When I wrote "buy KRNY at 9", I did not mean that it will trade at 9 immediately. Initially it will probably trade in the 9.9 10.10 range. But it will not go anywhere and the natural forces will make it drift down to the 9+- .2 range.
As a depositor I intend to buy not the 5000 shares that I bought from hbck but 500.
Beware of KRNY - I see too much optimism.
Hcbk will hit $31 by ipo date and trade as low
as $ 8.oo after the conversion. Everyone can not get out of the gate at the same time and it will take months to get the flippers out of the stock , there will not be a upturn until the flippers are out. The bank will litterly drown from the amount of stock issued. We have
never seen this situation in any ipo. Everyone
will suffer on this deal even though the numbers look pretty good the smart money will
wait. I hope i can wait and not be sucked in as everyone will get a full allotment, but then watch out. And then nyb will be the target of a buyout and their phony numbers so the stock will tank again so maybe $ 7.00 will the bottom unless we start getting half point raises from the fed and then $ 6.00 may be the bottom or even $5.oo would you take the stock
Keep dreaming! I suggest you read the KFC prospectus..page 1....net proceeds per share alone is $9.84 @ max. Factor in existing financial assets, this stock is easily worth $12+/share just to get to its book value. And we all know that solid NJ thrifts trade way above 1X book. FYI: KFC is the #11 largest mutual remaining in the USA, and the third largest in NJ, where real estate and economic conditions remain good. I'm buying as much as possible,& suggest you reconsider doing same!
too many people would be looking to buy it at $9.00 even...better to buy it at $9.25 - $9.50, where many deals have broken down to lately and last year when things looked like now.
Very few deals trade down 10%. Most bottom out at 5% below the $10 price.