Another financial hits the iceberg... http://www.bloomberg.com/apps/news?pid=20601087&sid=a9fj4RFN5.jY&refer=home
This company is the closest tied to all credit card debt in the US now, the credit card problems are just beginning to surface at this moment, I think this stock trades as low as 20-25 over the next 12 months. As I mentioned a couple of months ago that credit card problems will only get worse as deliquencies rise greatly over the next 2-3 years.
wrote this on 11-19-07 04:25 PM This is going to be the next major problem for the economy, this is something that cannot be ignored. Steps should be taken at this very moment but of course they wont and it will end up just like the subprime mess less than 12 months ago. The historical Avg. sits at 4.86%, 3.89% is where we are now. My prediction is 4-4.25% in the 1st Qu of 2008, a jump past 5% by mid to late 2008. Maybe even higher. Look to short stocks involved in this area of the problem.
yep. remember he mentioned a story on his show about how a guy asked him about COF he said he was bullish and saw it going to I believe 100+ a share, well now its seeing 52 week lows on a daily basis. This was about 6 months ago.