Are there any of you out there who want to intelligently discuss and opine AFSI's business and prospects ? I would like to engage in such discussions amd exchange ideas and opinions about the company's future if anyone is like minded.
Pace of M&A activity in Property/Casualty industry should accelerate - FBR : Friedman Billings believes that after a six-year lull, insurance M&A bankers have something to be excited about. They believe every insurance co in today's market is either for sale or looking to make an acquisition. More importantly, they think difficult capital markets are currently giving little value to the franchises built by many insurers. With insurers currently trading at a rock-bottom average valuation of 1.0x book value, it is likely that mounting mgmt frustration will lead to more decisions to sell. Firm believes Maiden (MHLD) could be acquired by affiliated-insurer AmTrust Financial (AFSI). They say Chubb (CB) is a likely acquisition target for a large international buyer and Specialty Underwriters (SUAI) is a likely seller due to its lack of competitiveness. They think AMERISAFE (AMSF), Navigators (NAVG), and SeaBright (SEAB) could also sell to insurers looking for a new product line, and note RLI has clearly been pegged as the next insurer to go, as its shares have traded up significantly in recent weeks.
obviously rising unemployment means less workers need to be covered. however, AFSI provides work comp insurance to small companies, not the GenMot, Wall St. etc where massive layoffs are occurring, & which account for the greatest incremental increase in unemployment rates. thus RELATIVE to other insurance companies, the impact of economic conditions will be lower for AFSI
I suscribe to the IBD, saw it has AFSI in its Company Earnings Reports today.
AFSI is in bold as it earnings growth was more than 25%, in fact it's earnings growth for this quarter was 52.4%. Awesome!
We have a great company, so try to ignore the "shorts" who don't invest, they just try to push down stock prices for real investors.
Also, note that there was information on the next dividend, in January.
Hold your shares and wait, this stock should move well.
Good luck to all AFSI investors.
Selb, I bought in to AFSI shortly after it went public, then it raced to 17 and I sold out...why? Because of exactly what you just stated...IBD
They bring in so many day traders and momentum traders that the stock can move so much for no reason. I look at the other stocks they identify and it is ALWAYS a tradition. I was hoping by now AFSI would be off the list, but clearly as you state it isn't...at this price, this is a great great buy, but with all those idiot IBD "traders", it is like swimming in a shark tank
Sure. Blowout operating earnings (63 vs 41 cents) but investment loss on Lehman and Wash Mu ate away. But isn't this a one-time investment loss? Operating earnings should continue to be great going forward, so why no stock climb?