It looks like you got them around .25-.27 and that's entirely time premium. As the intrinsic value jumps, you may be able to take some profits in the next month or so (or sell off 1/2 and hold the rest until expiration). You'll know much better in June/July. Good Luck!
Agreed. A good place for newbies to get up to speed on the real deal from the company. Not on the minority short seller x employees, poised to lose big if the truth be told.
What a rediculous short thesis...attack a solitary poster on a yahoo message board.
I'm not attacking him, but suggesting this is the only read for DD is a bit silly. And suggesting that the industry as a whole has its doubts about MBIA long term prospects is also dishonest. Its not just former employees or guys shorting the stock. In my opionion, you must at least read the 10 to 12 pages in each of the last few 10Ks about litigation the company is battling. A company in involved in litigation should always give an investor some pause because its one of those things that is just so unpredictable (timings, outcomes, full disclosure and truth etc). There have been multiple posters on this board suggesting that they some how "know" what the outcomes and time course are for the various pieces of litigation. That is a terrible premise to use for making an investment decision. You might as well be using coin tosses or putting the money to work in Vegas. All that is really important to know is that it is a lot of complicated litigation ahead
Excellent find Mr H_, most Chairman usually speak negatively about their company in their letter To Shareholder. Jay Brown is an unbiased source of information. At the time he wrote that, MBI was trading much higher. I wonder why the market didn't like what he had to say.
Thanks. A solid read indeed. So what might the short case be?
It sounds like "continued weakness in macro economics" is all they have.
The evidence suggest continued improvement. Case in point todays better than expected housing data.
Litigations favor the company. So what's left?
As an aside, I don't think I ever seen a "pro short" openly confront and encourage sellers on a yahoo message board.
That alone is bullish.