Friday, October 19, 2007

*DJ Microvision Started At Buy By Maxim Group >MVIS

That is all for now. I'm blogging remotely as my car is in the shop.

***Update***

What a terrible day. The icing is clearly the latest SEC filing for MVIS. For now, I'm going to bed.

15 comments:

mdawsz said...

Maxim is a boiler room.

Broker A said...

Not a boiler room, a shit box.

Big difference.

Danny said...

I thought it was defunct magazine upgrading MVIS. Would have made sense.

Sierra Water said...

Reminds me of Roth Capital. Those guys should all be put in jail along with Mozilo in my opinion. I used to party with some of the "top brass" and it opened my eyes to how filthy these shops are.

Anonymous said...

bid down day for all. Happy Black Monday guys.

Anonymous said...

Just checked my account, down over 20000, damn this trash.

ducati998 said...

Woodie, From S&P;

Standard & Poor's Ratings Services announced today that it has downgraded 1,413 of U.S. residential mortgage-backed securities (RMBS) backed by first-lien subprime mortgage loans that were issued from the beginning of the fourth quarter of 2005 through the fourth quarter of 2006. These downgraded securities had an original par value of $22.02 billion, which represents 4% of the $554.4 billion of U.S. RMBS backed by first-lien subprime mortgage loans rated by S&P during this period. These actions, combined with downgrades previously announced by S&P, impact a total of 1,671 securities of U.S. RMBS backed by first-lien subprime mortgage loans issued during this period, representing $24.8 billion, or 4.5% of the $554.4 billion mentioned above. S&P also affirmed its ratings on securities representing $531.6 billion original par value of U.S. RMBS backed by first- lien subprime mortgage loans from this same period.

Of the 1,413 securities downgraded today, approximately 47% were rated in the 'BBB' category and below. Fifteen 'AAA' rated securities were downgraded, accounting for roughly 0.01% of all downgraded securities and 1.1% of the total dollar amount downgraded. No 'AAA' rating was lowered below 'AA'.

We took these rating actions at this time because, based on the most recent data, we expect further delinquencies and losses on the underlying mortgage loans; the consequent reduction of credit support from current and projected losses; and continued declines in home values.

While cumulative losses to date remain low, they have increased since our July 2007 review and we expect them to increase further. Based on the most recent data from September 2007, cumulative losses for the period have increased from 29 bps to 69 bps -- a 138% increase since our July 2007 review.

The September 2007 data shows increasing levels of overall delinquencies and serious delinquencies. Seriously delinquent loans include loans that are either: delinquent by more than 90 days, in foreclosure, or for which the real estate is possessed by the servicer. For all U.S. RMBS backed by first-lien subprime mortgage loans issued during this period, overall delinquencies averaged 21.43%, and serious delinquencies averaged 14.17%. This is in contrast with the downgraded transactions, for which overall delinquencies averaged 15.73% and serious delinquencies averaged
23.33%.

We expect that the downgraded securities will be particularly vulnerable to increased losses because, on average, 60%-70% of the loans backing them are subject to some type of payment adjustment in the near future. Most of these are 2/1 adjustable-rate mortgages already in their adjustable-rate stage and already past their first, and typically largest payment reset. Despite some industry claims of increased accommodations to subprime borrowers, we expect losses to increase for borrowers who have experienced (1) rising loan payments due to resetting terms of their adjustable-rate loans, and (2) principal amortization that occurs after the
interest-only period ends for adjustable- and fixed-rate loans.

Standard & Poor's expects that the U.S. housing market will continue to experience price decreases. We project that property values will decline 11% on average from peak to trough and will begin to recover in late 2008, with the peak having occurred in the spring of 2006. This continued decline in home prices will apply additional stress to these securities.

As part of this review, we assumed losses for defaulted loans that closed during the second half of 2005 at a level of 40%, and for those that closed during 2006 at a level of 45%. During our July 2007 review we assumed losses for defaulted loans that closed in 2006 of 40%. We have now increased this assumption based on the most recent data and projected declines in home values.


jog on
grant

mdawsz said...

Grant, for fucks sake it was gay enough when you plagiarized on your own blog, don't attempt to drag this fine blog down with you.

GFY

Broker A said...

Fuck you, Grant.

ducati998 said...

woodie,

http://americansecuritization.com/uploadedFiles/Moodys_ABCP.pdf

Moody's as recently as the 12'th were reiterating stability.....then S&P downgrade a whole swathe of securities.

The point being that Bank Balance sheets are deteriorating rapidly and AAA securities may well be questioned in due course.

Small-cap stocks will be particularly vulnerable to any problems within the credit markets.

MVIS, without the ability to raise equity capital....would simply cease to exist.

jog on
grant

Broker A said...

Grant:

Do you find is *odd* that MVIS is still above $4?

Woodshedder said...

Grant, may I suggest firing your own blog back up?

Your latest comments are antagonistic, and will not be suffered forever.

Danny said...

at least he made a handle.

didn't know you bought slb, sucks balls.

joined the rantfest at ben's the other day...that was some good ranting you did there

ducati998 said...

woodie,

As it is your blog, I am quite willing to accede to you wishes and not post in the comments section.

Obviously a "contrary" viewpoint in the land of democracy is not welcome, so-be-it.

Best of luck.
jog on
grant

Woodshedder said...

Grant, I do not mind at all you posting in the comments section. I welcome contrary viewpoints. However, here in the US we having an aphorism that goes something like this: "Its not what you are saying but how you are saying it."

Furthermore, I've owned MVIS for like 10 months now. I'm well aware of all aspects MVIS.

I like discussing the credit picture. But you posted that S&P info just to ram home your bit about MVIS. That is unnecessary. Again, I doubt you can present me anything on MVIS that I have not yet considered.

Finally, you are not stupid, and you know exactly what you are doing. So if you care to spin it as me not wanting a contrary opinion, then fine. What I don't want (and you know that you are doing this) is sand thrown in my eyes.

There are ways to present contrary viewpoints and still keep things friendly.