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Kingsway Financial Services Inc KFS

Kingsway Financial Services Inc. is a holding company that owns or controls subsidiaries primarily in the extended warranty and business services industries. Its segments include Extended Warranty and Kingsway Search Xcelerator. It serves the extended warranty industry through its subsidiaries, IWS Acquisition Corporation (IWS), Penn Warranty, Preferred Warranties and Trinity Warranty Solutions. IWS is a licensed motor vehicle service agreement company and is a provider of after-market vehicle protection services distributed by credit unions in approximately 24 states and the District of Columbia to their members, with customers in all 50 states. It serves the business services industry through its subsidiaries, CSuite Financial Partners, LLC (CSuite), Ravix Group, Inc., Secure Nursing Service, SPI Software, Digital Diagnostics, Inc., and Image Solutions LLC. CSuite is a professional services firm that provides experienced chief financial officers and other finance professionals.


NYSE:KFS - Post by User

Comment by zagorskon Apr 24, 2007 2:24pm
114 Views
Post# 12665892

RE: $23.58C

RE: $23.58C I think you have to realize that the last quarter was not a "Quarterly Miss" but more of an annual review of reserves after giving due consideration to their new actuarie's input. This type of review will not happen on a quarterly basis so there are no worries for Qq, Q2 and Q3. I take the optimistic view that they are getting their reserves in more than adequate shape so that some redundancies will be created going forward. At some point in time the yield on the investment portfolio will be rising sharply and a hard market will be giving good earnings growth through reduced combined ratios. These two factors will cause substantial gains in earnings which will drive the stock price higher. When this occurs KFS does not want to be encumbered by negative revisions to existing reserves. I am optimistic!
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