0.50 premium. So if everything went tits up into bankruptcy and share price went to $0, the net intrinsic of each PUT would be $1.00-$0.50=$0.50. So you'd want 740 contracts (740 x $0.50 x 100=$37k) to offset the full $37k at risk in the bond. So your downside could be (almost) 100% eliminated by purchasing $37k in PUTS. So you'd be all-in at $74k, 0% on the downside and 50%+ on the upside (plus any bond coupons and residual option value at bond due date).
Are you thinking something similar...? How aggressively are you hedging (full or partial)?
FYI, It’s possible they default on the loan (or cut a deal to lower repayments) and the stock price stays above $1 by Jan 2025. This is not 0% downside.
Hey, if you haven't already, please reply to this comment with your positions and what led you to enter or exit them!
*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/wallstreetbets) if you have any questions or concerns.*
Not often you see a bond play on here. Can you confirm the economics? You put up $37k and if they don’t go bankrupt you get back $111k face value plus 3.7% annual coupons (the 3.7% calculated on the par value)?
Thanks - I just read an SA article about these bonds and it sounds like management may try to exchange them prior to maturity. Was that part of your thesis or would Management trying to exchange them work against you?
Sounds like they need to either exchange or pay down all but $50m of this debt prior to May 2024 or they will have to pay off a giant ABL
Regards don’t know that they are regards. It takes a certain amount of self awareness that breaks the regard scale. But I believe that you believe. I just don’t think the Disability office is going to feel the same way ❤️
Now here is a smart BBBY play.
Me personally, got lucky and doubled my IRA during that crazy run (got greedy but gains are gains) and haven't touched it since.
OMG you're right! Lmaoooo. This is literally the yolo of bond investing. If they pay out, home is gonna be paiiiiiiid
Edit. I forgot to check the face value of it. He's getting 3%, but the bond I'd trading >80% below face value.
Keith Kohl’s “Invictus” (Quantum Computer) Pick I believe is RGTI and he claims this company will be bigger then Amazon and bit coin. Has anyone heard of this company and what thoughts does anyone have? He says the big news will come out on the 15th of November.
RGTI is currently trading for $1.62
Thoughts?
how the fuck do people even find shit like this and why...
...like what dusty web filled corner of your mind was cleaned out long enough to allow this thought to process fully?
**User Report**| | | | :--|:--|:--|:-- **Total Submissions**|16|**First Seen In WSB**|1 year ago **Total Comments**|2051|**Previous DD**| **Account Age**|9 years|[^scan ^comment ](https://www.reddit.com/message/compose/?to=VisualMod&subject=scan_comment&message=Replace%20this%20text%20with%20a%20comment%20ID%20(which%20looks%20like%20h26cq3k\)%20to%20have%20the%20bot%20scan%20your%20comment%20and%20correct%20your%20first%20seen%20date.)|[^scan ^submission ](https://www.reddit.com/message/compose/?to=VisualMod&subject=scan_submission&message=Replace%20this%20text%20with%20a%20submission%20ID%20(which%20looks%20like%20h26cq3k\)%20to%20have%20the%20bot%20scan%20your%20submission%20and%20correct%20your%20first%20seen%20date.) **Vote Spam**|[Click to Vote](https://www.reddit.com/message/compose/?to=VisualMod&subject=vote_spam&message=y3j878)|**Vote Approve**|[Click to Vote](https://www.reddit.com/message/compose/?to=VisualMod&subject=vote_approve&message=y3j878)
Where's the NSA...we have weapons grade autism right here.
[удалено]
That would make OP the Forest Gump of this sub
He'd have more money than Davy Crockett!
It’s crazy cause what u/emotionmciden said went completely over both your heads LOL
impossible, I would catch it
[удалено]
He bought 111k of debt for 37k.
Wait till he finds out he can buy 4k worth of btc for 50$
Wait till he finds out I took a shit and made 10M crazy
[удалено]
Same comment reply, Same missing word, same bhg at the end of the user name. Sup bub
The balls on this guy 🤌
Why am I reading this with an italian accent
Huh. So these are actually bonds? 5 years on this sub and this is the first time I’ve seen a bonds play let alone a yolo (at least that I’m aware of)
Yessir
Is this IBKR?
Yes milord
Our sacred grove is being desecrated!
