These posts were just published on ZYX Buy Change Alert.
This is a short-term trade suitable only for aggressive investors. Consider initiating a 20% tranche in CIT in the zone of $41.80 to $42.45.
CIT is a speciality finance company. IT has long been rumored as a takeover candidate. Now there is a report that it has hired Goldman Sachs. In a take out the stock can fetch close to $60. However if there is no take out the stock will fall. Fair value based on ZYX Quantitative Screen is $36.to $40.50.
To limit potential losses consider stops in the zone of $38.83 to $39.36. Those who want a tighter stop can consider $41.11 to $41.23 at the risk of being whipsawed.
We have a fill at $42.14.