I’ve seen many negative things about Mr Copper (COOP) these last few weeks.
•A few weeks ago they got hacked for a second time in 18 months and it left millions of customers unable to pay their mortgage. The stock price went up.
•They have many negative reviews from customers who’s mortgage got sold to them. Difficult onboarding, information lost in the transfer, overall bad experience.
•They are getting sold mortgages by their competitors like the big banks.
•They are holding and servicing mortgages which on average are sub 4% in an environment where you can earn 5% in a HYSA
•They have been buying back stocks rapidly, but their earnings per share is dropping.
•They are a “zombie company”, with large amounts of debt they cannot pay back. If interest rates do not come back down in the coming year or two they will start to take major losses.
Tell me why I am wrong.
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