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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Giordano Bruno who wrote (117766)	4/21/2008 8:16:56 PM
From: Peter V	Read Replies (2) \| Respond to of 306849

I thought Bove called the bottom? HE DID, HE DID! (to paraphrase Tweety) Message 24432248 A "once-in-a-generation opportunity" in bank stocks? Richard Bove, a veteran and oft-quoted bank stock analyst at boutique investment research firm Punk Ziegel & Co., may have helped drive Thursday's sharp rebound in depressed financial issues with a report that didn't mince words. "The financial crisis is over," he declared in the report. With the Fed fully engaged in bolstering the financial system, and more government help likely (see item No. 1 above), Bove said bank stocks were poised to recover from what he has previously termed "ridiculous" price levels for some, including Citigroup Inc.* "This is a once-in-a-generation opportunity" in the banks, Bove said. The last such opportunity, he said, was in 1990, at the height of a sell-off tied to soaring losses on commercial real estate loans. His picks include Bank of America Corp. ($41.86 on Friday), Pittsburgh-based PNC Financial Services Group Inc. ($67.51) and San Francisco-based UnionBanCal Corp., parent of Union Bank of California ($51.65). Bove was prescient about the current sub-prime mortgage debacle, warning in a 2005 report about absurdly lax lending and predicting, "This powder keg is going to blow." But he was a bit early with that call. Likewise, his table-pounding for some of the banks didn't just begin Thursday. He shifted to a "buy" rating on Citigroup in November, when it was at $30.70. On Monday it closed at $18.62, before rallying to end the week at $22.50. Bove advised selling major brokerage stocks, including Bear Stearns, on Dec. 4, then shifted to "hold" for most of them Feb. 4. Still, his candor about the financial business has always been refreshing. Whether bank stocks soar or crater from here, everyone's going to remember Bove's call. YEP! We are remembering!!! .