Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Lol if the math were easy wouldn't you just write it out here so we can all see?
Please, for our sake, show this "determination." I think it's broadly accepted, at this point, that Ackman's is realistic.
$10 Wouldn't happen. It will either be 1 or 20+. Based on historic p/e multiples, Fannie and Freddie's current earnings, and the dilution ratio, it will be at least $20. Moreover, if they increase their fees, that number could be higher.
That's what I thought. These $200+ valuations don't account for dilution, which is why they're just wrong. Based on what I've seen, $20-60 is the most likely range.
Can anyone speculate as to whether dilution will occur? Obviously, the federal gov't holds the warrants, but will those be carried through despite the two GSEs paying back significantly more than they borrowed?
Source?
Wonderful news! Looking forward to see what my great state of Texas does!
I was commenting on someone's post that someone had thrown us under the bus. Just curious to know who he was referring to.
Who threw us under the bus?
Totally agree with this. The people surrounding Trump, from Cohn to Icahn to Paulson and so many others, all have positive ties with the GSEs and the effort to recapitalize them.
That is an interesting thought. However, I think that Buffett has little interest in a fight with the government. I don't see him investing until we get a clear-cut answer on how Fannie and Freddie will be reformed.
Very good point. I'd be interested to know just how many people are privy to that knowledge and are buying based upon it...could be similar to the FoxBusiness event.
Done. Not sure our Tweets will make a difference, though. Quite frankly, they would be ridiculous not to cover it given that:
1) Cohn has said GSE reform is a top priority
2) Mnuchin's stance is still unclear; FoxBusiness interview contrasts with confirmation hearing comments
3) The GSEs will disappear in the next few years with no adequate replacement if nothing is done
4) Trump has said nothing on the issue
It would be insane if they didn't bring up Fannie and Freddie after this crazy start to the week. We still don't have a clear read on Mnuchin. Hopefully this interview will clear the air...
Quote from Tim Howard:
I suspect the current administration does not take too much joy from today’s opinion, because it complicates the task it has ahead. Politically, it’s hard to come out and say you think you’ll lose a case in which you’ve just received what appears to be a favorable decision. And the best path forward never was “recap and release;” it was “reform, recap and release.” In my opinion it’s still the best, but today’s decision makes it harder to navigate.
Interesting. Hoping that this is just MM action and not reflective of any negative changes to the fundamentals behind this investment.
Thank you.
Then why am I seeing 3.32? What transactions does that reflect?
Please do explain. My brokerage account doesn't show this, but Nasdaq and Google online stock watching programs do.
Significant recovery in after hours, correct? I'm seeing 3.32
It isn't. It's just an estimate by analysts that I found online.
I heard something like 45 cents a share??
But in the context of the document, who are the "board of directors"?
Dividends will be payable on March 31 according to 2012 documents.
Fantastic news! I can definitely see this as an opportunity for him to end the NWS shortly after confirmation. It seems that Mnuchin views the NWS as improper, as it robs Fannie of crucial capital.
So when will the NWS be announced? I.e., when will be know if it is to continue? It is my understanding that the NWS is announced at each quarter, as this amount is transferred to the treasury. Thanks for the information!
Correct me if I'm wrong: we will know if the NWS is to continue when earnings are announced on Friday?
Also, remember that Fannie Mae works with big banks, while Freddie works with thrift banks. Thrift banks have been steadily declining, and big banks have been gaining market share
Is there any reason to invest in FNMA over FMCC, or vice-versa? I'm long FNMA, but am just curious why people are "spreading" their investment between the two.
I don't think so. Most funds can't by over the counter stocks. The eventual hope, if I understand correctly, is for these to be moved back to the NYSE, then the big money will really pile in.
That's yuge!
Do you have a source for that?
To me, it seems like preferred shareholders are more level-headed than the common shareholders. Preferred movements are less extreme because of a greater proportion of longs and thus fewer day traders.
Does anyone know where I can learn more about this so-called MM manipulation? I recognize that it exists, but I would think it very limited with FNMA due to low institutional ownership.
I wouldn't hold my breath. Those were crucial positions with non-controversial appointees. Mnuchin is going to see more pushback from Democrats. That said, I think he will be confirmed, given that he is, by most standards, the most liberal of Trump's cabinet picks. I think that will make him more palatable to Trump's opponents.
I'm still out, looking to get back in soon though. We'll see if there's any resistance at 20.00
I'd disagree. I think that Go Pro is a temporal business with poor management. IMO, the bottom could easily be lower than 8.
To you, every run is fake! Trump haters will be left in the dust by FNMA!!!
It would be great if people who post target prices could explain how they determine them.
Yeah. With all the good news, assuming things keep developing favorably, it can only go up from here.