Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Spekulatius who wrote (27554)	8/2/2007 12:13:44 AM
From: a128	Read Replies (1) \| Respond to of 78745

I have to think the insiders that spent over $7 million buying stock know a little bit about whats going on. By your numbers they have roughly 77.8% debt. But, as you also pointed out, those loans have LTV of 67-77%. For CBF to lose money, first the borrower would have to be wiped out and then CBF would own the property at a discount to market value. So theres really a double margin of safety. Just 3 months ago they said "For fiscal year 2007, the Company reaffirms its expectation that it will generate AFFO per diluted share and diluted GAAP earnings per share of between $1.10 to $1.20 and $0.86 to $0.96, respectively." So at $8.05, the stocks trading at 7 times expected AFFO, less than 9 times expected earnings while yielding 10.43% and trading at about a 37% discount to book value. All that and $7+ million of insider buying at higher prices ? Find me some other stocks with those kind of things going for it. They are my kind of situations.