The Mortgage Dude's Comments RSS Syndication from SeekingAlpha.com http://seekingalpha.comuser/127409/comments http://seekingalpha.com/article/56125-e-trade-wells-fargo-and-downey-subprime-problems-with-prime-loans?source=feed#comment-103933 103933
That being said I see DSL's loan portfolio is almost entirely in Arizona and California. Right in ground zero of the housing bust. Wells is spread throughout the country. So in this way DSL is worse. I see a lot of pain in DSL's future. I can't see how they make it without raising additional capital. And this isn't a real good time to raise capital. FASB 157 is going to make life real interesting for a lot of companies. I don't think it will affect the balance sheet here very much but at C and others it will make a big difference and problems there will drive the price of all financials down. Good luck to the financial longs - they're going to need it.]]> Mon, 03 Dec 2007 22:13:55 -0500
That being said I see DSL's loan portfolio is almost entirely in Arizona and California. Right in ground zero of the housing bust. Wells is spread throughout the country. So in this way DSL is worse. I see a lot of pain in DSL's future. I can't see how they make it without raising additional capital. And this isn't a real good time to raise capital. FASB 157 is going to make life real interesting for a lot of companies. I don't think it will affect the balance sheet here very much but at C and others it will make a big difference and problems there will drive the price of all financials down. Good luck to the financial longs - they're going to need it.]]>