Most banks have been battered as of late due to sub-prime loans, bubble burst in the real estate markets and an uncertain future for interest rates.
In the past, bad news have been soon forgotten and sectors have kept on moving in cycles. Catching stocks at near their lows is what I aim to do.
One stock that has been in my "crosshairs" is Corus Bankshares, Inc. (CORS). It operates as the bank holding company for Corus Bank, N.A., which offers consumer and corporate banking products and services in the United States. The bank principally provides commercial real estate lending with primary focus on condominium projects comprising construction of new projects and conversion of existing apartments into condominiums. It also has a portfolio of loans secured by hotels and office buildings. The bank's primary lending market consists of various metropolitan areas in Florida and California, New York City, and the Washington, D.C.
CORS is trading today at 17.99, near a 3 year low and at about 46.7% below its 52 week high, average daily volume is 880,000 shares, leading P/E of about 6, significant fund and management ownership and an unusually large amount of short-selling.
Best of all, it pays a 5.7% dividend, ex-dividend date is 3/26/07 of .25/share.
If we can peg the lows on this stock, we may enjoy a good bounce from these prices and hopefully, squeeze out some of the short positions.