Enfusion Inc (ENFN)

Poor ENFN...and here's why...

E-Loan Shares Shed 9%

By Paula Lacê
Markets Reporter
07/24/2003 03:25 PM EDT
Click here for more stories by Paula Lacê


E-Loan (EELN:Nasdaq - commentary - research) shares were slipping Thursday, even though the company posted strong earnings.

The company beat second-quarter profit estimates by a penny, as net income rose to $8.1 million, or 12 cents a share, from $900,000, or 2 cents a share, in the year-ago period. Revenue rose to $45.9 million from $21 million in the second quarter of 2002.

But following the report, E-Loan shares were down 57 cents, or 9%, at $5.77 on volume of eight million shares, four times its average trading volume. The share drop apparently was related to investors' concerns that an expected drop in home refinancing will hurt the consumer lender's business next year.

"The story is not this year. It's actually refinancing activity, which is expected to decline going into 2004, and could lead to lower earnings then," said Todd Halky, an analyst at Putnam Lovell.

Halky said refinancing volume was very robust this year, but "while the company has done an excellent job in increasing its revenue, it won't be enough to offset the decline in refinancing."

http://www.thestreet.com/_yahoo/markets/paulalace/10103436.html

Perhaps your enfn investment will finance your great-grandkids' college education.

The Shark

ENFN: The Slow Road to Wealth or Just Dead Money???

I unloaded my enfn position and moved onto bluer waters. Nothing like the fast action of SINA. Go long for a pt or two, then reverse to short for another point...and close out intra-day to end with 100% cash and no miserable stocks to gap against you at the open on the next day.

Anyways, I think eeln proves my point that enfn missed its golden window of opportunity to go somewhere. EELN released a very good eps report...and tanked hard on the news...which, in my humble sharky opinion, shows what the Street thinks of mortgage financing companies. Of course, FRE's woes don't help the sector much either. I noticed the spread on enfn tightened somewhat...but in a southerly direction.

Perhaps if you wait long enough, enfn will pay off nicely. May it be so for you. But I suspect you will have to embrace a true blue Buy & Hold Strategy...and have years of patience. (By the by, I personally think your money would be put to better use in FRE than in ENFN...that is, if FRE drops a little more. If mortgage stocks are your cup of tea, FRE is likely to produce a nice return sooner than enfn.)

Good luck...and Happy Investing...as well as adios, amigo, for it is back to the Nifty Fifty Boards for this shark.

AceSharkster

:)

ENFN: Definitely not an issue for "Sharks"!

Pretty slow 'round these parts, y'all!

mtg. rate:
The rates have definitely been bid up since the low in June, but it's a traders game; their assumption is increased credit demand due to the govt.'s deficit and an economic recovery in the business sector--I don't happen to agree w/ the second assumption. I'm trading on the recent "bump" being a local maxima, with the rates eventually stabilizing. Even so, the rates are historically low, with plenty of demand for origs. and refis on the horizon, IMO. My assumption is there will be plenty of overhang going 3-6 months out. I could, of course, be very wrong!

ENFN's a nobody anyway, not much "Action" around here for AceSharksters!

Good trades to you...

sf

Adios ENFN...

I believe that EELN qualifies as a competitor to ENFN. However, eeln is quite profitable and much more diversified than enfn. EELN actually has a low PE and solid balance sheet. EELN released very good eps today...and whammo! EELN's action was seen by me as a warning sign that enfn's sector is starting to cool off. If you are a patient man, I imagine your investment in enfn may pay off quite nicely. As for me, I prefer the action of going long sina for 2.5 pts and then shorting for 1 pt...all in the same day. So, enfn is too slow for a shark to toy with. I dumped my entire position for a $350 loss...and made that back in 15 minutes shorting amzn for a quick dip & out during a pump & dump.

By the by, in my humble opinion, it is the movement in the 10 year rates that should concern you.

