WPThatcher (31.66)

WPThatcher's CAPS Blog

A bank stock that's up 42% over the last year.

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August 04, 2008 – Comments (5) | RELATED TICKERS: HCBK , KBW

No, I'm not lying. Hudson City Bancorp has had a great year. In fact, they announced record earnings for the scond quarter. How do they do it? They stick to what they know. They maintain high loan origination standards, concentrate on Northern New Jersey and other affluent suburbs of New York City, and they don't securitize loans.

Daniel Gross over at Slate has written a good piece about their CEO.

http://www.slate.com/id/2196406/

5 Comments – Post Your Own

#1) On August 04, 2008 at 12:09 PM, Gemini846 (97.31) wrote:

I bet they were a great buy when they got beaten down by bank shorters and then popped back. Good pick.

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#2) On August 04, 2008 at 1:02 PM, lquadland10 (< 20) wrote:

Baily versus Potter. Bailey is winning. The way banks should be.not like Chase and BAC

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#3) On August 04, 2008 at 1:54 PM, DemonDoug (99.69) wrote:

I wish it were easier to search caps blogs so that when HCBK drops 40% I can point back to this one.

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#4) On August 04, 2008 at 2:32 PM, anchak (99.85) wrote:

I was hoping to see Doug pop in here ....I know he's short Hudson in CAPS. I think I did actually reply to a few people's pitches back in May .....that they are too optimistic.... they are one of the banks which are Super Prime in terms of clientele/target market - and VERY VERY concentrated. Thus their fortunes depend on the Tri-State and some specific neighborhoods in NYC Home Prices.

I find it difficult to see HCBK drop 40% - they are safe.

However the best performing bank stock was RBCAA - I was long for a fair amount of time ( again from May, same day I looked at both banks 10Qs infact).Again niche product - and a little shady as Tastylunch put it in his pitch. I agree- and its cyclical.

Anyway moot point - I would say HCBK is a hold.

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#5) On August 04, 2008 at 3:38 PM, WPThatcher (31.66) wrote:

I agree that HCBK is a hold, until the the sector bottoms. At that point,it's a screaming buy as I'm sure the market will throw out everything housing related.

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