no...if you want to play any sort of wamu buyout you would buy the preferred stock. either wm-k or wm-r. wm-r is a convertible issue that converts to 47.05 shares of wm. in a buyout wm common stock likely would not trade too much higher but the preferreds would like jump to 15+. in other news i'm mad because i didn't get out of some of my CZZ when it popped back up to 10 the other day. it certainly looks like dead money and i wanted to take half off the table. oh well hopefully i get another chance so i don't have to sell at this 7.5 area.
How do you (and robbie) think the bailout will effect FRE and FNM stock prices? Will this uptrend (maybe not at such a rapid rate) continue for the short term?
wamu is jacked. it got downgraded to CCC. If it gets an investment by a PE firm, then its common will be valued at 0.30 cents. I dont see how this benefits anyone buying common today. When it went to 5, everyone should have bought puts on it. It's just a big mortgage brick and mortar shop with a bunch of option arm mortgages and alt - a mortgages.
NOt the right guy to ask. I bet everything will drop tomorrow though since somebody tossed a monkeywrench into the bailout.
Futures are negative 160 right now. Market is going to be down tomorrow. 1) WAMU went BK 2) Bailout uncertain 3) Oil UP 4) RIMM jacked up earnings --> tech down
FNM and FRE are not worth anything. ONly the bond holders will be saved. The only reason it fluctuated from 20 cents to $2.60 was because of the bailout euphoria. It was simply manipulated by daytraders.
I'm kicking myself for not holding FRE longer after I had an average of 0.82 and sold at 1.18-1.30. Oh well.
To Famicom: LDK is down today for the following reasons: 1) negative sentiment on market regarding sale of Wachovia bank 2) European central banks had to inject $$ into Europ market when previously believed Euro markets were sound 3) Solar tax credit bill is being debated by the house/senate. This bill was supposed to be passed before end of 2008. It may not be passed in this time frame now. This bill will event some bottom lines on all the solar companies 4) Solar sector is down 5) Dow overall is down 220 now. It was down 350 before. 6) uncertainty that the $700B congressional bill may not pass. I can't answer your question when is a good time to buy a stock. Any stock now can see more downside given the overall market instability. The question is how much more downside can you stomach? I dont feel comfortable answering your question: is it a good time to buy? You should always do your own due diligence before investing in a stock rather than relying on someone else to make / form an opinion for you.
Anyone knows what's going to happen with wachovia? Most of their assets and debt are sold to citi but it wasn't seized but the feds, as in the case with wamu. Are they still a viable business? more importantly, what will happen to my few shares of wb?
Yes - If you like, I can provide you a list of stocks that I would like you to BUY BUY BUY, preferably in massive quantities.