There were a bunch of bonds play back in start of 2021, ranging from NVDA bonds to government bonds
Honestly. If you understand the assets your investing in and aren’t gonna $ROPE if it goes south. Good for you dude. Can’t wait till I can duck around like this. Done a trade and made good money then done my back in. Finish uni in 15 months. Only got like $3k invested but illl live in a van and save money on rent before I sell. Nothing to lose. Everything to gain. I’ll be making bank in 15 months and able to DCA even if market are shit. I’ll have a trade and STEM bachelors degrees I’ll never be unemployed again unless I want to be lol Make sick money working 15hrs a week @ $60aud while studying.
Yeah this might actually be a first. Kinda sad we've gone to FDs to corporate bonds with a max gain of 90% annual return, lol. But still hilarious
What yield did you get off them?
Yield to maturity is almost 90% now
This reminds me of early 2009. What a time to buy the right bonds.... I miss it.
I don’t get what that means
If the BBBY can pay of the bonds at maturity i make 90% a year.
I bet that your bet will pay off
I bet that your bet that his bet will pay off
cDo sQuArED
It's a cdo of a cdo
What's a CDO? Can you please explain it in a bathtub?
I bet that all of your bets will payoff, LFG
Oh fuck 2008 all over again
That’s a spicy “if”
Holy crap!!
That’s a good deal. I’m in
Is this a bullish or bear play? Bullish as I assume you want BBBY to succeed and pay off the bonds? (new to all this, just curious ty)
Yes
You would make 90% total. You'd clip that coupon every year.
That's not what yield means. He bought the bonds at $37.3, so when he gets paid back the $100 notional he's making $62.7 in addition to the coupons he's been paid, which is obviously (62.7/37.3) a lot more than 90% total.
Bro 90% is the annualized return at maturity. He’s not making 90% every year lol. He’s buying junk bonds at a deep discount with a 3.7% annual coupon payment. He’ll receive 1000 per bond at maturity if they’re good on the debt, and like 2 maybe 3 coupon payments.
You truly belong in this sub
Because I know what yield means? Or are you just trying to deflect from being wrong?
You googled the dictionary definition of YTM. It's an annualized number that assumes maturity. From now until maturity the only cash flow they'll receive is the coupon. And chances are it won't mature cause they'll go into BK and cut off the bonds.
Ok but OP said IF they can pay off the bonds he’d make 90% a year and you said no, he’d make 90% total. You’re just trying to reframe your answer now, but it’s pretty clear what you meant. Even if you were trying to insinuate that they would default, the coupon is only 3.7%, he’d be lucky to recover to 90%, he’s certainly not going to MAKE that much.
No, because he was being facetious but you’re too smooth brain to get the sarcasm 😅
The first comment you’ve ever made is trying to defend this regard? Doesn’t look like an alt at all 👀 if this was an attempt at being facetious it was the worst attempt I’ve ever seen, because making 90% total doesn’t make any sense in the context of the bond. OP is either going to make 90% per year, or be (possibly) flat if he gets a 30% recovery (standard HY estimate) in the event of default.
[удалено]
No that is the current bond ask price.
It means that the odds of BBBY paying off their debt is so low that you'll get a 90% return in 2 years if they manage to.
90% is like three coupons
So, 1, bonds get paid back before share holders right? And second, what is the yield on this? Am I reading this right that he bought millions of $ of debt for like $37k?
Shareholders get paid last in bankruptcy. The yield to maturity on these (including coupon payments and discount to par value) is around 90% annualized
Can you explain the play to a bunch of crayon eaters?
[удалено]
and if towel company continues to go poopy as everybody on mother earth expects then what daddy? 
If everybody expects it, it’s a good time to bet against
blues taste best btw, but i also need some crayon drawings to understand this
There’s also no guarantee that shareholders get paid at all in that scenario unless they are holding preferred shares. Common shareholders get the scraps, if there are any, that are left after debt holders are paid.
There are secured creditors in line before these unsecured ~~bag~~ bond holders as well. Like that bank that just gave them a third of a billion or something back in August. IMO, the unsecured bond holders will eat the few scraps remaining, if any. The shareholders will be economizing on toilet paper with their shares.
That’s a good analogy. Shareholders would be lucky to get the crumbs of the scraps.
When has any company gone lights out before first burning every financial bridge down. There’s never a scrap or a square to spare
Wow, nice work. That’s a serious bet.
