The Countrywide Conundrum
On one hand, the credit crunch and mortgage industry woes will hurt Countrywide. On the other hand, they will be the only large player still standing when the smoke clears. So how does one play the stock? I made money on the long side, and then on the short side. At this point, it is tough to pick a side. I am still leaning on the short side because I don’t think the Fed will cut rates anytime soon, and I think the mortgage market is shrinking so a bigger market share is rather meaningless.
– Faisal Laljee
Full Disclosure: I do not own any CFC but my position can change anytime without notice. In fact, I am looking for an opportunity to short it.
Check out http://www.eyeoncountrywide.info , an independent consumer resource examining sub-prime lending and Countrywide Financial Corporation