fykeylicious 1,099 Report post Posted November 2, 2009 Hey everyone... I started this thread b/c I just waded into the world of online investing, and it looks like I just effed myself already. Anyone know anything about investing? I have a question or two to throw at you... for starters, I bought some shares of CIT a few weeks ago, and lo and behold, they've declared bankruptcy today. Does anyone know if my stock is now null and void? Or, if I wait long enough, is there a possibility the stock could eventually go back up? Basically, I'm wondering about the influence CIT's bankruptcy will have on my shares. Any thoughts? Bueller? Share this post Link to post Share on other sites
TubaGirl 7 Report post Posted November 2, 2009 I have a friend that's a trader at the Board Of Trade. I'll ask him. Share this post Link to post Share on other sites
fykeylicious 1,099 Report post Posted November 2, 2009 I have a friend that's a trader at the Board Of Trade. I'll ask him. tubagirl, you're awesome. I have a feeling the news won't be good, though. I suck. Share this post Link to post Share on other sites
TubaGirl 7 Report post Posted November 3, 2009 I have a friend that's a trader at the Board Of Trade. I'll ask him. tubagirl, you're awesome. I have a feeling the news won't be good, though. I suck. I haven't heard back yet. Prolly tomorrow. Share this post Link to post Share on other sites
k80cat 0 Report post Posted November 3, 2009 Actually, your stock should be sound over the long term. WHen a company files for bankruptcy protection, it gives them a change to reorganize their business and their debts, and gets the creditors off their backs, so they can be more profitable. When a company emerges from bankruptcy, it can turn around if it has good leadership and a good business plan. Share this post Link to post Share on other sites
TubaGirl 7 Report post Posted November 3, 2009 He said that he's pretty sure that when a company declares bankruptcy, and the company restructures, they usually issue new stock. So the old stock becomes worthless. I'd hold on to them just in case. Share this post Link to post Share on other sites
fykeylicious 1,099 Report post Posted November 3, 2009 (edited) He said that he's pretty sure that when a company declares bankruptcy, and the company restructures, they usually issue new stock. So the old stock becomes worthless. I'd hold on to them just in case. sigh. I suppose that's what I'll have to do. Even if I were able to sell today, I'd still lose about 95% of my initial investment, so I'm pretty much screwed regardless. I was so proud of myself for finding what I thought was a "great stock" -- and apparently, the fact that they were going to declare bankruptcy has been "common knowledge" for months. I swear I researched it before investing, and I never found any mention of it. I've definitely learned my lesson Thank you both for your replies - I appreciate your time Edited November 3, 2009 by fykeylicious Share this post Link to post Share on other sites
TubaGirl 7 Report post Posted November 3, 2009 I talked with him today and he said that if you want to play the stock market, these books will help: Reminiscences of a Stock Operator by Edwin Lefevre How I Made $2,000,000 in the Stock Market by Nicolas Darvas Apparently you *MUST* read the first if you do any trading whatsoever. He said it has "everything" in it. And the second book is good for "beginners". Share this post Link to post Share on other sites