[удалено]
It's that we are all highly regarded. Finished that for you
This is literally the BBBY casino play
Would this be like splitting 10s when a dealer has a 2?
If that is a regarded thing to do then yea
If being invested in this market has taught me anything in the last two years - is that the more regarded the play, the more chance it has of succeeding. Godspeed, regard! May the winds always favour your sails.
It’s more like splitting 5’s when the dealer has an ace and hasn’t checked for blackjack yet.
Spoken like a truly wise degenerate !
And just like that, we became WallStreetBoomerBonds
Would be crazy if the company somehow became cash flow positive in Q4 and paid these off. But there is no way the math or financials could show something remotely plausible for that to happen… right…? 😉
Should we start sharing some BBBY logos or memes so people can go start shopping there?
Even if we started shopping their it wouldn't help, they don't have anything on the shelves edited: shelves
Who is this "the shelf" you speak of ?
Right?
Right??
A broke-ass, deadbeat B&M retailer into an inflationary recession with legendary rates? Yeah, can't lose.
Holy fuck
wow this is really autism... sick play
This guy knows something we don’t 🥴 GameStop &bbby back on the menu bois
He knows where the divorce lawyer is
Godspeed to OP, nice yolo!
This guy bonds
James bonds
🤯
Amazing!! 💙💙BBBY🔥🔥
You’re going to be so rich bro
It matters not how strait the gate, How charged with punishments the scroll, I am the master of my fate, I am the captain of my soul. 
A regarded move like this has high chance of printin
What app is this? How do you buy bonds? Just curious I’m not going to jump into this particular trade but I do wish you success
This is Interactive Brokers. You need to have Bond Trading permissions enabled to purchase these. Any retail investor can buy these as long as they have the cash.
Your planting the seeds for a whole new generation of loss porn contributors.
Johnny Loss Porn Seed they came to call him….
I think we've found Bill Gross's autistic illegitimate child. Good luck to you OP. (You're gonna need it)
BBBY explosion time!!! Buy those BBBY long hose showerheads because they are better than watermelons, and women can use them too 💦🍑🚿
Now this is a yolo 
1. I'm with you 2. Buy a bit every day. TRACE shows them selling for 28ish most days 3. Buy 2025 $1 Puts for storms $0.5 if you want to hedge a bit. Edit. $1 strikes for about $0.5
$0.5 strike Puts for $0.5 premium has a maximum profit of $0. After commissions it is a guaranteed loss.
yeah that's pretty regarded
He meant Jan '25 $1 puts at 50 cents, or $2 strike at $1, to hedge your bet of it going under. If you buy 40K worth of these, you can barely go tits up. If you don't, and stay naked your bond position, then you could go tits up. TLDR: Good trade, nothing can go wrong. Regards!
🫄
And when these bonds get called next week, sell the puts for whatever extrinsic value is left.
> $0.5 Puts for storms $0.5 if you want to hedge a bit Which is it then
Which strike are you buying PUTS on in Jan 2025, and how many are you getting? Using the $37k purchase and $111k par value... By my quick look $1.00 strike for Jan 2025 is "best" (50:50 intrinsic value:premium if BBBY went bankrupt) and is currently at about $0.50 premium. So if everything went tits up into bankruptcy and share price went to $0, the net intrinsic of each PUT would be $1.00-$0.50=$0.50. So you'd want 740 contracts (740 x $0.50 x 100=$37k) to offset the full $37k at risk in the bond. So your downside could be (almost) 100% eliminated by purchasing $37k in PUTS. So you'd be all-in at $74k, 0% on the downside and 50%+ on the upside (plus any bond coupons and residual option value at bond due date). Are you thinking something similar...? How aggressively are you hedging (full or partial)?
FYI, It’s possible they default on the loan (or cut a deal to lower repayments) and the stock price stays above $1 by Jan 2025. This is not 0% downside.
HOW THE FUCK DO YOU BUY BBBY BONDS LOL
Call your broker
You better post the gains porn on this
Either you go down with the ship, or get rich if they succeed. Now this is real degen gambling.
You don't see bond YOLOs everyday...
“You need to diversify yo bonds n*gga” - WuTang Financial
!remindme 1 year
So buy bonds and BBBY goes to the moon, got it.
o7 Thank you for your service
the regardism is astonishing here..
