BUY TGIC….Will get you more than a little profits
Just read the news from the wires and put in a buy order at 16.4 a few minutes back. Looks like it got filled.
Put that order in when I saw this paragraph on the news :
“Our rationale for this draw-down was echoed by Rodney Clark, a credit analyst at Standard & Poor’s in New York. Regarding Triad Guaranty’s draw down, he was quoted in Bloomberg News as stating, ‘There’s a presumption in the market that these draws on credit are an act of desperation. I think they’re actually proof that they do have access and liquidity. We don’t see anything that might be a major liquidity crunch [for Triad].'”
Sounds very positive after the company reiterates it too…right?
Buy it any where below that $17 mark or nothing wrong in paying may be a quick quarter more .
This is a trade and I’m buying on any small dip here again.
The news out of the wires was from the company is here:
Mortgage insurance company Triad Guaranty Inc (TGIC.O) said its borrowing of $80 million under a revolving line of credit was not in response to any liquidity issues.
Responding to the decline in its stock price since Monday, when the borrowing was announced, Triad said it had $26.7 million of cash on hand at June 30 and that the proceeds of the loan were being invested in short-term instruments.
The stock price had declined 32.5 percent in the subsequent two days of trading following the announcement, the company said in a statement.
33% in two days…now look for atleast a 15-20% bounce from these levels very fast. Moreover, is that 32.5% equal to this 20%?? No right? So, may be we can get much more than that.
GET LONG TRIAD. ALL ABOARD.
My first reco in financial sector after the turmoil began.