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Non-Tech : Aames Financial (AAM) - Undervalued or what???
AAM 10.600.0%Nov 26 10:42 AM EST

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To: James Wang who wrote (42)6/9/1997 4:16:00 PM
From: Steve Pimpis   of 510
 
Why do you feel so certain on the rate increase ?

While the valuation on AAM is a bargain others in this segment are not overvalued, the home equity loan market is booming therefore with good future growth potential one would expect that this sector could sport higher P/E ratios, overall the sector has a P/E of around 16 seems fair to me.

Look at mone, fpfg, uc, none have exorbenent P/E's I think that this sector will be attractive to investors for the remainder of the year.

BTW look at FPFG especially the chart for the last 2 months. I would expect that AAM could go on a similar run to about 25 within a month.
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