mankap Posted December 18, 2012 Share Posted December 18, 2012 Dick Bove says that BAC could pay 30% of its earnings in dividend for next couple of years. I was thinking 0.30 is the upper limit for the dividend.If Bove is true , we can see dividend of >0.30. http://www.cnbc.com/id/100322436 He's predicting that investors will flock back to the stocks next year as banks start returning more capital to shareholders. "Because the industry is massively overcapitalized and has an enormous amount of excess liquidity, the dividends will go up the stock buyback programs will increase," he said. He expects Bank of America, for instance, to pay out 30 percent of earnings in dividends over the next couple of years. Other banks will also get to a payout ratio of around 30 or 35 percent, he said. So far, the market hasn't recognized the "superb" outlook for the industry, Bove said. (Read More: Boldest Predictions 2013.) While Bove is not covering individual names after having left Rochdale Securities last week, he said the banks with brokerage operations are in the sweet spot. "Broadly speaking, if you think about the fact that there's been this huge increase in money supply over the last couple of years by virtually every major central bank in the world and that the brokerage-oriented banking companies — Goldman Sachs, Morgan Stanley, Bank of America, Citigroup and JPMorgan — have not benefited yet by the huge increase in supply," he said. "You have to assume that that money will get converted into securities, that trading activity will pick up dramatically, that investment banking opportunities right now are probably greater than they've been in decades." Link to comment Share on other sites More sharing options...
ericd1 Posted December 18, 2012 Share Posted December 18, 2012 I like Bove's thinking!!! Link to comment Share on other sites More sharing options...
txlaw Posted December 18, 2012 Share Posted December 18, 2012 C'mon Sanjeev -- try to get us to $12! Link to comment Share on other sites More sharing options...
txlaw Posted December 18, 2012 Share Posted December 18, 2012 Bank deposits continue to surge: http://www.bloomberg.com/news/2012-12-18/bank-deposits-surge-2-trillion-more-than-loans-credit-markets.html Link to comment Share on other sites More sharing options...
schin Posted December 18, 2012 Share Posted December 18, 2012 Attached is a spreadsheet based off another boardmember's base spreadsheet. You can use this run various dividend scenarios. Packer Based on the spreadsheet, there are better values than BAC warrants. I see HIG, AIG, LCC and CapitalOne to name a few. Thoughts? Link to comment Share on other sites More sharing options...
txlaw Posted December 18, 2012 Share Posted December 18, 2012 BofA Shares More Than Double for Year as CEO Boosts Capital: http://www.bloomberg.com/news/2012-12-18/bofa-shares-more-than-double-for-year-as-moynihan-boosts-capital.html Link to comment Share on other sites More sharing options...
berkshiremystery Posted December 18, 2012 Share Posted December 18, 2012 Treasury plans to sell bulk of TARP stakes 2012-12-18 http://www.reuters.com/article/2012/12/18/us-treasury-tarp-idUSBRE8BH0Q620121218?feedType=RSS&feedName=innovationNews&rpc=43 The U.S. Treasury plans to sell off its shares in about two-thirds of the remaining banks that took government bailout money during the financial crisis over the coming year, the department said on Tuesday. The government still owns stakes in 218 banks following controversial rescues that proved deeply unpopular. Link to comment Share on other sites More sharing options...
fareastwarriors Posted December 18, 2012 Share Posted December 18, 2012 Investment Banking Scorecard from Dealogic http://graphicsweb.wsj.com/documents/INVESTMENT/InvestmentBankQuarterly_1007.html Link to comment Share on other sites More sharing options...
nkp007 Posted December 18, 2012 Share Posted December 18, 2012 Guys $BAC has run up quite a bit and I expect a market pullback before a retesting of highs. The chat shows a twin peak pattern signifying short term headwinds followed by a long-term retest of upper limits of 2010. Given the fiscal cliff and the fact that there's uncertainty, it's best to convert to cash and hold the buy, sell the sell, and higher highs lower lows. SAID NO ONE EVER ON THIS BOARD. Link to comment Share on other sites More sharing options...
fareastwarriors Posted December 18, 2012 Share Posted December 18, 2012 Bank Stocks Offer Best Opportunity in Years: Whitney CNBC article/video with Meredith Whitney http://www.cnbc.com/id/100325375 Link to comment Share on other sites More sharing options...
