National City chatter

It is the weekend, but I thought there would be at least some discussion about National City in the wake of the IndyMac shut-down. Apparently not. I guess financial bloggers take weekends off. And, maybe that's a good thing. I did find a couple other things worth noting, however.

One person in a National City newsgroup posting has something to say about the CFO replacement:

I am assuming this guy is getting taken out b/c he is mediocre and a
real CFO is what the BOD/Corsair has in mind? I can't imagine he'd
choose to abandon the company at this time and I can't imagine that
the BOD/Corsair would want to take him out otherwise.

The only thing I would add to that is to consider that the new CFO gets hand-picked by Corsair, if that's possible, to protect its $7 billion. NCC stock was trading in the $5.80 range when Corsair came on board. It's now in the $4.40 range. I guess a $1.40 drop in price wouldn't be such a big deal if the stock was selling in the $30 to $50 range. But, $1.40 is a lot when we're talking less than $6.00.

About those newsgroups, there seems to be quite a bit of over-the-top giddiness that National City is such a wonderful stock choice at this time and that it's going to start going up any day now. We don't know who makes these postings, but I'd tread very, very cautiously before taking their advice.

I found one blogger who compiled a list of troubled stocks he has been tracking, which includes National City. I found it interesting that he also included Regions Bank, another bank that can be found in Springfield. About his list, he says:

Some of you might still be holding to those stocks, hoping they will go back up, saved by some miracle hand ....... I fully understand you, I used to make the same mistakes (20 years ago).....
You know what I did ? I took the huge loss ...... and took a long vacation (with lost of motivational books). It really helped

The voice of reason. A level-headedness that comes with experience.

Okay. That's it until Monday.