Most investors are currently avoiding European banks due to the myriads of issues facing the whole banking industry. It is almost impossible to evaluate a bank’s balance sheet since there are many known unknowns. Austria’s Erste Bank (EBKDY) is a classic example of this scenario. Just when investors, including myself, thought that the worst was …
The four giant U.S. banks – Bank of America (BAC), Citigroup (C), JPMorgan Chase (JPM) and Wells Fargo (WFC) – hold billions of dollars in assets. However bigger is not always better in the banking industry. Though the big banks have the full support of the U.S. government to bail them out if they run …
Continue reading ‘Performance Comparison: Little Bank vs. Four Super Banks’ »
The US banking industry is still suffering from many fronts despite the billions of dollars in bailouts in the past few years. Accordingly investors are dumping bank stocks with no end in sight. Today Bank of America (BAC), one of the super-banks fighting for investors’ respect, reached a new low of $5.52. Like Citigroup (C), …
Continue reading ‘Goldman Sachs: Correlation Between US and European Banks Rising Dramatically’ »
Ever since the Global Financial Crisis (GFC) of 2008, investors’ confidence in the global banking industry has declined tremendously. In the developed world, banks are still saddled with unknown losses mostly tied to real estate and derivatives despite billions of dollars pumped into them as part of the various bailout programs after the crisis.Though emerging …
Continue reading ‘Comparison of Developed and Emerging Market Banks on P/B Ratios’ »