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

To: Graham Osborn who wrote (60014)	10/26/2017 6:19:36 PM
From: Lazarus	Read Replies (1) \| Respond to of 78702

Did you see any small regional banks of interest to you among the TON you just finished looking at? I like UIFC because it serves a niche market and trades around BV and though it isnt setting the world on fire its chugging along and making decent earnings. Another investor who follows hundreds of small regional banks told me that in a buyout any price under BV or more than 1.6X BV is frowned upon and would draw scrutiny from regulators.

To: Graham Osborn who wrote (60014)	10/29/2017 9:18:29 AM
From: Spekulatius	Read Replies (1) \| Respond to of 78702

I am Leary of regional banks right now. Regional banks make their living of from commercial real estate and business loans. My concern is that a lot of this is lower quality retail related RE from small business, since the prime retail locations are typically larger malls that are owned by large operators, which do not use regional banks as lenders. Lower quality retail RE has significant headwinds due to completion from online (nothing new here), so I think over the long run, this could cause impairments or loan defaults in the next recession, especially,y if you add the possibility of rising interest rates to the mix. Most analysts believe that rising interest rates will be a boon to regional banks and that is true for the interest rate margins, but I have yet to see an acknowledgement they loan losses may increase significantly as well. I only own FMBL right now and have no desire to add anything.

To: Graham Osborn who wrote (60014)	11/22/2017 11:21:54 AM
From: Lazarus	Respond to of 78702

I just went over the last call report for UIFC and pretty pleased with what I see. Its trading under book value - which I figure to be about $3.00 per share with ytd earnings of around .15 cents It's PE of around 15 is very good from what I see. Overall it looks solid to me. I dont expect anything in the way of fast growth but quite confident it looks to be on a trajectory for a slow steady climb. Added 200 shares this am