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  • High-Yield New Residential Investment Boosts Shareholder Value (A Lot) With Acquisition [View article]
    Tim, what are your thoughts on 0cn?
    Feb 24, 2015. 08:09 PM | Likes Like |Link to Comment
  • High-Yield New Residential Investment Boosts Shareholder Value (A Lot) With Acquisition [View article]
    solid article. Short and to the point. I agree with your earnings expectations as well considering dividends should grow due to its election to be taxed as a REIT.
    Feb 24, 2015. 07:05 PM | 2 Likes Like |Link to Comment
  • Keeping Up With The Contrarians [View article]
    Because of the upcoming Basel III regulations slated for full implementation by all banks in Q1'15, MSA's will be limited to 10% of Common Equity Tier 1 Capital. Furthermore, institutions are required to deduct all mortgage servicing assets (net of deferred tax liabilities) that exceed 10% of its common equity tier 1. Banks will have no choice but to sell their MSA's to non-bank servicers. In addition, the amount that is below the 10% threshold will receive a 100% risk weight (and eventually 250% beginning 2018). Look for massive growth in non-bank servicers in the next 5 years. The ABA is speculating that $1TRILLION of MSA's will be sold in the next 2-3 years. Tighten your seatbelts, this will be a bumpy ride. These regulations alone paint a very bullish picture for future shareholders. Their future earnings potential is unreal.
    Let ocwen clear some of their Agency MSRs off the books this year and temporary decrease their servicing book and they will resume their massive growth once the dust settles. Gluck.
    Feb 19, 2015. 01:54 AM | 3 Likes Like |Link to Comment
  • Credit Suisse piles on with another Petrobras downgrade [View news story]
    except that oil prices are rising
    Feb 9, 2015. 12:01 PM | 1 Like Like |Link to Comment
  • Coal: Almost At The Bottom [View article]
    The bottom is 0, brah.
    Feb 7, 2015. 12:19 PM | Likes Like |Link to Comment
  • Ocwen Financial +3.8% after update [View news story]
    again, they don't know how much capital they need to retain due to new regulatory requirements. It's prudent to do nothing and conserve the existing equity.
    Feb 5, 2015. 11:45 AM | Likes Like |Link to Comment
  • Ocwen Financial +3.8% after update [View news story]
    It's not a priority. It's also best to preserve existing capital for future issues and the introduction of higher capital requirements.
    Feb 5, 2015. 10:36 AM | Likes Like |Link to Comment
  • Ocwen: Finally Has An Activist Investor, Sort Of [View article]
    If anything they should take a 6 month hiatus from buying additional MSRs and just let the dust clear.
    Feb 4, 2015. 06:40 PM | Likes Like |Link to Comment
  • Ocwen: Finally Has An Activist Investor, Sort Of [View article]
    Even if OCN doesn't buy a single MSR in 2015, their amortization of MSRs would be around 220-260M. With a Q3'14 UPB of 411B the amount declines but hardly puts them out of business. wake up guys !
    Feb 4, 2015. 06:39 PM | Likes Like |Link to Comment
  • Ocwen: Finally Has An Activist Investor, Sort Of [View article]
    Does anyone know what a typical yield on an MSR is ? OCN has 411B for Q3'14 with a revenue of 466M. that's a yield of ~12%. For next quarter their MSR revenue will be roughly 400 - 440M due to amortization. This should mean a roughly 30 - 35c Q4 EPS. With a $1.88 2015E EPS. This at minimum should be at $18
    Feb 4, 2015. 06:12 PM | Likes Like |Link to Comment
  • Ocwen: Finally Has An Activist Investor, Sort Of [View article]
    As of Q3'14. NSM MSR UPB = 319B. OCN MSR UPB = 411B. OCN exceeds NSM MSRs by 100B, yet sells for a 65% discount to NSM. This one fact alone is mind boggling. super strong buy!
    Feb 4, 2015. 05:55 PM | 1 Like Like |Link to Comment
  • Ocwen: Finally Has An Activist Investor, Sort Of [View article]
    disagree. Nationstar P/E is 16+ and has a 2.4b market cap. OCN has more UPB MSRs (claims on future cash flows) than NSM. At minimum, OCN should have a P/E of 10 or around $18 based on an expected 2015 EPS of 1.96
    Feb 4, 2015. 05:35 PM | Likes Like |Link to Comment
  • Update: Cliffs Natural Resources - Still Not Out Of The Woods [View article]
    How is a 8.25/share loss above consensus? full year 47.50/share loss.
    Feb 4, 2015. 05:29 PM | 1 Like Like |Link to Comment
  • Ocwen: Finally Has An Activist Investor, Sort Of [View article]
    If necessary they can offload some of their MSR to free up capital. banks will continue to offload their MSR as they don't have the capacity to retain the servicing rights. There are not very many options for banks, Nationstar or Ocwen.
    Feb 4, 2015. 04:38 PM | 1 Like Like |Link to Comment
  • Ocwen: Finally Has An Activist Investor, Sort Of [View article]
    fyi, the 2012 EPS estimates were roughly around 2. The equity price was around 14-35.
    Feb 4, 2015. 04:30 PM | 1 Like Like |Link to Comment
COMMENTS STATS
221 Comments
128 Likes