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6 pts

Opinion on  Alesco Financial Inc. (AFN)     Sector: Services  >  Industry: Real Estate Operations
12% + dividend, specialty finance REIT

Jun 11, 2007 05:30 PM GMT
Return Risk
-56.93% HIGH
Analyst

Specialty finance REIT's may be inappropriately tarnished by the sub-prime lending meltdown and concerns about residential real estate.

In May 2007, AFN sold $115 million aggregate principal amount of 7.625% contingent convertible senior notes and announced it will repurchase $32.1 million of its common stock at $9.55 per share.  Current price is now about 4% above that buyback price, still yielding over 12% dividend yield.


AFN:  This call was made on 06/11/07 @ $9.84
Rating:   Positive   $9.84 (06/11/07)
Gain/Loss:   -93.29% in 906 days
Target:   $11.00 (+11.79%) in Six months
Allocation:   5.4% of portfolio


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