Delta Financial (DFC)

[Duffau]

We often hear of funds dumping stock because it goes pink. But when it goes CH11 BK and also goes pink, then funds definitely must dump everything they hold at any cost.

I would assume this stock will drop to below a penny tomorrow IF there are any funds still holding shares.

Meanwhile, I think I'll dump all my longs early tomorrow and sell what I can short. Since I trade Ameritrade, I can't sell short many stocks. Then by closing, cover and wait for the open on Wed.

[deeeg2]

no idea but i dont think it is over going down yet.

[Duffau]

It is trading at 3 cent on the pinks. How low will it go?

[deeeg2]

New ticker DFCLQ.PK

[Duffau]

DFC filed Chapter 11 bankruptcy today.

Managment doesn't seem to have the heart to try to salvage anything out of this, though. They should have filed a chapter 7 liquidation instead.

Price per share (pps) is 0.079

Symbol should change but no need in starting a new board.

[Baron von Stocks]

Please, give me a break. The day after I posted that, a filing saying that Gorden was going to buy at $1 instead of $5. Thats why I made that assumption. NFI was more in debt than DFC at this time. The people at DFC were a bunch of sheep and rather go bankrupt than figure out how to save itself.

[Pompano Beach]

Not to sure about that call.

[Baron von Stocks]

lol, I sold that a long time ago. I was able to sell half the shares I had when it shot above $2.10. sold the other half at $1.81. I came out a little bit above even. I used $1.81 as a stop loss. When they announced the Gorden deal to be bought at $1, I sold everything.Gorden was the reason why DFC should stay in business. NFI financing with Wachovia kept them from bankruptcy imo. I can't believe NFI held over DFC. I'm making a lot of money on NFI though. If I don't post on a certain stock for a while, its probably because I sold.

[Duffau]

You guessed wrong on both counts as did many.

NFI looks great and this is now trading at 13 cents. BK filing due out any time now. Mgmt has given up so I don't even see the need for CH11. This is clasic CH7. Dispose of the assets and discharge all the debts. Common shares may trade under a new symbol but they have death written all over them and will quickly go to zero.

I like a bankruptcy play, but I want management to be screaming for a long shot chance to pull this out. I don't see one here.

Check TOUS for what you want to see in a company facing bankruptcy. Trading at 19 cents and could go to $4.

Take your loss here like a man and move on.

[mike306oh]

Good call GG. I was ready to buy some last month, but after reading your Msg, I did some more DD and decided not to. I owe you one.

Mike

Re: u sure they are not going to go BK?

[Baron von Stocks]

The losses DFC took was nothing compared to the $600 million loss of NFI. I strongly believe DFC will recover, but not NFI.

[ickyy]

lots of market demand..i dont think this one will go bk.....might thou...this is just a nss play for me...not longterm

ahmiq now thats a bk play like this with just a massive short....playing both right now.....dfc is a great swing stock...trade a couple times a day....GLTA

[GordonGecko]

u sure they are not going to go BK?

[Baron von Stocks]

$5 is what I've been telling some of my stock buddies =]

[ickyy]

np ....this is the cheapest stock with the biggest % of the float i can find out there....my take on this play...late november it should really take off with covering.....more or less they have to be off the reg sho list by the newyear..n to that they need to cover some of the short...so late nov dec should be good months for dfc

DFC $ 2.02
Delta Financial Corp. 0.06
Shares Short 5,325,100
Days to Cover (Short Ratio) 29.1
Short % of Float 61.56 %
Shares Short - Prior 5,733,800

so if they cover all the shares short...this stock should be worth about 5 bucks right now...GLTA

[Baron von Stocks]

thanks for the reply

[ickyy]

huge short on this..i just play interday swings with this one....but at some point they should start covering without shorting it.....2 bucks could be that point...GLTA

[Baron von Stocks]

Could this be bottom?

[ickyy]

ya in this play yet analogdog? ...huge short play..will be looking for a bottom n jumping in....DFC on the reg sho list

DFC $ 2.06
Delta Financial Corp. 0.00
Shares Short 5,325,100
Days to Cover (Short Ratio) 29.1
Short % of Float 61.56 %
Shares Short - Prior 5,733,800


thats 10 mill worth of ask slapping!!!! ..just huge

[analogdog]

Delta Financial swings to 3rd-qtr loss, cuts 470 jobs
Thu Nov 8, 2007 6:08pm EST

Nov 8 (Reuters) - Subprime lender Delta Financial Corp (DFC.O: Quote, Profile, Research) reported a third-quarter loss, hit by credit market disruptions, and said it cut about 470 jobs.

The company reported quarterly net loss of $39.6 million, or $1.70 a share, compared with a net income of $8.0 million, or 33 cents a share, a year ago.

In connection with the workforce reduction, the company expects to incur a restructuring charge of about $7.5 million, of which about $1.4 million will be paid immediately in severance. (Reporting by Aniruddha Basu in Bangalore; Editing by Deepak Kannan)

[analogdog]

Check the chart on this one.

[analogdog]

Still tanking though.

[analogdog]

May be a time to move. look for bottom here.

[Prince_among_thieves]

No its great news, 5.95 hod, should see 6-8 this week.
No dividend is good because they are improving the balance sheets.

Looks like shorts are getting squeezed.

[Baron von Stocks]

thanks for the correction. I posted from the first glance of this stock.

[workingman]

from what i seen in the below info they are not baying the divn in 3rd qtr in 2007
workingman
27-Aug-2007

Regulation FD Disclosure, Other Events



Item 7.01. Regulation FD Disclosure.
The Registrant and Bank of America, N.A. ("BANA") have agreed to extend the maturity date on the Registrant's warehouse facility with BANA. The facility is currently due to expire on August 31, 2007. The agreement extends the facility for an additional month to Friday, September 28, 2007, with all other terms remaining unchanged, while the parties determine whether to renew the facility beyond that date and the terms of any such renewal. There can be no assurance that the parties will agree to renew this facility beyond this one month extension, whether on terms favorable to the Registrant or at all.

The information in the preceding paragraph shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference in any filings under the Securities Act of 1933.





Item 8.01. Other Events.
In light of current market conditions, the Registrant's Board of Directors has determined not to declare a dividend on the Registrant's common stock during the third quarter of 2007. The Registrant's Board of Directors will continue to monitor market conditions and the Registrant's financial performance to determine if and when it may be appropriate to declare and pay a dividend in the future.

[Baron von Stocks]

Wow, good call. Whats even better is I noticed they are still paying a divy.

[Prince_among_thieves]

Very strong chart indicators crossing no resistance to 8

[Prince_among_thieves]

Thanks for the heads up, chart definetly looks prime for a run back over 10 short term.

[pushit2limit]

Loading the boat under $5, this is way to cheap imo...excellent entry here....huge potential for a move up...we are bottomed out

[workingman]

over 2 yrs and no new post where is everyone

[osignal2001]

test

[savin4college]

DFC stock is performing well. Recent research and great operating performance bode well for long term investors, IMO.

SFC

[savin4college]

DFC Reports Q2 results tomorrow, I assume before the market opens.

S4C

[savin4college]

April 30th Q1 Report; stock currently $7.17

"We believe the outlook for the Company this year is quite positive," Mr. Miller stated, "and we now expect full year earnings per diluted share to be in the $1.45 to $1.50 range." Prior earnings guidance from the Company was $1.05 per diluted share."