why shouldn't i buy fannie, freddie and AIG

[Uno]

probably a stupid question but i know nothing about any of this non sense.

someone tell me why, when the gov't is showing they won't let these companies fail, i should not buy some at these cheap prices.

thanks in advance

 

[RobFunk]

This is a great question Uno has asked.

What could we be buying for pennies on the dollar that we know will bounce back pretty big in a few years?

I don't know a lot about stocks either, but I am about ready to dive into it.

 

[MesaChaser]

I had this same thought and bought at $1.60. Hopefully the weeks ahead are a little more kind than the last one was.

 

[RobFunk]

AIG is 2.33 right now and was at 68.26 in the last year ?

http://finance.yahoo.com/q?s=AIG

Is there any reason to think this stock doesnt see a serious bounce with the 700 bil plan backing it up?!
Then also the potential of an Obama admin that caters to the middle class to boost the economy?

 

[whalewager]

Pay attention to the news this weekend

Monday may be the time to buy

 

[RobFunk]

GJ, as much as goof you can be. I know you are a sharpie at heart

 

[whalewager]

No but I do know that I have lost my ass in all my investments but i am smart enough to know eventually it will come back...

may take 5 years but it will.

Now is the time to look for what you think will be the bottom and start trying to make profit off this disaster...

The only way to do that is to read and watch everything...there is money to be made but most of us need help.

 

[Uno]

This is a great question Uno has asked.

What could we be buying for pennies on the dollar that we know will bounce back pretty big in a few years?

I don't know a lot about stocks either, but I am about ready to dive into it.

i am gonna take a couple grand and buy some stuff.

right now i am thinking about

ford
gm
sirius
aig

not sure about fannie and freddie

what are your ideas funkstick?

 

[whalewager]

There will be a point where we wont see these wild swings and -700 days unless there is a terrorist attack...

Need to start looking for opps

 

[RobFunk]

i am gonna take a couple grand and buy some stuff.

right now i am thinking about

ford
gm
sirius
aig

not sure about fannie and freddie

what are your ideas funkstick?

I have no idea. AIG was the only thing that comes to mind. That's why I said what I did in post #2. I was thinking of signing up on sharebuilder.com to invest a few thousand and get a portfolio going or at least get my feet wet.

Anything has to be better than just sitting back and watching the bank take away the monthly checking fee.

If I can lose 500 bucks betting a college football game in 3 hours I dont see the harm in slowly pissing it away over the period of 6 months.

 

[EasyMoney]

I am by no means a stock guru, but I have seen a few things lately about Ford and GM possibly laying even more people off and that there is a good chance that they will have an even worse 2009. So I might lay off those. I can tell you I grew up in Lansing Michigan and the auto industry there is all but gone now. One of the car plants was literally getting taking down and sold for scrap metal the last time I was there.

As far as AIG. I never thought of it but it seems you may be onto something there. The government seems to be determined to not let these companies fail. So at $2 a share for a stock that was $68 a year ago. It might be worth it. I would love to hear what some of the real stock guys on here think.

 

[whalewager]

I was told that it would take forever for those financials to even recover a little. I would look elsewhere for stock opportunities.

 

[PercocetThreat]

Funny you should mention AIG considering that it's the only stock I own right now. Once the fire sale is completed and the govt loan is re-paid this should settle in the $10-$20 range. It's going to take a while but it'll get back. Hell, even if the govt keeps the 80% stake once the loan is re-paid it's still worth $5/sh. It's trading as if they are going to go under which is not going to happen.

FRE & FNM are a different story, I wouldn't touch either.

Good luck with whatever you do, many great buying opps right now. I love fear.

 

[155mph]

Very sad to say that I own many shares...Hank Greenberg is probably the most upset about his old company, he has lost approx.17 Billion in value. However, I'm confident they are not going anywhere. As far as where the pps is going, well:think2:

 

[tanner12oz]

i think it all depends on what your goal is for this investment...are you looking to setup a retirement account??? get rich quick?? i think that these are all very risky picks. 1 or 2 of them maybe pull through i guess so. but theres alot better, safer companies out there then these. especially if your kinda new to the game and whats happening.

 

[bigbet1234]

I'm not one to listen too, but all those look pretty bad. Auto is struggling with gas and economy, sirius, well, its sirius.

I do like AIG.

Monday I should have scooped up a shit load of banks, that is where the money was to be made, but im not getting in now. could have made some decent coin with that 900 pint swing and today.

i am watching it for now, and patiently awaiting

i am gonna take a couple grand and buy some stuff.

right now i am thinking about

ford
gm
sirius
aig

not sure about fannie and freddie

what are your ideas funkstick?

 

[DeathEatsaCracker]

I was told that it would take forever for those financials to even recover a little. I would look elsewhere for stock opportunities.

But wouldn't you say that it's worth the wait? If it takes FNM 5 years to get to $10, it's still a ten-bagger from these levels.

 

[Jetplane]

Very sad to say that I own many shares...Hank Greenberg is probably the most upset about his old company, he has lost approx.17 Billion in value. However, I'm confident they are not going anywhere. As far as where the pps is going, well:think2:

tell him i want my 200k back.

 

[Jetplane]

Funny you should mention AIG considering that it's the only stock I own right now. Once the fire sale is completed and the govt loan is re-paid this should settle in the $10-$20 range. It's going to take a while but it'll get back. Hell, even if the govt keeps the 80% stake once the loan is re-paid it's still worth $5/sh. It's trading as if they are going to go under which is not going to happen.

FRE & FNM are a different story, I wouldn't touch either.

Good luck with whatever you do, many great buying opps right now. I love fear.

why wouldn't u touch those? u really think they are closing shop? j/w

 

[PercocetThreat]

why wouldn't u touch those? u really think they are closing shop? j/w

I think the chance of them going under is more than the chance of them coming out of this in tact. With all the inept management we have seen over the last year or so, these guys without a doubt take the cake for the worst. Absolutely, completely, asleep at the wheel.