Countrywide closed today at $9.42! At the beginning of the year CFC was trading around $45 dollars a share. I traded this stock in the mid 20's and made some nice coin. I have left it on my watch list just to use it as an indicator of where the housing and mortgage industry is trading. Usually a couple of large cap stocks from any industry can give you a pretty good idea of the way an industry is trending as a whole. So, what does this tell us? The mortgage market is hosed. Everyone knows that the mortgage industry is in trouble, but is the bottom in site? Well fortunately for us, stocks can not go negative, but this dog may still have some decline left. If I was looking for a long term investment Countrywide may be on the list (purely speculative of course). I am not going long right now, but I will continue to watch for a bottom.
Hope everyone has a great thanksgiving!