Over & Out for good,
and Happy INVESTING,
The Shark
prston@msn.com

ace,

Me thinks you've been following ENFN longer than I have. It's been on my watch list for 1 whole month!

Short term: this is definitely small-change paper, but if they manage to make some coin next Q, and start talking--"we're thinkin' of moving to the AMEX"--then perhaps we'll get a pop.

Long term: your premise that mortgage rates will continue to increase is a bit premature. One blip on the following chart, does not make for a trend...yet. It's possible of course, but it could bounce off this bottom for quite some time.



best regards,
sf

So, Slow, you are the dirty dog that...

dropped enfn from .89 to .70! Yes, the spread is widening...for whatever good that does the shareholders. I bought 10K for an average of .74 (ouch). Today I placed 2700 for sale at .99...to see if someone might bite. No biters. (By the by, if you ever see 2700 on the ask, it is probably me testing the waters.)

I spoke to ENFN Investor Relations Officer Krista Sweat. She is not too swift. She could not give me any financial information (at least not off the top of her head). She did not even know the size of the float! Anyway, she sent me a financial packet...which was totally worthless...just cover sheets from their SEC filings.

Their web site is a classic 'mackeral in the moonlight'. Looks great at first glance...but stinks upon closer examination. Pretends to offer info for investors...but only gives superficial BS. (I loved the President's letter wherein he whines about his stock being undervalued.)

I think the biggest problem with ENFN is that the management doesn't know squat about promoting the company. Their PR is virtually nonexistent. I think management believes that they built a better mousetrap and now the world should beat a path to its door. Ha, ha.

Also, management is missing a golden opportunity to juice its stock price. What with interest rates so low, mortgage financing and refinancing has been running at an all time high, right? So, now is the time that the stock should shine & run. But, the stock remains dead money since the investing public does not know about ENFN.

Unfortunately, enfn's window of opportunity is closing. Have you know noticed the direction of 10 year Treasuries? The rates are rising...which appears to be the new trend. That affects mortgage rates. In other words, mortgage rates have probably hit their low...and it is upward going forward...and if that is correct, then mortgage financing has hit its peak and should slowly but steadily decline from here. AND if that should happen, enfn will not be very attractive. Look at eeln's chart as an example of the 'handwriting on the wall' for enfn's industry. (Want to buy my enfn 10K for 70 cents per share?)

As far as the numbers go, well, that goes as far as the AVAILABLE INFO...which is sketchy at best. It seems that enfn was starting do quite well last year, inspiring management to seek an AMEX listing. However, enfn decided to try a risky strategy in order to grab mkt share...which is not charging mortgage brokers a fee. That socked earnings. Also, the company claims extraordinary expenses associated with expanding their sales force and mkting activities. That's fine so long as it pays off, which remains to be seen...assuming enfn bothers to reveal anything to the public.

I am not saying that enfn does not have potential. As you know, cheap stocks like enfn are blazing hot at the moment. There is no reason why enfn could not become the next big 'pump & dump' 1-week wonder. No reason except for the fact that nobody is promoting this unknown jewel.

If I wasn't so busy shorting the s*h*i*t out of glamour trash, like qlgc, adtn, etc, I might have the time to tout enfn and thereby try to jack its price up. But even so, time, at least in the short-term, may have run out on enfn. (If the Naz corrects like it should from now to October, the small stock craze is going to take a big breather...and then if mortgage rates rise and cool off refinancing, enfn will truly be dead money for awhile...if not for a long while.)

If somebody doesn't start hustling this stock soon, you may regret adding to your position.

Well, opinions are like 'a-holes', everybody has one. So, take my comments for what they are worth. As for me, if I can not find some time to 'manage' my enfn position, I will dump it for a small loss. Again, I think the key to profits here is to get this company known...but management does not appear to be up to that task.

Good luck,
Ace

ace:

The MMs are, of course, widening the spread to discourage UTs.
Anyway, I added another 10k shares @ .70 this morning. I'm currently going through the numbers and applying the data provided in the recent PR--trying to ascertain an earnings projection for next Q.

