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

To: NikhilJog who wrote (45624)	11/22/2011 12:05:58 PM
From: E_K_S	Read Replies (1) \| Respond to of 78751

New York Community Bancorp Inc. (NYB) With NYB you are betting on the multi family refinance & renovation (construction loans) market in New York and surrounding areas. The positive is that the management has an excellent track record of managing their book in this sector especially during the 2009 melt down. There is growing demand for rentals. The bad is that this is no longer a growth market at least for the next five years. Their portfolio turns over aprox every three years so they will benefit from the refinancing boom. Dividend is probably safe. I held this stock for over eight years but early this year closed out my position. I hold no financials and have moved the money to assets that are collateralized by Oil & NG rather than real estate mortgages. This is one of a few of the larger banks that never took TARP money. NYB is a good one to write covered calls on but I am finding just as good yield else where. The current price is a fair entry point w/ minimum downside risk unless the economy falls back into a deep recession. EKS