Liberty Posted December 18, 2012 Share Posted December 18, 2012 Guys $BAC has run up quite a bit and I expect a market pullback before a retesting of highs. The chat shows a twin peak pattern signifying short term headwinds followed by a long-term retest of upper limits of 2010. Given the fiscal cliff and the fact that there's uncertainty, it's best to convert to cash and hold the buy, sell the sell, and higher highs lower lows. SAID NO ONE EVER ON THIS BOARD. Damn, you scared me for a second :P Link to comment Share on other sites More sharing options...
racemize Posted December 18, 2012 Share Posted December 18, 2012 Bank Stocks Offer Best Opportunity in Years: Whitney CNBC article/video with Meredith Whitney http://www.cnbc.com/id/100325375 So, listening to this and all her reasons, why wasn't she upgrading 6 months ago? Link to comment Share on other sites More sharing options...
Uccmal Posted December 18, 2012 Share Posted December 18, 2012 Guys $BAC has run up quite a bit and I expect a market pullback before a retesting of highs. The chat shows a twin peak pattern signifying short term headwinds followed by a long-term retest of upper limits of 2010. Given the fiscal cliff and the fact that there's uncertainty, it's best to convert to cash and hold the buy, sell the sell, and higher highs lower lows. SAID NO ONE EVER ON THIS BOARD. lol, I bet I am not the only one this rapid runup makes a little nervous, though. I have sold about 3000 notional shares out of the 90000 I hold in various accounts. I fully expect a drop at some point. There, I said it. :) Link to comment Share on other sites More sharing options...
moore_capital54 Posted December 18, 2012 Share Posted December 18, 2012 We sold some BAC today just the lots we bought @ 5.50 - I have a rule - always sell some of your position when you are up 100% irregardless of fundamentals.. :) Happy Holidays! Link to comment Share on other sites More sharing options...
StubbleJumper Posted December 18, 2012 Share Posted December 18, 2012 Dear Santa Sanj: I have been a very well behaved investor this year. At no point in time did I conduct any form of technical analysis, I accepted no stock tips from my friends, and I ignored all of the talking heads. Given my model behaviour, I would ask for a little Christmas gift that should please both you and me: I would like to wake up Christmas morning with BAC at tangible book. I understand that there is a well defined link between the price of BAC and your eating habits, so I would like to express my appreciation for the gluttony that you must have engaged in over the past month. However, trust me that I will leave several trays of cookies and a gallon of whole milk for you on Christmas Eve. I implore you to eat every last cookie and drink every drop of milk in an effort to get that stock price over the top. Thank you advance, SJ Link to comment Share on other sites More sharing options...
compoundinglife Posted December 18, 2012 Share Posted December 18, 2012 Dear Santa Sanj: I have been a very well behaved investor this year. At no point in time did I conduct any form of technical analysis, I accepted no stock tips from my friends, and I ignored all of the talking heads. Given my model behaviour, I would ask for a little Christmas gift that should please both you and me: I would like to wake up Christmas morning with BAC at tangible book. I understand that there is a well defined link between the price of BAC and your eating habits, so I would like to express my appreciation for the gluttony that you must have engaged in over the past month. However, trust me that I will leave several trays of cookies and a gallon of whole milk for you on Christmas Eve. I implore you to eat every last cookie and drink every drop of milk in an effort to get that stock price over the top. Thank you advance, SJ Hmm, I would prefer a Christmas Eve flash crash down to $5 so I can increase my position at lower prices :) Link to comment Share on other sites More sharing options...
nkp007 Posted December 18, 2012 Share Posted December 18, 2012 With all this talk about TBV... what is the latest tangible book value? Link to comment Share on other sites More sharing options...