Have you run the numbers yet? Any prediction/projection for next Q earnings?

best regards
sf

ENFN Up 32% On Heavy Volume, Clearing 50MA!!!

7/14/03: Entrust Financial Services, Inc. Posts a 50% Increase in Production for Quarter 2 of 2003


Entrust Financial Services, Inc. Posts a 50% Increase in Production for Quarter 2 of 2003 and Announces a New Member of the Executive Team
MONDAY, JULY 14, 2003 4:09 PM
- PR Newswire

DENVER, Jul 14, 2003 /PRNewswire-FirstCall via COMTEX/ -- The Board of Directors of Entrust Financial Services, Inc. ("Entrust" or the "Company ") (OTC Bulletin Board: ENFN), is pleased to announce that Entrust Mortgage, Inc. a wholly owned subsidiary of the Company, expects to report an increase of approximately 50% in loan production results for the quarter ending June 30, 2003 versus the quarter ending June 30, 2002. For the three months ended June 30, 2003 Entrust expects to report loan fundings of approximately of $86Million versus approximately $57Million in loan fundings in the three months ended June 30, 2002. Loan production for the first six months of 2003 is expected to be approximately $144Million versus $106Million in loan production in the first six months of 2002. The funding volume for June 2003 is expected to be a record month, with loan fundings of approximately $30Million. Michael Ebinger, Entrust's Chief Operating Officer added, "Our focus on expanding our solid foundation with key executive level, sales, and production staff hires has caused our loan fundings to increase dramatically without compromising our Gold Standard Service commitment. Our operations and sales force have never been stronger and we look forward to continued growth for the foreseeable future."

Also, the Company announces the addition of Jeffery D. Rudolph to the Executive team in the position of Chief Financial Officer. Scott Sax, Entrust President and CEO, commented, "We are thrilled to find a CFO who can provide the vision, advice, and leadership that is necessary for the Company's next phase of development and who can help us achieve the goals that we have all been striving toward. Jeff comes to the company with glowing recommendations and credentials. Jeff has vast business experience with 17 years as a CPA out of Coopers and Lybrand, an MBA from of the University of Denver in 1989, and many years as a CFO, COO, and Board member of several successful companies in various industries." David Hite has resigned as CFO of the Company to pursue other opportunities; however, he remains a Director of the Company.

About Entrust:

Entrust Financial Services, Inc. (OTC Bulletin Board: ENFN), is a publicly traded holding company with its core focus on mortgage banking, through its wholly owned subsidiary, Entrust Mortgage, Inc. Entrust Mortgage markets consumer financial products, including first and second mortgages, and home equity loans. Entrust Mortgage specializes in limited documentation loans for good credit quality borrowers. Entrust Mortgage, licensed as a mortgage banker in 37 states, provides its mortgage banking services to its contracted network of mortgage brokers that currently exceed 5,000 brokers and services directly to the consumer via its expanding retail network.

Note: A number of statements contained in this news release are forward- looking statements, as defined in the "Safe Harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve a number of risks and uncertainties, including the timely development and market acceptance of products and technologies, competitive market conditions, successful integration of acquisitions, the ability to secure additional sources of financing, the ability to reduce operating expenses and other factors described in the Company's filings with the Securities and Exchange Commission, including its annual and quarterly reports. The actual results that the Company may achieve may differ materially from any forward- looking statements due to such risks and uncertainties.


Contact: Krista Sweat (ksweat@entrustfs.com)
Entrust Financial Services, Inc.
6795 E. Tennessee Ave., 5th Floor
Denver, CO 80224
800-304-0326 or 303-322-6999 ext. 257


SOURCE Entrust Financial Services, Inc.

Krista Sweat of Entrust Financial Services, Inc.,
+1-800-304-0326, +1-303-322-6999, ext. 257, ksweat@entrustfs.com
(ENFN)


Copyright (C) 2003 PR Newswire. All rights reserved.