C is the most undervalued big cap# Stock
p*r
1 楼
Its book value is $65, tangible book value is $55 and PE is less than 10.
You can figure out what is PB ratio.
One negative thing is it does not have good dividend because US government
didn't approve it this year.
However, it started using its cash to retire large amount of preferred
shares/notes, which has 6-7% div. This will save a lot of money for the bank
. The money saved from the div will contribute to the earning.
If next year it gets approval from US government for the capital return plan
, it will be easily traded between tangible book and book value. I would say
$60 is easy.
Keep in mind since it does not pay much dividend, its book value/tangible
book value also go up much faster than other banks. It can make more than $
12B profit/year, this will go to the book value.
You can figure out what is PB ratio.
One negative thing is it does not have good dividend because US government
didn't approve it this year.
However, it started using its cash to retire large amount of preferred
shares/notes, which has 6-7% div. This will save a lot of money for the bank
. The money saved from the div will contribute to the earning.
If next year it gets approval from US government for the capital return plan
, it will be easily traded between tangible book and book value. I would say
$60 is easy.
Keep in mind since it does not pay much dividend, its book value/tangible
book value also go up much faster than other banks. It can make more than $
12B profit/year, this will go to the book value.
