The budget airline has struggled to address its growing debt burden this year.
Spirit Airlines said on Friday it has reached an agreement with its credit card processor to extend a debt refinancing deadline by two months until Dec. 23.
Spirit Airlines bolstered its cash position, likely delaying bankruptcy. Spirit Airlines stock soared Friday night.
Spirit Airlines is facing an Oct. 21 deadline with its credit card processor to renegotiate more than $1 billion in debt. Spirit shares are down more than 90% so far this year.
Spirit (SAVE) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Spirit Airlines Inc SAVE is facing turbulent skies ahead. While the broader airline industry is flying high, Spirit's financial woes are pushing it toward a potential bankruptcy.
The heavy selling pressure might have exhausted for Spirit (SAVE) as it is technically in oversold territory now. In addition to this technical measure, strong agreement among Wall Street analysts in revising earnings estimates higher indicates that the stock is ripe for a trend reversal.
Spirit Airlines shares have plummeted 24.90% since August, with bankruptcy rumors looming, making the stock extremely high risk but potentially undervalued. The airline faces an October 21 deadline to refinance or extend notes, which could determine its bankruptcy fate and shareholder value. Despite ongoing losses, Spirit's valuable assets and potential for a turnaround make shares a contrarian buy with significant upside if refinancing occurs.
Deep-value investors might have this business on their watch lists.
Spirit Airlines is facing an Oct. 21 deadline to refinance debt that's due next year. The airline is reportedly considering filing for Chapter 11 bankruptcy protection.
George Tsilis calls Spirit Airlines (SAVE) a "cheap stock that can get even cheaper." A report says the company is considering bankruptcy after JetBlue Airways (JBLU) closed the door on a potential merger.
Shares of Spirit Airlines (SAVE) fell sharply after the Wall Street Journal reported the discount airline was in discussions with bondholders about potentially filing for bankruptcy. The airline has been struggling to return to profitability following the COVID pandemic and its failed merger with JetBlue (JBLU).