PHH Corp (NYSE:PHH)
The Company is a outsource provider of mortgage and fleet management services operating in the following business segments: Mortgage Production, Mortgage Servicing and Fleet Management Services.
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Options Predictor Rank #19 on 9/11/11. P/C Ratio 0.029 and Call Sizzle 4.313.
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My homies at PHH "service" my liar's loan. To bad the name I put on it was as fake as the income I wrote down. Word son.
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Fleet business is a good stable business that I feel is worth more than the $15/share that the stock is trading at right now. Mortgage business may have some bad times ahead, but they don't have any significant exposure to the sub-prime debacle. Good upside option if housing rebounds sooner than expected. Also, they just got a cool 50 mil from the Blackstone back-out (more than 5% of current market cap). I think this one is a good opportunity for those willing to break from the herd. Check out the recent write up on Value Investor's Club.
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I believe the financing of the sale of the company will come through - if not, then Blackstone will have to pay a hefty penalty that can only help PHH. Also, there was a big push by a significant stockholder to deny the sale because the sale price was undervalued. I am willing to wait and see what happens in the next few months.
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A deal will be done.
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Playing takeover arbitrage. GE please bail me out.
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GE offer is at $31.50 and will close in September. Currently below $27 as of 8/2. 17% return in 2 months ain't bad.
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Real Estate is slow
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This spinoff looks as though it has already run up quite a bit. May not be such a good buy from here, but willing to give the benefit of the doubt.
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real estate is turning down
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Good company with strong cash cow in fleet business. Weakness is mortgage side and ties to CD inlcuding recent delayed filings. Value pick.
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