Stockchase Opinions

Alan Kral , CFA, CICCountrywide FinancialCFCDON'T BUYSep 10, 2007

Stock had a ride with the boom in the US housing sector and has started coming down with it. Feels it will survive. This is a company that is very heavy in the service business. Its mortgage commitments will be running off rather rapidly and they should
$17.21

Stock price when the opinion was issued

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BUY
(Market Call Minute) –Model price of $18.94, a positive differential of 80%.
COMMENT
There will be more downside, especially if the subprime and regular mortgage market continues to weaken. If you are Short continue to hold it.
PARTIAL BUY
Looks very healthy from a technical perspective. Has been running at a 45-degree angle since August. If it support level a couple of times but bounced off again. Take a partial position to get your feet wet.
DON'T BUY
Because rates have started to go up, there will be less volume in the business of remortgaging and their earnings will go down.
BUY
Loves US financials and are 30% weighted in them. Model price is $46.
TOP PICK
Still a very cheap stock, probably one of the cheapest on the S&P. Multiples and earning growth are about the same.
TOP PICK
Still feels we are in a demographic play in a watershed period.