Replies to post #519737 on Mr Cooper Group Inc (COOP)

[UpTickMeA$AP]

Very positive! Nice find! This deal, if it closes, has such good synergy, and as it currently looks, wonderful timing. If closed, hats off to this WMIH BOD. I think the years of searching will be worth the wait with this deal. Looking forward to watching the moves post M&A.

[goodietime]

"¦ Estimates: We are raising our 2018 and 2019 core EPS estimates to $2.40 (from $2.35) and $2.75 (from $2.45) following 4Q earnings."

Don't MOST companies trade at a MULTIPLE of EPS?

Is the merged Company going to trade at X times $2.40??????

[intuitive3]

Outstanding estimation/review going forward.

[jerrylev]

According to this CS report, NSM will expand by doing M&A of other mortgage companies. I thought that they would want to grow organically but perhaps they want to expand quickly to burn off the NOL and to corner the mortgage business because as the report said, there is a consolidation in the industry that is happening.

[Fletch-42]

RE: Estimates: We are raising our 2018 and 2019 core EPS estimates to $2.40 (from $2.35) and $2.75 (from $2.45) following 4Q earnings. Corporate expense savings (including corporate debt expense) and moderately improving Xome earnings are the biggest source of upside compared to our prior estimates. Our estimates remain for standalone NSM; pro forma for the transaction with WMIH core pre-tax net income would be $7-8 million higher (lower cash taxes offset by higher interest expense). Also the share count would be 12% lower resulting in 2019 cash EPS in the $3+ range.
If NSM’s PE Ratio (TTM) was 9.70 based on EPS (TTM) $1.894 would it be prudent to say the PE Ratio will carry over to WMIH since NSM is it’s only business or maybe higher with tax savings and debt restructure.
The article mentions an EPS of $3.00 and if a PE Ratio of 10 is used, do the math.