ERICOPOLY Posted December 18, 2012 Share Posted December 18, 2012 With all this talk about TBV... what is the latest tangible book value? Just mulitply today's closing price by 18.7% and you'll get roughly the Q3 tangible book of $13.48. Link to comment Share on other sites More sharing options...
nkp007 Posted December 19, 2012 Share Posted December 19, 2012 With all this talk about TBV... what is the latest tangible book value? Just mulitply today's closing price by 18.7% and you'll get roughly the Q3 tangible book of $13.48. If it hits $13.48 at any point before Christmas, I'll buy http://www.amazon.com/Tap-Dancing-Work-Practically-Everything/dp/1591845734/ref=pd_sim_b_2 for a bunch of you in this thread. Link to comment Share on other sites More sharing options...
ERICOPOLY Posted December 19, 2012 Share Posted December 19, 2012 There's an embedded video of her pumping the stock at the bottom of the story: http://www.bizjournals.com/charlotte/blog/bank_notes/2012/12/meredith-whitney-helps-fuel-bank-of.html?ana=yfcpc Link to comment Share on other sites More sharing options...
Parsad Posted December 19, 2012 Share Posted December 19, 2012 Dear Santa Sanj: I have been a very well behaved investor this year. At no point in time did I conduct any form of technical analysis, I accepted no stock tips from my friends, and I ignored all of the talking heads. Given my model behaviour, I would ask for a little Christmas gift that should please both you and me: I would like to wake up Christmas morning with BAC at tangible book. I understand that there is a well defined link between the price of BAC and your eating habits, so I would like to express my appreciation for the gluttony that you must have engaged in over the past month. However, trust me that I will leave several trays of cookies and a gallon of whole milk for you on Christmas Eve. I implore you to eat every last cookie and drink every drop of milk in an effort to get that stock price over the top. Thank you advance, SJ Dear Stubble, You can't always get what you want You can't always get what you want You can't always get what you want But if you try sometimes, you might find You get what you need No tangible book before Christmas, but you will definitely receive a lovely present this year nonetheless...BAC over $12 before Christmas morning. Cheers! Link to comment Share on other sites More sharing options...
Investmentacct Posted December 19, 2012 Share Posted December 19, 2012 Any guess on what price BAC-wta make to if BAC trades at 13.48 TBV which is above warrant expiry 13.3 and make them in money. Any chance of returning to issue price of 7 when equity crosses 13.3? ie. BAC-wta accelerate? Apologize to put this question as it leads to Black-Scholes. But, since Wall Street joins warrants party they may run all those models instead of verifying business#s. Link to comment Share on other sites More sharing options...
rjstc Posted December 19, 2012 Share Posted December 19, 2012 Dear Santa Sanj: I have been a very well behaved investor this year. At no point in time did I conduct any form of technical analysis, I accepted no stock tips from my friends, and I ignored all of the talking heads. Given my model behaviour, I would ask for a little Christmas gift that should please both you and me: I would like to wake up Christmas morning with BAC at tangible book. I understand that there is a well defined link between the price of BAC and your eating habits, so I would like to express my appreciation for the gluttony that you must have engaged in over the past month. However, trust me that I will leave several trays of cookies and a gallon of whole milk for you on Christmas Eve. I implore you to eat every last cookie and drink every drop of milk in an effort to get that stock price over the top. Thank you advance, SJ This is great. Very clever. There are some great chocolate candy makers in the town where I live. Also Salt Water Taffy that is sent all over the states. I'll arrange to send some to him is it would help. Link to comment Share on other sites More sharing options...
ERICOPOLY Posted December 19, 2012 Share Posted December 19, 2012 Am I the only one that hasn't sold anything yet? Link to comment Share on other sites More sharing options...
hyten1 Posted December 19, 2012 Share Posted December 19, 2012 I have not sold anything yet Link to comment Share on other sites More sharing options...
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