Thanx for the post. Here's more details:
"In the report, Deutsche Bank says "As RESI continues to process its portfolio of sub- and non-performing loans, we expect the portfolio of single family rental properties to grow, generating attractive cash flows. Additionally, given the ownership of the underlying real estate, we expect the value of the portfolio to increase from home price appreciation. We expect the dividend to increase as the portfolio grows, and we are establishing a target of $31 per share, which is based on our year end 2014 book value estimate adjusted for the market value of the portfolio. We are initiating coverage with a Buy rating."
What I can't figure out is that AAMC, it's essentially a holding co. for RESI. It went from $15 to $600 in less than a year. If u look at their website, it consists of about 5 employees in the V.I., and has been loosing money. Bill Erbay is an officer of that co. and RESI.
Fret not. My best stocks are those that have minimal msg boards. (RESI, LMOS).
Never easy to read these announcements. Looks like the limited partner is selling. The important thing is that there is no dilution of the stock sooooo, the price shouldn't go down. Now that doesn't mean it won't because of confusion by the retail stockowners . The proceeds won't go to HCLP sooo, there's no money for acquisition. Anyway that's MHO.
RESI selling more stock. 99% of the time this means that the price goes down (about 5%) since it dilutes the stock. In RESI's case, the price goes up. Happened last time too. They should issue more stock every month.
Why would a savvy investor like Kass recommend sell unless he wanted to buy at a cheaper price???? Naw, can't be.
Good luck on that, Whenever I tried to time a stock, it was a disaster for me. Why sell when the fundamentals are still intact.
Co. is pricing a 2ndary and yet it will not receive any of the proceeds? The Company will not receive any proceeds from the offering." Talk about gettng raped.
Looks like I got a lot of negative votes from my prediction. This is what happens when people fall in love with a stock and don't look at the key statistics.
Good luck to us. I still say its suspicious that NRZ is sinking in the face of the Fed pushing QE to infinity Anyone care to explain???