Profitable regional Banks trading below book value Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : Profitable regional Banks trading below book value

Public Reply Prvt Reply Mark as Last Read File

PreviousNext

From: JakeStraw	1/29/2010 3:57:07 PM
	of 1

Four Bank Stocks Boosted by Glass-Steagall 2.0 Here are four such banks I expect to do very well in the coming months as a result of these planned changes in the financial industry: Prosperity Bancshares (PRSP) -- Prosperity is a slightly larger outfit than the other banks listed below, but not by much. The company has a market cap of under $2 billion and operates about 200 full-service banking locations in and around Texas. However, it's what PRSP does with its small operations that makes all the difference. The stock recently hit a 52-week high in late January thanks to a blowout earnings report. The company has grown its profits for each of the last four quarters and has topped Wall Street expectations every time. That's a track record of success hard to come by in any industry, let alone the financial sector. Great Southern Bancorp (GSBC) -- This thinly traded regional bank only sees a volume of about 30,000 shares a day, but is a great buy because it has stuck to low-risk consumer banking in the Missouri area and weathered the credit crisis very easily. The company's three previous quarterly reports boasted earnings surprises of 760%, 2,300% and 855% -- so there's plenty of reason to expect this stock to keep flying high in 2010. CNB Financial (CCNE) -- CNB is an even smaller outfit, with a volume of only a few thousand shares a day and only a few dozen full-service branches around Pennsylvania. But remember, smaller is better under the new rules -- especially when the company is run right. My proprietary stock screening tool gives this company top marks for sales growth, earnings growth and earnings momentum. What's more, you get a nice dividend of 66 cents per share for owning this very affordable stock. National Bankshares (NKSH) -- Serving southwestern Virginia, this small regional bank shares the low volume and small market cap of the previous two picks. But it also shares the tremendous growth potential and low-risk philosophy that makes the other pair great buys. NKSH has been consistently profitable even during the depth of the recession thanks to loan losses of just 0.77%. Shares of this bank are actually higher now than at any point in the last three years. That's a sign of a bank that has weathered the financial crisis just fine and is doing business the right way. investorplace.com

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

PreviousNext