When a company gets as quiet and sealed off like SNV
giving you nothing but a maybe we'll pay of TARP some day ( being the only major bank not to have done so long ago) it's pathetic. This is not business it's playing games. Oh yes...and maybe we'll make some money this year or in 2014. Yes whenever the game of holding off on paying the TARP eventually ends there will be a big jump in share price. Really? Will earnings go into orbit? From where? How? Whats the plan? Anyone at SNV know? Care to share that with us now? No. Well ok.
I don't have a financial background, so correct me if I'm wrong...this is my guess...there is 1.9 billion cash on Synovus's balance sheet. The TARP that is owed is approximately 800 million. The TARP isn't due until January, 2014. So, even though they have the money to pay it off now...why do so? Use that 800 million for the rest of the year (earning interest & other investments), then pay it off when required in January, 2014. Does this make sense? What's your opinion?
Makes perfect sense to me, but some people buy a stock and expect moves to be made next day.... I would have thought 200% gain past 2 years was enough to please them, but I guess not lol. Sure I'm disappointed with the slacking gains these past quarters, but now that TARP payment is inching closer it brings in a whole new group of investors looking to #$%$ a quick profit.... And I remind myself that I'm already up damn near 200% and find I could care less if it stays at 2.50-2.60 til TARP payback. Just means more time to buy on dips.