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Introduction
Ambac Financial Group, Inc. (NYSE:AMBC) looks very cheap on a p/e and p/b basis right now, but what I have discovered is a significant amount of debt levels that are digging into the expansion
Ambac Financial Group Inc: Debt Trap Disguised As Value Opportunity
Summary
- Ambac Financial Group Inc is trading at low multiples but has a significant amount of debt that is impacting its expansion capacities.
- AMBC operates through two divisions, Everspan and Cirrata, and presents itself as an opportunity in the growing specialty coverage market.
- The company's high debt levels and inconsistent bottom line make it a risky investment, and the share price is expected to decline further.
JB Research is focusing primarily on the finance sector and building up a solid dividend portfolio from the investments that are found. The long-term outlook is to always generate adequate capital returns from investments and build a solid foundation of wealth.
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