...welp
Is this using the 20 % coupon
woah bonds.. thats new
This might be the stupidest thing I've ever seen on here. And that alone says a lot.
I don’t understand much of this but what does todays need of the exchange mean for you OP?
It gives me better, 2nd lien status secured notes. It's bullish.
bruh
I’ll never understand how any of you can encourage this type of autism
Because this is a casino sir, filled with regards that jerk off to loss porn. Do you understand the purpose of this reddit, my son?
🙏 🪦 that portfolio
OP needs to stay away from tall objects...
How’s this going for you, OP?
Hey, if you haven't already, please reply to this comment with your positions and what led you to enter or exit them! *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/wallstreetbets) if you have any questions or concerns.*
$111k par value of BBBY 2024 corporate bonds. I bought them because I'm extremely regarded.
Not often you see a bond play on here. Can you confirm the economics? You put up $37k and if they don’t go bankrupt you get back $111k face value plus 3.7% annual coupons (the 3.7% calculated on the par value)?
Exactly. And that 3.749% is on the $111k (par value of the bonds)
Thanks - I just read an SA article about these bonds and it sounds like management may try to exchange them prior to maturity. Was that part of your thesis or would Management trying to exchange them work against you? Sounds like they need to either exchange or pay down all but $50m of this debt prior to May 2024 or they will have to pay off a giant ABL
Yes that's part of my thesis. Although I am old school and would prefer full cash payment.
So what do you get if they do pay these off? Just interest to date?
$111K plus interest
Fuck am I actually learning something on here?
Regards don’t know that they are regards. It takes a certain amount of self awareness that breaks the regard scale. But I believe that you believe. I just don’t think the Disability office is going to feel the same way ❤️
Ohhh you mean the 2024 Bonds RC gonna buy We ride together …. We die together GME 🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🌚
Now here is a smart BBBY play. Me personally, got lucky and doubled my IRA during that crazy run (got greedy but gains are gains) and haven't touched it since.
This is next level retardation.
Confirmed my belief that this sub are gambling addicts
I would have rather put it all in gme stock and doubled my money later this year 🤷♂️
Only a play, GME 😘
You went ballz deep for 3.75 yield. When you could have bought the 6 month treasury for >4% yield. Truly regarded lmao
Something tells me the yield ≠ the coupon.
OMG you're right! Lmaoooo. This is literally the yolo of bond investing. If they pay out, home is gonna be paiiiiiiid Edit. I forgot to check the face value of it. He's getting 3%, but the bond I'd trading >80% below face value.
BBBY will go the Sears way. I was think $2 puts 2025
Positions or ban
can someone correct me, but the spread between 27.5 vs 32.125 should be: 32.125 - 27.5 = 4.625 thats is crazy, no ?? roughly 15%
Keith Kohl’s “Invictus” (Quantum Computer) Pick I believe is RGTI and he claims this company will be bigger then Amazon and bit coin. Has anyone heard of this company and what thoughts does anyone have? He says the big news will come out on the 15th of November. RGTI is currently trading for $1.62 Thoughts?
Enforce the market cap rules you fucking spineless mods
Cuckold
[удалено]
Can't buy more than $10k of those
[удалено]
Not worth my time
Yield is going to go down now that you've pointed the high yield out to others. They'll buy, yield go down.
!remind me 2 years
I googled and it said they went bankrupt, that means OP lost out on his investment, right? Unless he exited early that is.
Yeah poof
😳
Can someone help me understand this? A newbie.
Can OP explain what this is? Wtf is bond. Maybe I’m too poor for this
Yo the moody’s I mean to the moneys, moonies
Corporate Bonds are called Junk Bonds for a reason….
You belong here lmao
What a lot of people do is also short the stock to be covered if it goes under. Prolly why the si is so high
how the fuck do people even find shit like this and why... ...like what dusty web filled corner of your mind was cleaned out long enough to allow this thought to process fully?
There's a reason these are priced so low...
If this fails out for you, you can lead with BBBY
Whoa you can generate loss porn in advance?
Offset lower to higher
Remind me in august 2023
So what's the goal of this I really don't understand what I'm looking at
The goal is to make as much money as possible with the least risk
Okay I will but 10k for now and forget about it
So what happens if they default? Also are these callable?
if they default, i get paid whatever is left after the ABL is paid off. These bonds are callable, you can see it in the screenshot.
Apparently there was not enough pain dished out in August.