This page is temporarily not available. Please check later as it should be available shortly. If you have any questions, please email customer support at email@example.com or call 800-767-3771 ext. 9339.
For Immediate Release
Chicago, IL – April 9, 2012 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Morgan Stanley ( MS - Analyst Report ) , JPMorgan Chase & Co. ( JPM - Analyst Report ) , Bank of America Corporation ( BAC - Analyst Report ) , Citigroup Inc. ( C - Analyst Report ) and Wells Fargo & Company ( WFC - Analyst Report ) .
Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513
Here are highlights from Thursday’s Analyst Blog:
Morgan Stanley Faces Fed Fury
Morgan Stanley ( MS - Analyst Report ) is facing the Federal Reserve’s fury. According to a Reuters report, the Fed plans to fine Morgan Stanley on grounds of misconduct and negligence in handling foreclosures by one of its mortgage servicing units.
The mortgage servicing unit in question is Saxon Mortgage Services Inc. While Morgan Stanley agreed to sell this unit to Ocwen Financial Corp in October 2011 and closed the deal recently, the Fed pointed at this unit’s behavior with respect to foreclosures between 2009 and 2010.
According to Fed allegations, this particular unit of Morgan Stanley completed foreclosures without properly verifying the documents. Moreover, according to Fed, the company was also in dearth of adequate staff and resources for handling an increased flow of foreclosures during that period.
While Fed has not revealed the amount of damages that it is seeking from Morgan Stanley, it has ordered a probe into the foreclosure practices during that period so as to ensure that borrowers did not have to abandon their homes for improper documentation. However, if such cases appear where borrowers were wrongly forced to lose their homes, the company will have to reimburse their losses properly.
The foreclosure mess hit the headlines in the past few years. Faulty foreclosure practices adopted by the U.S. banks were brought to the forefront and many lenders were accused of using ‘robo-signers’. This is a practice of signing hundreds of documents without any verification of decisive information.
In October 2010,JPMorgan Chase & Co. ( JPM - Analyst Report ) ,Bank of America Corporation ( BAC - Analyst Report ) and Ally Financial had to temporarily suspend foreclosures across the country. A nationwide probe was launched by U.S. bank regulators and a task force of attorneys general of all 50 states. In February, the five large U.S. banks – JPMorgan, Bank of America,Citigroup Inc. ( C - Analyst Report ) , Ally Financial Inc. andWells Fargo & Company ( WFC - Analyst Report ) – accused of faulty foreclosure practices, finally reached a $25 billion settlement deal.
We believe such steps by the regulators and the banks will provide relief to the distressed homeowners and will also instill confidence in the business and revive the drooping housing market. Notably, the housing market is bearing the brunt of the foreclosure mess and dropping home prices and this in turn has impacted the overall economic scenario and led to a slower growth rate.
Morgan Stanley shares maintain a Zacks #3 Rank, which translates into a short-term Hold recommendation.
Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=5515.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=5517
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leon Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=5518.
Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
Please login to Zacks.com or register to post a comment.