Several sub-prime lenders have gone under. They are gone, out of here. So will these companies have what it takes to survive? No one knows but the analyst are going to issue a sell rating. Just like they did after Enron flopped. But they issued it to late, again.
The securities that they sell (mortgages) are also being downgraded.
[ Edited by lacashman on Date 03/07/2007 ][ Edited by lacashman on Date 03/07/2007 ]
That sell recomendadtion is for the compaines stock. They are publicly traded companies.
http://finance.google.com/finance?q=LEND
http://finance.google.com/finance?q=NEW
http://finance.google.com/finance?q=NovaStar
Lots of security investors were chasing higher ROI. So sub-prime lenders were giving mortgages to people who could not afford them. It has nor come back to bite them in the rear.
Several sub-prime lenders have gone under. They are gone, out of here. So will these companies have what it takes to survive? No one knows but the analyst are going to issue a sell rating. Just like they did after Enron flopped. But they issued it to late, again.
The securities that they sell (mortgages) are also being downgraded.
[ Edited by lacashman on Date 03/07/2007 ][ Edited by lacashman on Date 03/07/2007 ]