Profit Fan

First BanCorp: Recovering, But Not Much More Meat On The Bone

Management at First BanCorp (NYSE:FBP) has to have had one of the busiest second quarters of 2013. Since I last wrote, the Puerto Rican bank has continued to aggressively sell its troubled assets, deal with a significant tax increase and stomach a large $66.6 million loss related to collateral pledged to Lehman. In my first article about First BanCorp, I concluded that the bank was probably worth closer to 1.25Xs its tangible book value (compared to the 1.07Xs TBV that it was trading for) based on comparables but that even with this 16% upside potential, I wouldn't hold my breath because the bank's correction had mostly run its course.

Since that article, shares rallied well above the...

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