It is about time to buy.
I am a trader, not an investor, so I don't know much about fundamentals of SNV. Balance sheet looks reasonable to me, but I am not an expert. However,
1. CEO stated several times that SNV has enough capital. I now CEO do not trash its its own company, but I don't think CEO dare to make such a blant lie. In other word, I don't think SNV will go BK in 3 months, otherwise teh CEO will go to jail.
2. Any penny stock, as long as they do not go BK, they will come back to life, they will make a pop again. I have traded many of them, no exceptions.
3, Insider trading is very active. Insider buying do not happen often, but when it happens, it is a very strong indicator. You have to believe those COO, CFO, etc know the financial health of SNV than any one, including those so called analysts. Yancy James just made a $163K buy of SNV, that's half of his annual salary (by my estimate, other higher up executives only make $300K to $400K a year). There are lot of other insider buys recently, even at price of $4.
4. Dilution price was over $3, if I understand correctly.
5. Now, let's calculate the odds. Assuming SNV will no go BK any time soon, the low is probably will be above $1. If you buy here, you may lose $0.5, but SNV may take off to $4 as well, that's $2.5 gain. Oddss is in huge favor to longs now.
6. Guess teh absolute bottom is always hard, my bet is it may go down to $1.3, but my turn around tomorrow.. You never know. I only bought 30K shares today. If it does go down, I will buy another 30K shares at 41.30. If it goes up, I will not sell until I see $2.5.
I have done some research, but I can't find any legitimate reason why SNV has been sold off so hard lately, much harder than any other banks. My guess, only my guess, is some institutes are dumping by tax reason.
SNV has 700m floats, in the last 4 days, volume has been greater than 40m daily, plus SNV has been sold hard in the last 30 days. I guess the bottom is near, if it is not now. You just got to remember one thing, teer is no unlimited shares to buy, and there is no unlimited shares to sell either. I serious doubt who is stupid enough to short SNV at $1.5. It is all institute dumping for tax reason.
Please pull out the char of RF, can anyone tell me why RF is much better than SNV? The cash/debt ratio, SNV is much better than RF.
SNV will see $4 for sure in couple of months. May see $10 by the end of 2010. SNV can be an easy 5X bagger.
Remember SNV will not go BK
I own both RF and SNV. RF is a better geographic
position with a better deposit base and does not
have the contruction loan exposure that SNV has.
Watch out for that huge jump in restructered loans
of SNV. A good percentage of those will go bad...but
that is more than reflected in the current price.
for whatever reason some analysts have turned negative and caused panic on this stock. The positive analysts aren't believed and basically ignored.
Reminds me of 2008 when bank stocks got hammered. Last year it ended up being legitimate, but this seems like a headfake. Going to screw over the shorts trying to use last years playbook.
Check out Security Bank before you buy stock in this co. I'm not saying things will happen the same way it's just possible and you could lose your money. Buying stock in this company now is high risk.
Told you so.
I pretty much bought at the rock bottom yesterday. My goal next is to sell it at the absolutely peak (short term, not 3 year term).
It is not the time to take the profit yet. Buying hasn't started yet. All we see today's movement is fund stopped dumping today. Likely they have done the job.
Money will flow into SNV for the next few days to push it higher. $1.7 was a resistance but it was broken without much effort. That tells you how weak the bears are. They have no shares to sell anymore (you have to believe me there is no shorts on this stock. Anyone with half brain would not short SNV at this level. The gain is very limited but the risk is very high to short SNV now).
I agree, the volume tells the story, a bottom formed in the last few days, and you hit it. I bought a little above the very bottom but I'm good and looking to add. What chance do you see of testing this bottom before year-end?