The Dirty Dozen Are Still in Market's Crosshairs

Time to revisit the Shorts' Dirty Dozen. These were the mortgage companies (notice, I ain't callin' 'em just subprime anymore) that I identified as candidates for being crushed in this market. Uniformly the execs at the companies that I talked about hated this piece.

I could care less.

Without further ado:

1. IndyMac(IMB Quote - Cramer on IMB - Stock Picks): $29 to $21
2. Centerline Holdings(CHC Quote - Cramer on CHC - Stock Picks) (formerly CharterMac and ARCap): $19 to $10
3. Friedman Billings(FBR Quote - Cramer on FBR - Stock Picks): $5.10-$4.60
4. Fremont General(FMT Quote - Cramer on FMT - Stock Picks): $7.40-$5.50
5. Redwoods Trust(RWT Quote - Cramer on RWT - Stock Picks): $54-$28
6. Newcastle Investment(NCT Quote - Cramer on NCT - Stock Picks): $27-$15
7. American Home Mortgage(AHM Quote - Cramer on AHM - Stock Picks): $25-$1
8. Gramercy(GKK Quote - Cramer on GKK - Stock Picks): $30-$22
9. RAIT(RAS Quote - Cramer on RAS - Stock Picks): $29-$8
10. Accredited(LEND Quote - Cramer on LEND - Stock Picks): $9.43-$8
11. Thornburg Mortgage(TMA Quote - Cramer on TMA - Stock Picks): $23-$23
12. CapitalSource(CSE Quote - Cramer on CSE - Stock Picks): $24-$16

(I left out NovaStar(NFI Quote - Cramer on NFI - Stock Picks) because I said it was so bad I wouldn't mention it -- but it did a four-for-one reverse split and is almost back to where it was before this!)

Only Thornburg is at its price. The others are disasters.

My issue is, why would anyone want to own any of these? Why would anyone want to lend to one of these?

This is the group that is squarely in the market's crosshairs.

To me it's still the epicenter. It's a nightmare out there, and I don't care about the defense of these companies. All I can tell you is that when I published this list in March it was widely heralded as a panic attack not much different form the excellent panic piece that Doug Kass penned not that long ago. All I can say is, who's panicked now?!?

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Please note that due to factors including low market capitalization and/or insufficient public float, we consider American Home Lenders and NovaStar to be a small-cap stock. You should be aware that such stocks are subject to more risk than stocks of larger companies, including greater volatility, lower liquidity and less publicly available information, and that postings such as this one can have an effect on their stock prices.

At the time of publication, Cramer had no positions in any of the stocks mentioned in this post.