Capstead Mortgage Corp (CMO)

mic510 (< 20) Submitted: 1/28/08 1:59 PM : Start Price: $15.30 CMO Score: -23.67

With the 'Top Bear' pitch saying that leveraged ARMs increasing in riskiness is why they should underperform totally leaves out the fact that Capstead's ARM portfolio is GUARANTEED by Freddie Mae, Fannie Mae, and Ginny. If the mortgagee can't pay th...

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TMFOtter (99.86) Submitted: 10/24/06 9:54 PM : Start Price: $7.95 CMO Score: 43.84

Unbelievably risky stock working at 28:1 leverage. Capstead has a preferred class that has been savagely dilutive over the last few years, but should turn accretive by next year.

This stock will get killed if the Fed keeps raising rates. If they don...

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BEWalsh13 (25.40) Submitted: 10/18/07 12:42 PM : Start Price: $9.13 CMO Score: -32.97

While capstead mortgage hasn't felt the negative effects from the housing slump yet, I think it's too early to say that it won't. It still sits in a very vulnerable position, with a Debt to Equity ratio of 15.4, and negative earnings flow. It's prima...

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magicrealm (28.89) Submitted: 4/12/07 11:05 PM : Start Price: $8.99 CMO Score: 32.68

With the the Feds more likely to hold interest rates constant (if not decrease them) for the rest of this year and into 2008, CMO's interest spread margin is bound to increase as its cost of borrowing, which positively correlates with the Fed's Fund ...

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TDRH (100.00) Submitted: 8/10/07 1:02 PM : Start Price: $8.72 CMO Score: -36.37

ARM's

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ChrisGraley (93.63) Submitted: 2/16/08 10:32 AM : Start Price: $17.05 CMO Score: -29.25

Over-leveraged.When the bonds they hold are devalued, they'll sink like a lead balloon.

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MaskedMan2007 (99.45) Submitted: 2/11/08 8:36 PM : Start Price: $16.92 CMO Score: -29.97

Momentum stock

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eagles22 (< 20) Submitted: 11/06/06 3:29 PM : Start Price: $7.82 CMO Score: 46.61

I'm totally poaching Bill Mann on this pick. I don't know much about it and wouldn't invest this way in real life, but am trying to add to my number of positions as I feel that CAPS rewards volumes of picks over quality. At least in an up market.

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dpb2 (92.57) Submitted: 11/26/07 11:02 AM : Start Price: $10.84 CMO Score: 11.18

Well run REIT that will profit from declining interest rates and the inability of homeowners to refi out of accelerating ARMS. The risk is that the mortgages or mortgage backed bonds that they hold will be devalued as foreclosures rise. However, they...

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21popsontop (< 20) Submitted: 1/28/08 9:36 PM : Start Price: $15.04 CMO Score: 21.22

Down Down we go and where it bottoms we shall never know.(Dept/Equity Ratio a wopping (13.78%) and no way to pay with Income growth at minus -25% Bad management to boot and now we see a public offering coming in the picture to assist the fall.No need...

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