GREY:CXSNF - Post by User
Post by
Makemoney3on Jun 25, 2014 12:45pm
385 Views
Post# 22693702
CXS and HCG
CXS and HCGI read this board on the regular and most of the posters post great info.
If anyone has been around long enough to remember the beginnings of HCG, Counsel is trying to play in HCG's backyard. With the strong renewal numbers and now the uninsured business getting up to speed, the summer looks to be good.
I believe CXS is expected to ear .19cts this year, yet the p/e is below 10. Given their growth I would argue a p/e of at least 20 should apply.
Factor in the bank license. CXS will be able to offer loans, credit cards and finance mortgages themselves if they so choose.
When HCG had received their bank license, the stock took off and never looked back. The share price growth was pheonomenal. CXS will become an attractive takeover target. I see very little downside to this stock b/c if you look at the big picture, once the bank license is issued, new products will offset any slowdown in mtge originations.
This company - small as it is - has done a decent job of building shareholder value. Eventually, I believe a dividend will be initiated as well.
This company is a med and long term hold for significant growth !