nope. im still in. i will hold to either $10 or 0.Quote from Mvic:
Guess I am the only sucker still left in FMD
DOW JONES NEWSWIRES
First Marblehead Corp. (FMD) announced plans to cut its annual operating costs by $200 million, with 500 jobs already cut by the ailing student lender as it deals with the turbulent market.
The move, which affected half of the company's work force, come in the wake of last month's bankruptcy filing by Education Resources Institute Inc., First Marblehead's third-party provider of borrower default guarantees for private student loans since 2001 and guarantor of loans held by The National Collegiate Student Loan Trusts.
First Marblehead, which has run into trouble in recent months as the student-lending business also has been affected by the credit crunch, uses those trusts to securitize loans.
First Marblehead and TERI depend on new securitizations for most of their revenue, but First Marblehead hadn't been able to put together a new package of loans since September.
The TERI bankruptcy was followed by Bank of America Corp. (BAC) saying it would stop private student lending. First Marblehead processed and helped securitize those loans.
The moves by TERI and Bank of America, coupled with the woes in the student-lending market, have conspired against First Marblehead and has resulted in its shares tumbling 90% since October. The stock was recently up 14 cents, or 3.6%, at $4.
The credit crunch and recent cuts in federal subsidies have resulted in the student-loan turmoil - some firms will no longer make federal student loans while also tightening their credit standards on private student loans.
"This has been an extraordinarily challenging business environment for our company," said First Marblehead President and Chief Executive Jack Kopnisky. "The market and credit conditions have not improved and TERI's bankruptcy filing has forced our business situation to change quickly."
First Marblehead will release its first-quarter results Thursday.
You Lucky Bastards: FMD
- Thread starter ByLoSellHi
- Start date
I don't really have a target for FMD, too many unknowns at this point but I think that owning FMD and SLM here is a good play for the next 6 months, the combinded position should outperform the market significantly. Students will get the funding they need either on the Federal side or the private side or a combination of both, especially in an election year congress or the Dept of Ed will make sure of it which is why with FMD and SLM you have your bases covered and at current valuations both stocks should appreciate.
I'm in and actually up now because I averaged in.
I'm not going to worry that much about this, when it's far from discretionary, and has a shored up cash position to support a lengthy burn rate (if it needs to).
I'm not going to worry that much about this, when it's far from discretionary, and has a shored up cash position to support a lengthy burn rate (if it needs to).
I'm still in from the mid 3s. They reduced opex by 200m/y as expected. They should be quite a profitable business from hereon out.
Quote from pumpanddumper:
I got a decent amount now that every nickel move is significant.
I didn't mean SLM but I kind of like them a little. Need a good showing form this sector and SPECIFIC company release but they will keep you on thin ice till 5-1.
News is good. Get the gov. man directly involved with FMD.
Corporate Headquarters
The Prudential Tower
800 Boylston Street, 34th Floor
Boston, Massachusetts
02199
Park Square Building
31 St. James Avenue
Boston, Massachusetts
02116
230 Park Avenue, 10th Floor
New York, New York
10169-1099
Yeah, SLM was a MUCH better play with the gov't intervention and not PRIVATE sector trash like FMD. I have been tracking that one closely for the past month. Seems everyone is jumping on their bandwagon now as its getting attention publically so its time to dump. I guess wait for Cramer to mention it
Take a close look at it as session high close almost every day for the past week. This one was telegraphed from the new CEO directly with inside purchases. Not the stock option crap but CASH. Matter of fact, Friday another mangemnt guy purchased at $21 and Tony at 17.75 2 weeks ago. I don't know, maybe a good long term hold as the bill will most benefit them.
SLM has been the ace in the hole play in the whole financial sector very quietly. You have missed most of the boat if you are getting in now. If you like to buy high and sell higher and want to sweat it, go ahead. For a daytrade, it does have a nice range at .75-$1 swing. My theory is it will retrace and stop the daily high closing once the actual news by pres. signing hits. There is no way this stock can get away with session high closings too much longer before a sell off. Matter of fact, I haven't seen that happen in a stock so consistenly in a long time. Hell, flat, up, and down index days and SLM just says fuck you and charges like a bull on steroids.
FMD did absolutely nothing in that time period. SLM surged as Congress, House and eventually official signing by Pres. Tack on inside purchases, Moody's AAA and it created a nice position trade on momentum.
Sure, FMD got a bump today and is still on life support. Every 5% bounce is never followed up. I am holding like a fucking moron. Should of put my chips on SLM but I take the fucking long shot with FMD. Fuck even ABK was better than this turd.... For some stupid reason in my head, I think GS Capital partners is gonna cough up not the 200M but maybe 75-100M as part of their December contract but that can easily be denied. I am positive that they are trying to swindle their way out of it. I'm sure the 10 fucking different lawsuits is focusing on that to get a tender share offer. AND that my friends is the only realistic chance for this company to make a move soon. They are fucked in the private lending sector unless they can capitalize on the new bill that is FEDERAL loans and obviously more beneficial to the likes of SLM in the years to come. Their management seem to be content in their "quiet period" to sink the ship.
So come Thursday this will be a wild ride. I cut my position to 2500 shares to lessen the exposure with an average price of around 4.71. If for some crazy reason and the sun shines on a dog's ass and there is a follow through tomoorw or Wed. for a run up pre-CC Thursday, I plan on unloading it. I have given this POS too much time.
Damnit... while I was already bringing up Sprint Nextel, I <b>definitely</b> should have also mentioned that I was loading up long below $6.50... you know, for the ego points and all. Petty narcissists like myself are totally into that sort of thing, after all.
Did anyone happen to piggyback my vague non-recommendation?
Hey guys, You did quite a notable job of pumping this stock. This thread has received over 12000 views. However, all the pumping didnt do us much good.
Its been a month and we have been stuck in the 3s for a while. I dunno what to say, but to wish everyone good luck. Somehow I dont believe this will receive that bounce you are looking for...
Its been a month and we have been stuck in the 3s for a while. I dunno what to say, but to wish everyone good luck. Somehow I dont believe this will receive that bounce you are looking for...
What a fucking disaster. I expect a heavier fall in AH on CC. Lights out!
Fuck you asshole.
Let me know when you guarantee 100% of the stocks you mention are going to run.
Stupid motherfucker.