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Home Capital Group Inc HMCBF


Primary Symbol: T.HCG

Home Capital Group Inc. is a Canada-based holding company that operates through its principal subsidiary, Home Trust Company (Home Trust). Home Trust is a federally regulated trust company offering residential and non-residential mortgage lending, securitization of residential mortgage products, consumer lending and credit card services. In addition, Home Trust and its wholly owned subsidiary, Home Bank offer deposits through brokers and financial planners, and through a direct-to-consumer brand, Oaken Financial. Its mortgage lending includes classic single-family residential lending, insured residential lending, residential commercial lending, and non-residential commercial lending. Its consumer lending loan portfolio comprises credit cards, lines of credit and other consumer retail loans. In addition, the Company manages a treasury portfolio to support liquidity requirements and invest excess capital.


TSX:HCG - Post by User

Bullboard Posts
Post by eInvestor99on Jun 22, 2017 1:13am
230 Views
Post# 26390928

This is a good thing

This is a good thing
Warren Buffett taking a big stake is going to restore confidence so the company can rebuild deposits and sell GICs. And it will also get rid of the shorters. They were already full of hot air, and they are indeed fools if they think thay can short against Buffett. It is worth the dilutional effect of those 16M new shares to solve the confidence issues, and the basic book value is still well over $20 per share.The new line of credit is not on good terms but it is hardly needed with the sale of the $1.2B commerical mortgages, and I expect it will replaced with bank financing on much better terms before too long. I cannot see the shareholders approving the second traunch of Buffett's equity when that comes along, as it is just not needed. I think these shares are going to keep rising until at least $19 or $20, and in my opinion if you are holding, just keep your shares and watch the shorters squirm.
Bullboard Posts