Archie's Corner

[bobkubecka]

ENFN may be a good play in this area? NOT A RECO TO BUY! they recently did a R/S 10-1. but have managed to hold their price. http://biz.yahoo.com/p/e/enfn.ob.html This from RB post # 743 on ENFN board FWIW Entrust Financial Services, Inc. (“ENFN”) is a publicly-traded holding company with a core focus on wholesale mortgage banking, through its wholly-owned subsidiary, Entrust Mortgage, Inc., (Entrust). Entrust specializes in the non-conforming loan market. The mortgage loan market is estimated to be about $1.5 trillion a year and the non-conforming segment of this market is represented to be more than 50% of that total. Entrust’s financial products include first and second mortgages, home equity loans, as well as personal unsecured lines of credit.

What differentiates ENFN from other emerging growth companies is that its core business, Entrust Mortgage, has completed three years of successful growth operations. Entrust has established great relationships with its providers of mortgage warehouse lines of credit, and has developed seasoned relationships with more than 4,000 mortgage loan brokers. Additionally, the company is licensed to do business as a mortgage banker in 40 states giving it geographic diversity.ENFN CAPITALIZATION AND EARNINGS

ENFN now has recently completed a 1 for 10 reverse split of its common stock. This rollback of the stock has reduced the issued and outstanding shares to approximately 2,300,000 shares, with about 850,000 of these shares in the "Public Float." ENFN will only have about 3,000,000 shares outstanding on a fully diluted. Based on this rollback of the stock, ENFN should earn about $0.35 per share for the year ending December 31, 2001. Proforma projections for 2002 show ENFN should earn about $1.00 per share. Based on these projections, and assuming a reasonable P/E ratio in the 15 to 20 times earnings range, then the market price of ENFN's stock could be in the $15.00 to $20.00 per share by the end of 2002! (Most financial service companies stocks actually trade at much higher P/E multiples). With the new construction loan products about to be initiated, the projected earnings could rise to $1.60 or more per share.