Ashleigh Rogers
Long/short equity, growth at reasonable price, value, banks

Nationstar Mortgage: A Long But Profitable Road Ahead

Investors who missed out on the precipitous drop and then slow but steady recovery in the banking sector, have a new opportunity today in the mortgage servicing arena. Companies like Ocwen (NYSE:OCN), Nationstar Mortgage (NYSE:NSM), and Walter Investment Management (NYSEMKT:WAC) have been clobbered over worries about their future and pressures from regulators. This situation is very similar to what the banks went through a few years ago, and for investors with a strong stomach for risk and volatile price swings, these stocks offer interesting options today. I have previously written about WAC, but today I want to talk about another favorite of mine - Nationstar.

Nationstar today trades for around $31 a share and...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details