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Dimon Would Be Best to Lead Treasury in Crisis, Buffett Says


Liberty

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JD would not come off well to people in the government. I remember when i first started listening to JPM conference calls and I thought immediately "JD comes across as a real ahole". he isn't, he is just very passionate but most people won't stand around to discover the truth.

 

If JD left JPM, i would seriously consider selling my shares.

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JPM has benefited tremendously from the financial crisis....not only has their domestic share gone up but so has their investment banking/trading share ...i really should have loaded up at tangible book but I'm adding slowly from levels here.....WFS is good too but its trading at a 30% premium....

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JPM has benefited tremendously from the financial crisis....not only has their domestic share gone up but so has their investment banking/trading share ...i really should have loaded up at tangible book but I'm adding slowly from levels here.....WFS is good too but its trading at a 30% premium....

 

Well, the stock is still selling at less than 10% over tangible book. Also, take a look at the JPM treasury warrants. I own slightly more in warrants than in stock (dollar amounts). The warrants expire in October 2018, have a strike price of $42.42 and are currently trading at $10.94. If you believe that the stock is trading well below intrinsic value, then the warrants are a better deal than the stock, I think.

 

I own WFC too, but it has been expensive compared to the other big banks for a while now.

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JPM has benefited tremendously from the financial crisis....not only has their domestic share gone up but so has their investment banking/trading share ...i really should have loaded up at tangible book but I'm adding slowly from levels here.....WFS is good too but its trading at a 30% premium....

 

Well, the stock is still selling at less than 10% over tangible book. Also, take a look at the JPM treasury warrants. I own slightly more in warrants than in stock (dollar amounts). The warrants expire in October 2018, have a strike price of $42.42 and are currently trading at $10.94. If you believe that the stock is trading well below intrinsic value, then the warrants are a better deal than the stock, I think.

 

I own WFC too, but it has been expensive compared to the other big banks for a while now.

 

I don't know why I don't have any warrants on any banks.  I think almost every bank is cheap

 

Do the JPM ones have dividend/share repurchase clauses? 

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I don't know why I don't have any warrants on any banks.  I think almost every bank is cheap

 

Do the JPM ones have dividend/share repurchase clauses?

 

The JPM warrants have similar provisions as the treasury warrants for BAC, WFC etc. There is some protection against share issuance, but I don't remember the details. The strike price gets adjusted for dividends in excess of $1.52 per year.

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