Hi all,
As I write this, INBK has moved up 6% today. The volume is about 3x the average volume. It’s been slowly inching up after the most recent quarter was reported. So, possibly, there are others out there who might think that Q4 will be good and show that their investments into staff and IT is surely starting to pay off. I would expect Q4 net interest income to exceed the non-interest expenses and I expect this to happen because the loan book has been growing at a healthy rate while the operating expenses have been more or less flat.
I added a bit to both INBK and BOFI.
Anirban.
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Just remember that a stock with that small a market cap will move around a lot more than larger stocks. Think of a boat on the ocean, the smaller they are the more you notice the waves…
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Just remember that a stock with that small a market cap will move around a lot more than larger stocks. Think of a boat on the ocean, the smaller they are the more you notice the waves…
Thanks for pointing that out. I invest a fair bit into small & micro-caps, so I 'm quite comfortable with the swings they make but this is certainly not everyones cup of tea. A lot of patience is needed to tolerate the churn these types of stocks go through but if these are selected well one can also get very very big gains. Its a high risk, high reward investment strategy, and its certainly not for everyone. So, yes, consider your risk tolerance before diving into these small/micro caps.
That said, I was pointing to the move up on increased volume, which potentially indicates some buyers moving in recognising the potential opportunity in Q4. Of course, if Q4 2014 doesn’t show up as per expectations, one would need to revisit the thesis.
Anirban