This will be a very bumpy market. Stay put and watch NYB with earnings and asset quality rise. The next BIG bump will be WAMU. Look for either Citi or JP to acquire WAMU. The FDIC will most likely broker the deal. Fasten your seat belts and watch. By the way did you notice the new SEC rule regarding short selling? They will be enforcing with vigor and look for some big examples. They are looking into Lehman trades shortly before the bankruptcy. Where there is smoke there is fire and someone will most likely get burned.
You know, I'm wondering whether this
prospective deal to buy illiquid
mortgage assets will be that great
for NYB. If, and it's a big "if,"
they take the bad assets off the
hands of the bad banks w/o forcing
big writedowns, what happens to the
premium currently being paid for
banks with good loan assets, like
Whether all here realize it or not,
these guys are pretty good bankers,
whose problem hasn't been their
lending but the expansion of the
franchise. If it's now okay to
be a bad banker, where does that
Just a thought, as the resolution
plan is still only a plan.
Huge! EPS growth going forward 12% for 08 and 34% for 09. Plus you have 30 mil shares still short with only 6 mil shares covered. And october's 3Q coming fast. Joe F., just finished 3 presentations in Canada and the US in front of a very receptive audiance - mutual fund managers and pension fund managers and one coming up in 2 days. Thats why its moving
Probably Joe is about to purchase another small bank in a supposed accretive acquisition.
Or maybe Joe is trying to shop NYB to a bank like TD for 26+.
I wouldn't hold my breath though.
FDIC has the rates to member banks so this will cost NYB more----inflation is up and going higher in the core deposit areas that NYB operate in means less money to save---the LEM bankruptcy and MER takeover by BAC-- will raise uneployment in the NY region which will cause finacial stres on the real estate market--- more regional banks will have to merge to hold on to depositers money which may flee to larger national banks-- NYB has to cut the dividend-- there is no such thing as no risk
The real story NYB is a safe ST haven considering today turmoil in the market. I just put up my contracts and will know by the end of the day if they sold. NYB will come back down with its current PE of 50+. As for the dividend not my call but the way I read it she should hold steady. NYB was smart claiming the oto loss last quarter. Wait and see.