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If you are talking to delta of PPS of FNMA and FMCC
Yes ---- seems to be closing in
Note here ---- I am sure this has been discussed here --- but is there an earnings per share (if not conservatorship) or ? REASON one should trade higher in PPS than the other ?
Liquidity - brand - is a legit reason for some spread?
noted by one who wonders why FNMAS trades so much higher than other Fannie JPS (other than maybe one is the "standard for liquidity focused traders"?
Do banks and insurance companies (there is no REAL comparable) ten to trade at 14X earnings
Back of my older mind - it is 8-10-12 at peak?
I rounded and get to the same post WT exercise of about $3 a share
I thought FNMA earnings last year were 17B
With higher and lower years
So with warrants that is 5B shares total - 4B new
That is 3 and something in earnings per share
That should bring a price 20-30 at 5B shares
Please show where DJT pounded the table
Hell - repeating it here - just might help PPS
recall - the official end result of some early tendencies of DJT was a study commission - which gave a broad range of options from free them as is - to kill them - and focused on ---- high reserves of capital and smaller companies and more competition to include FREED F and F . I do not recall anything after than - here or in public media
Showing us where DJT pounded the table publicly -- here on Investors - just might spread
I have been corrected and admitted it big time - here on investors - re DJT saying he wanted to change the F and F situation (and then did track down the end result of that "instruction to staff" which was a committee report - suggesting high reserves and thinning of F and F before any release - to increase competition. The articles and links are ALL in Investors in this thread)
So - I might be wrong again. What the court - apparently - said was We needed a public declaration of the intent of DJT to fire ABS and how that was then thwarted. No one said - not the court for sure - that DJT needed to fire the first dude
So was there some key public sentence ----- like - I would love to fire that asshole but .....
As I read the court summary description - they (the court) said that is what they wanted to see (not a post face private letter to one Senator)
We can argue %
but -- inflation is down - as inflation is the rate of increase ----
what you are correct in saying =- other than eggs and maybe lumber - is that prices have not come down
inflation --- the rate of price increases over a year -- is way down. But prices --- for reasons all can point fingers at - do not come back down (not this time not most times). e.g. prices at supermarkets on many items are CRAZY and CRAZIER. But at least so far - instead of dropping prices (like a normal market) our supermarkets run very frequent outrageous sales. So what was 2.99 for example and is now 5.99 - often goes on sale 2 for price of one - or say 3 for 10. I would rather see the price come down but that is not how the supermarket thinks. NOW if one of the local chains starts to reduce prices --- we may see some actual price decreases . (Again - lets not conflate inflation with prices themselves)
As noted any and all money - say the amount of NWS 10% - went to Treasury
Glad to see there was no assumption that some money went - without congressional instruction - any place but Treasury
Clearly - all things considered - any Sec of Treasury likes added Misc. Income.
At same time to point out the ACA is misleading as it was set to be self funded with lots of new taxes and various other changes
A total of 21 tax policies were linked to the ACA. Some are tax hikes, some are tax breaks, while others are just new reporting requirements. Below is a list of the 21 tax policies (with notes as to which have been repealed):
I did not read the entirety of the link but assume it is accurate given its source. I do know the penalty on individuals for not buying was killed by the courts and then congress killed a tax on Durable Medical Equipment Makers (an area of serious corruption - illegal billing - and all types of mischief) --- after massive lobbying by that sector . One half Trillion was originally budgeted over time
https://www.investopedia.com/articles/personal-finance/020714/new-taxes-under-affordable-care-act.asp#:~:text=The%20tax%20changes%20in%20the%20ACA%20were%20primarily,basis%20or%20%24250%2C000%20for%20an%20annual%20family%20income.
which requires the
president to have made an attempt to remove the Director during the presidency.
indeed - not tried to our knowledge
consider -- the verdict/court win and not the few pennies paid is the REAL VICTORY - and that does apply to FNMA
?
it was the last day of the quarter ?
profit taking would be normal but - but - not with so much blood
why?
ACA is not funded by F and F
nothing ---- again - nothing is being funded by F and F now --- as F and F keep all cash (real) profit and write paper IOUs to Treasury
Seriously - believe what one wants about the past --- special projects for Obama and Trump - whatever
since the day when no more cash left F and F and their capital is rising ----- funding anything can not be a reason we are still being stolen
it just is not
it is not immigrants or ACA ---- but ???
15 years
? --- not D not R - not right !!!!
inflation is way way down over the last 12 months - indeed that article noted the aberration
but ---- I do not understand why construction - building from new or re-building is up such INSANE amounts
I could understand price increases and runs on toilet paper (now over) and then insane prices for lumber (now over) then insane prices for natural gas (now over) --- but what the hell is going on with building costs that they remain so insanely high?
note - this is not DJT or BIDEN but market forces ---- so why have market forces not allowed the competition needed to drop the costs?
serious non political question
If - banks exit home finance
F and F become lenders?
?
He can stay with China
Congress seems pretty set on banning Tik Tok under current ownership
DJT did a 180 after talking with Jeff Vass a Byte Dance major holder (i.e. getting donation pledge?) and now - all of a sudden - has no problem with Chinese owning Tik Tok
so?
if - big if
we can stay up 10% or more in one day
One would expect various financial media and "financial companies" to look at NKLA and this ?10% day and 57% 5 day run and tell us what is happening or GUESS
can we hit the one dollar today and then hold (if WHATEVER we do not know is right - as it pushes the stock PPS up and up)?
?
I knew things looked good price wise
Would an up day be 8 in a row ?
