On March 6, banks dragged stocks down to an 18-month low. Industry reports showed foreclosures and late payments rose to the highest level in more than two decades. This helped nudge financial stocks down for the sixth straight day.
No bank was safe from the cold, hard facts. Write-downs at Merrill Lynch, Morgan Stanley and Bear Sterns reached epic proportions. Citigroup, the largest financial name in the United States, led its brethren to lows not seen since almost five years ago.
Much as a rising tide lifts all boats, a fierce riptide can claim many innocent victims. That’s exactly what’s been happening lately. Stocks across the board get smashed right along with the financial sector — even securities that have little or nothing to do with the high-risk exposure linked to subprime loans and other shoddy investment vehicles…
Sure, a meltdown like this can be a bit frightening. But it can also point you in the direction of some amazing opportunities…
There are two sectors that have suffered greatly during the market’s recent throes. Stocks in these sectors have been practically beaten down and left for dead on the side of the road. The average investor — and Wall Street, for that matter — wants little to do with a company involved in both the tech and financial sectors.
But there is one company prepared to break free from the powerful currents of the financial meltdown riptides and swim back safely to shore. This company has grown revenue, profits and profit margins steadily for the past three fiscal years. The banking crisis has dragged this company down to new 52-week lows as the economic outlook for 2008 becomes unclear…
However, you can’t keep a great company down forever. Even with its strong ties to out-of-favor sectors, this stock is ready to make up the 50% it has dropped since November. And it will do it by being the best at providing the essential services that every smart business needs to succeed…
Techs are going to be the new bull start searching.