near a buck. Just when many felt $2 will hold. (In hindsight, you had a 100% gain if bought <$1 and sold around $2.00)
Two consecutive quarterly earning reports resulted in CPF stock going lower. Any more commercial real estate write-downs?
Many would like to buy CPF at this low prices returning back to 10 where it started 1/1/2009. Might be a dream...as banks and the economy to endure another year of struggle will be an understatement.
The market correction also contributed to the selling.
If CPF stays under $1, the handwriting is on the wall for its survival. High risk, high reward owning CPF.
At least WFC has gone from $7.00 to $28.00 what has our little piggy CPF done for us lately. Only people making $$ on CPF were the ones had the courage to pick this up at less than a dollar those brave soles are the only ones. The shorts have done well also.
Easy to kick it while its down. I hold those BASHERS in very low esteem, morals. Bashers in my opinion are little more than destroyers. Bashers, are of the same genre, and, standing on their well worn soap boxes crying out for undeserved attention, whether they wish to or not, do affect the price of stocks, but publicly denegrating a stock may influence potential investors away from a stock simply by including by inference in with actual facts on a stock, the same as pumpers may effect the purchase by implication, then dump, hurting other investors.
Worse are a bunch of mindless daytraders who promote short term decisions that hurt the company in the long run for a bounce, or investors who are like children who squawk down necessary capital moves because they don´t want to end up diluted.
Then they run around calling those who give the facts and present the alternatives bashers because they don´t understand the company´s situation or care to try to.
Those types of investors I look for as flag investors when I am trolling for turnaround plays. If management is listening to them, or maybe they flag that it is all just a pump and dump show and management is using them, then the company is going nowhere but down IMHO.
So pay. Let us say that the management here announced a capital plan that raised the shares outstanding to 140M shares, meaning this would be diluted five fold from its original 28M shares a while ago.
Not saying they can do it, I think it may have to be more.
What I am asking, is would you agree to it, or say it is too much dilution?
What is to "hoover" and are you trying to say this bank sucks (like a vacuum)???
Now a "hover" is the stable flight regime with no airspeed or altitude changes...kinda like flat trading.
Flat I don't see for this stock.
Check out MJOSH's posts, right or wrong he is out there with his perspective and predictions.
Can someone in the know explain why the FDIC closes a bank and some others escape?
FWIW, I am just a small retail guy who has followed this meltdown and goes long bank shares during times like this, I have no interest in this one, I simply pop in on this messageboard at times to say that I think they need to raise capital here sooner rather than later or they run the risk of being shut down.
While I cannot speak for regulators, if you follow what is going on you might conclude that they are doing things well and there are no real surprises, pretty much the ones that should be shut down are and they are fairly obvious candidates months before it gets to it.
Pretty much all the ones that have been closed were in serious trouble, and if they were not closed they would have ended up costing us a lot more down the road.
Look at NPAs, reserves, statutory capital levels, TCE, learn the meaning of the ratios, and get a sense of whether the lending got out of control, or if they did a big acquisition of one that had a lot of bad loans.
CBBO, two weeks ago, that one may be a signal that they are getting to ones that are not complete basket cases, so those should wake up and raise capital etc.
FRGB, which they closed this week, heck, that one had NPAs of 17%, so it is no surprise that it was closed.
You are in the danger zone here, IMHO, just from a numbers perspective, I don�t know the details and subtleties that may matter. But from a numbers perspective, they did a big negative surprise in Q3 that saw a big jump in NPAs to 8% and led to the FDIC intervention and agreement here. Basically they looked like they were not managing things right, and the fear is that they will keep spiking in NPAs due to bad lending practices in the past. Now in Q4 their NPAs jumped to 10.5% or so. Now if that is the worst of it, and if they raise capital, they might survive here.
But if they take an attitude, or try to delude themselves that for some reason they will not have to dilute big, maybe that might trigger a rejection of any capital plan, which is another step closer to closure.
In some of my other posts I discuss some capital moves that others have done, ways that can help reduce the number of shares that would otherwise have to be issued. The bottom line, however, is that it probably will have to be a lot of shares, and if they run around pretending otherwise they might get shut down and it would be their own fault.
its really easy to understand, small in trouble banks get seized, big to huge banks get govenment loans and TARP money, and too big too fail banks get the government and all our Sectretaries, get friday afternoons off so they can watch the market watch media concerns speculate which will be seized.