A superb bet by HIG to get money from Uncle Sam. Such a small amount to bet on to hit the jackpot.
The same disease inflicting US corporations during this economic downturn, the CEO gets paid millions even though the company loses billions of dollar.
And now HIG is trying to mop up a small thrift bank to enabled it to partake a piece of the TARP money aka tax payer money. This news alone rocket the stock price to USD9 region , attempting again to break the USD10 resistance which it failed the 1st time.
Multiple and constant rating downgrades by rating agency will surely served as a warning to the investor that this HIG is quite risky. And besides Sun Life (if i am not mistaken about the name) has backed up from the deal to buy the life insurance portion of HIG.
There is a reason why HIG needs to make this bet. The reality is that this company may not be that fundamentally stable even though its stock is shooting upwards like a old man on viagra.
| Short Interest (Shares Short) | 25,960,400 |
| Days To Cover (Short Interest Ratio) | 0.8 |
| Short Percent of Float | 8.03 % |
| Short Interest - Prior | 18,670,400 |
| Short % Increase / Decrease | 39.05 % |
| Short Squeeze Ranking™ | -6 |
Similar high short percentage of float, the same characteristic i noted before during the fall of Wachovia.
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