I have never come across a larger group of people that don't understand the stock in which they invest.
Does anyone here realize that CIM management pulled off a fantastic score for the shareholders?
Does anyone here realize that the raise was accretive? And it was done .20 higher than the last one! A large group of idiots think that they got screwed because the offering was done at a discount to market price. But market price is not relevant!!! Only book value is relevant. Just because CIM was trading at $4.10 doesn't mean that the company ever received $4.10 for those shares. They only received the offering price when those shares were issued! Some investor pocketed the difference.
Why didn't CIM talk about the raise at the conference call? Because they want to raise the highest price that they can! They know there are a large group of idiots that will sell on the news of the offering. They want to keep it to a minimum.
Why did trading get halted? I don't KNOW for certain, but they did you longs that were dumping at $3.82 a big favor. Few people realized that they could raise $3.85 per share.
Can you believe that companies like CIM and AGNC repeatedly do offerings above book, the idiots sell their shares, and then the price returns back to where it was before the raise? This happens over and over and over. You would think that at some point the idiots would catch on. But they don't. Good for me!
So I bought today. Thanks! Maybe it will go lower, maybe it won't. Depends on the rest of the idiots! But, I can tell you this will be over $4.00 very soon!
generated by the seeming underhanded way in which they cim issued new shares...i.e. no disclosure at the very recent conf. call...which is what most of the posts were about...very few doubted the share price would rebound...yours, mary
CIM's goal is to maximize the offering price. That is best for the shareholders and best for the company. Announcing it at the conference call wouldn't accomplish that as well as this did.
Be happy about it. They got .20 more than last time, and that is a victory.
Kind of makes you wonder, doesn't it, just how uninformed investors today can be! You see them all the time on the REIT boards. People chasing dividends and looking for a quick buck investing in things they don't understand. Some of them think that accretive is someone who lives on the island of Crete....
I dont know here. It seems that you are all calling me the idiot here.
I sold my shares at 4.33 when it went to the all time high of 4.36. I missed the window by .3 that day. I told everyone to seel that it would go back below 4 within a week and it did. It went to 3.96. At that price anyone could have rebought that day because it went back up to 4.15. When it did that I said sell again because it would likely go to 3.80 as a bottom soon but I felt that 3.90 was the new entry point based on the past. If someone would have listened to me they could have bought and sold 3 times within a two week period and made money based on the simple way CIM does. Not to mention that they still got a dividend in all of that trading as well.
If that makes me an idiot then what are all of you guys? Explain it to me like a 5th grader then how what I did and recomended was an idiot thing to do?
A week ago everyone was saying no way we go below 4.00 but a few people. The people that said we were then were all idiots last week. Now that it happened you are all on here posting up that it may go back over 4 soon. (Thats pretty much a no brainer here) It has to go back up so that all the guys buying the block shares yesterday will be able to sell their stock for profit soon). yesterday's volume was bought by banks and corporations investing in RITT because they all know the stock will go back up and they will short the stock to the suckers. This was a win for a lot of people granted. Its a good price point for anyone to be buying at 3.85.
All some of us idiots are saying is we should have been able to have bought it for less yesterday but we were not given the chance to see if it would move more south. In all of the last offerings they didnt have to stop trading. The one thing you said that is right is people are catching on to how this stock works and they are begining to use it to their advantage insteed of following along like you sheep.
Just keep in mind a few things that are different this time. The offering was .20 higher than last time. And, CIM was just trading at 4.30. Post offering, the stock is now worth slightly more than it was when it traded at 4.30. Lastly, despite the ruckus on this board, investors are cluing into how these REITs work. The post offering dips will be less than they have been before.
That being said, picking bottoms is hard. If you are buying, buy some at 3.85, and save some for later. Maybe it keeps going down, and maybe it doesn't. Either way, it will be above 4 very soon.
Hey Bob -
I was wondering IF you were going to wait for a $3.80 buy back in opportunity or not???
Now all we need to know IF our "Cowgirl" (aka hrdwkgdog) will see her $3.75 buy back in target materialize????
I for one can't imagine who would be selling @ $3.75, but I did call Miss Cleo and she said anything is possible :-)
PS - I agree with sider1000.... It might be frustrating, but perhaps some of our posters have to learn the hard way in order to understand exactly how the CIM biz model works.
I bought a bunch at $3.85. If it goes lower, I will buy more. Last AGNC offering I waited too long, and it never dipped as low as I thought it would. It seems that some of the idiots are catching on:)
Bob glad you spent so much time explaining this The problem isn't idiots it will all come out in the end And when you call people idiots your'e credibility goes away I do and believe the philosophy you have I just don't let the I... know my business Money to be made
I couldn't think of a more appropriate word to use besides idiots. CIM management handed everyone a gift on a silver platter, and the idiots are running around calling them crooks! I mean, if you want to learn about the offerings, go back to the previous several, and it is all there!
If you don't mind, I respectfully ask you leave the idiots alone. I depend on these uneducated fools to keep me ahead. If people choose to personally invest in equities they don't understand, make stupid moves, and waste their money, then who are we to overlook the benefits?
I thank every one of them wholeheartedly, especially the ones who filled my 3.82 order today.
BUY 5000 CIM @ $3.82 Completed
BUY 3000 CIM @ $3.82 Completed
BUY 3000 CIM @ $3.82 Completed
BUY 3000 CIM @ $3.82 Completed
BUY 1000 CIM @ $3.82 Completed
Yea I'm happy to copy and paste my buy today. I will buy more and add to it once it goes to that magic number of 3.75. I was hoping for my 3.80 which I called last week and got bashed by some of the same people calling me idiot and moron today but such is life. I am still making money and happy to own the stock, but that will not stop me from calling a spade a spade when i see it.