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Re: bluediamonds post# 56063

Friday, 08/25/2006 11:51:20 PM

Friday, August 25, 2006 11:51:20 PM

Post# of 169274
CSHD FREE CASH FLOW!!!

FWIW:

Today, 04:43 PM #4139
TonySoprano
HSM Newbie


Join Date: Aug 2006
Posts: 1
This is my first post here but have posted on IHub as semiguy99. Lost in all the confusion about the bonds and assets are two very important points that make this a compelling speculative investment:

1. The Bonds under management, which seem to equal about $3B right now, generate an enormous amount of Free Cash Flow for CSHD, probably in the range of $150M per year (based on the split described in the 8K filed earlier this week). That's about $1.50 per share annually.

2. The Bonds can be hypothecated and the proceeds loaned out, with CSHD probably earning 1-2 points on the spread-that's worth another $25-50M annually.

Put these two together and that's $150-200M in cash flowing into the company annually for investment in one way or another.

There will be some that continue to believe that the Bonds will not show up as Assets on the Audited financials. Whether you believe that or not, a simple reading of the 8K shows the above cash flow to be a reality. This makes a share price much higher than $1, probably in the $5-20 range a virtual certainty.


http://www.hotstockmarket.com/forums/showthread.php?t=41487&page=414

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