I wouldn’t classify Luckin Coffee (OTCMKTS:LKNCY) as a “bankruptcy play” like Hertz (NYSE:HTZ) or Whiting Petroleum (NYSE:WLL) because technically it doesn’t fall into that category. Yet, for a while I lumped Luckin stock in with those other ones because I expected that insolvency was right around the corner.
Sometimes it’s perfectly okay to flip-flop on a stock. Recently I looked through the news developments concerning Luckin, and I didn’t see anything terrible. Is it possible that the worst is over for Luckin stock holders?