GHIV is getting rocked lately. Crazy how a legit mortgage lender & servicer (UWM) gets no love in this low interest rate environment.
Just read a WSB thread with full back story on this GME choose your own adventure saga and I must say I was entertained start to finish.
Ya, the one underperforming SPAC for me. I doubled downed on it by buying some calls too...we shall see tomm.
Lower rates promotes more volume, but doesnt that mean lower margin on fees or are fees a flat rate? I'm not familiar with the sector and company, just asking. I know low interest rates are bad for banks.
Origination fees tend to be fairly fixed so interest rates shouldn't affect margins on that front. An environment where people are taking out loans, whether for purchase or refinancing generates them more revenue and profit. It would hurt them the most if the Fed said they were raising rates and mortgages rates started going up for example, or if we went into a depression and less people have money to buy homes. Based on my research, UWM has very good corporate culture (happy employees is a big plus) and according to my buddy who is a mortgage broker, he loves working with UWM as a lender because they don't double dip into the B2C business and compete against him on a different front and also they're super easy to work with.
Why not? Its not like they are holding gme for the dividends, all you need is confidence haha. I'm staying out, maybe look into puts if it goes higher. Shorting a cult stock is too risky, easier ways to make $ Gme staying in headlines helps wsb as well, the more ppl long or short, the smaller the trading float gets, the higher short interest gets, and I see wsb encouraging members to convert expiring calls into shares to hold for long term. edit: actually if WSB just hold shares and price doesn't move, they can earn a lot of interest from lending shares to the shorts. broker's like IBKR give 50% of the interest to the user.
yes, goin into the 2-2 ERS sold a bullish PUT spread 1910/1900, collecting $5.5 in advance, defining my max risk of $4.5
Mortgages are not sexy. Revenues are not sexy. Being #2 mortgage lender is not sexy. I am hoping it goes up to 15 so I can make a decent profit. Investors want unproven, phase 1, conceptual ****. They will also reward you for profits you may or may not have 5 years from now! Give us QS, NNDM, GME!
I think you can short it long, for sure, but it could get scary. There is STILL not enough available shares out there. Squeeze is still on.