Opening strong I believe
Breyer
With that quote - which I so so remember -
Still voted the other way
CRAZY
but U do call 4 a write-down of SP.
if the LP/SP is written down to zero --- say for 300B cash paid so far
common do very well - very well
at current PPS --- with JPS around 4 and not 2 anymore - and "capped" with good luck at PAR or $25
then IF IF IF LP/SP is written down - PPS for common per many others is likely 15-30
6-7X
8-15X
both - both - dependent on the same write down -- and an assumption by ME that Warrants are exercised and total shares are capped at 5B
Thank you
Who put this out ?
Perception likely is changing
Now NKLA must make trucks and find a way to reduce costs more and more - and yes - for now with huge subsidies - raise truck prices
note
this is the JPS with the 5 year cycle - oops
but
1. No dividends have been DECLARED so no back dividends
2. $25 is the price FNMA can call at -
3. Nest post is the link to a prospectus if someone wants to drill baby drill
QUANTUMONLINE.COM SECURITY DESCRIPTION: Fannie Mae (Federal National Mortgage Assoc.), 8.25% Fixed to Floating Rate Non-Cumulative Preferred Stock, Series S, stated value $25 per share, redeemable at the issuer's option on 12/31/2010 and each fifth anniversary thereafter at $25 per share plus declared and unpaid dividends, and with no stated maturity. Until 12/31/2010 non-cumulative distributions of 8.25% ($2.0625) per annum paid quarterly on 3/31, 6/30, 9/30 & 12/31 to holders of record on the date fixed by the board, not more than 45 days or less than 10 days prior to the payment date (NOTE: the ex-dividend date is one business day prior to the record date). After 12/31/2010 the dividend rate will be the greater of 7.75% or the 3-month LIBOR plus 4.23% per annum. Dividends paid by this preferred security are eligible for the preferential income tax rate of 15% to a maximum of 20% depending on the holder's tax bracket (and under IRS specified holding restrictions) and are also eligible for the dividends received deduction for corporate holders (see page 30 of the prospectus for further information). In regards to payment of dividends and upon liquidation, the preferred shares rank equally with other preferreds and senior to the common shares of the company. See the IPO prospectus for further information on the preferred stock by clicking on the ‘Link to IPO Prospectus’ provided below.
That is flat out wrong and misleading
People here should not buy or sell on what is posted
But F and F or FHFA can not CALL the JPS at $1 or any PPS other than that in the Prospectus
Do not pay for Real Time
Are we at $2
I expect that today - even if not at COD
momentum is strong - AFAICT
no
that is flat out wrong
call would be at Prospectus set PAR-FACE
now - in normal cases - nothing stops a company from buying shares back (once callable) in the open market - which would start at current low low price
will add
often a company - issuer - has a right to an EARLY call - and then it calls the paper back at say par plus 2% for taking it away
F and F JPS are old and all are callable and NONE are trading based on their coupon but based on ---- conservatorship
Exactly
Most callable paper (Bonds or Preferred Stock or ...) will have a NON callable period -- say 5 years from date of issue (very very common)
Then - buyer beware IF the interest rate on the bond is high and interest rates are headed lower
The Bond will carry a premium - a price higher than the call price or PAR-FACE price - due to the FASTER cash inflow - but it can be called AWAY -- so there is some risk - for the uninformed (which should be near zero people)
The market knows the bond is callable --- the price (at any moment) can not go too high (too much higher than call price) --- as EVERYONE knows its callable at a specified date (say end of calendar quarters each year of a set date each year like September 1)
Original Yield or coupon rate - stated interest rate - divided by PAR or issue price - becomes meaningless after day one
Current Yield ---- Interest paid - last 12 months or expected for 12 months - divided by current price (low coupon rate will price below par so the buyer gets interest income plus some gain. Super high coupon rate - the bond is priced above PAR so buyer gets the loss on a call but huge interest until then)
YIELD to Maturity -- as its name suggests -- the interest rate plus or minus any gain or loss on maturity date (PAR)
YTC - Yield to Call - this is available to all investors and is looked at by any HONEST broker.. If the coupon interest rate is high and it is 99% likely that the paper will be called - THIS IS THE PRICE TO PAY (where price is computed by the market to be about the same as a non call bond or JPS === but with high coupon - buyer will get a lot of interest income and lose money on the price to par drop when called
IMO - there is near zero risk for the informed (just opportunity if the paper stays out there offering high interest and not being called when expected)
JPS - for F and F (other than one issue that is on some sort of 5 year cycle) are all callable
The terms of the call provision are per PROSPECTUS
Unless F and F are different from every JPS out there - a call is the right of the company to buy back the shares at face value - of $25 or $50
Nothing about a call relates to cancel - nothing
(Can GOV cancel something --- who the F knows --- but it is not a call)
Whatever else one wants to think
No cash moves out of F and F to Treasury
WSJ/MarketWatch story with CEO suggests Q1 production was about = to last quarter of prior year - if I read it right. They still are flying in parts to build with - due to supply shortages and slowdowns
or hit .80
could be interesting day
Much better
IMO - or in my HOPE - we have had enough up days and volume to suggest that either something is going right --- or at least some "money of size" thinks they know of something going right
lets see where we close today
Anyone ?
What is the interest rate - yield - on a "new" F or F MBS paper as issued (for 30 years to live 7)?
When I was a broker - we could expect 1% > equivalent Treasury (not 30 but say 10 year)
?
unless there is an EX date set
(e.g. dividends are paid per EX date and people for some large divvy companies buy and sell around the EX date ---- (even if - in theory - there is an ARB there) . Can be interesting inside an IRA where the owners is indifferent between interest - dividends - capital gain ---- AS EVERYTHING is eventually taxed the same (ordinary income !!! which should be changed to capital gain !! reflecting long term investing and not the CD IRAS of the 1970s)