Yes, CFC is the next logical profit opportunity. I already own bushels of Puts on CFC and am thinking of some more. I don’t expect it to implode to the level of the pure subprime companies but it should still drop hard this year.
Beyond CFC, I don’t see any great lending companies to short. Anybody else have some ideas? I think the next round of opportunities are the homebuilders, and later, the companies like HD and BDK that have relied on the housing boom.
