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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Wallace Rivers who wrote (44193)	9/2/2011 5:01:51 PM
From: Paul Senior	Read Replies (1) \| Respond to of 78595

FNFG. Have looked at it. It's okay at my surface check. I'm suspicious though of the business environment it has branches in -- upstate NY, so I'll pass. From Barron's: August 15, 2011 KBW Finds 16 “Safe Haven” Bank Stocks By Avi SalzmanInvestors without a healthy appetite for risk have likely been shying away from banks stock for the past couple of weeks. But it doesn’t necessarily make sense to avoid the sector altogether, particularly as strong companies get sold off along with weak ones. Banks that return cash to investors and generate consistent earnings could be worth buying, note analysts at Keefe, Bruyette and Woods. “In this context, we are interested in safe haven ideas that offer attractive dividend yields, have steady earnings streams and generate solid returns in excess of their cost of capital to investors,” the analysts write. “The stocks that we are highlighting in this note are not necessarily cheap stocks, but we believe these franchises can justify higher valuations given the returns they generate above their cost of equity.” The KBW analysts only chose banks with healthy dividends, buyback plans (or expected buyback plans), and no TARP overhang. The bank stocks include: BancFirst Corporation ( BANF), Bryn Mawr Bank Corporation ( BMTC), Bank of Hawaii ( BOH), Cullen/Frost Bankers ( CFR), Chemical Financial ( CHFC), CVB Financial ( CVBF), First Financial Bancorp ( FFBC), FNB Corporation ( FNB), First Niagara Financial ( FNFG), Hancock Holding ( HBHC), New York Community Bank ( NYB), People’s United Financial ( PBCT), Renasant Corporation ( RNST), Trustmark ( TRMK), United Bankshares ( UBSI), and Westamerica Bancorp ( WABC). ==================== I got a fill today for a tracking position in BOH. finance.yahoo.com

To: Wallace Rivers who wrote (44193)	9/3/2011 2:20:03 PM
From: Asymmetric	Read Replies (1) \| Respond to of 78595

I own some FNFG and my timing was atrocious - buying it just before the announcement of their purchase of HSBC New York branches. However, yield at time of purchase was about 5.2%...so doesn't make sense to sell, take a loss, and then hold the resultant cash at a yield of 1% or less. Makes even less sense now, so I guess I'm a stuckholder. Part of what's holding down the stock is market knows FNFG must issue about $750-$800 million in new stock and raise $350 to $400 million in new debt to pay for the acquisition.