Time for a little south of the border action. If US banks aren't lending, banks in other countries are. Banco De Chile (BCH) is being added to the Barchart Van Meerten New High portfolio. The bank is principally engaged in commercial banking in Chile, providing general banking services to a diverse customer base that includes large corporations, small and mid-sized businesses and individuals.
The recent priced action of a 16.28% increase last month has given the bank a Barchart 96% short term buy signal with a confirmation from the Trend Spotter (tm). The stock hit 12 new highs in the last 20 sessions and was 5 for 5 recently. It trades above its 20, 50 and 100 day moving averages at about 73.65 with a 50 day moving average of 62.19.
Wall Street brokerages have 2 buy recommendations published based on expected sales increases of 9.90% this year and 10.20% next year. Earnings increases are the real story with an EPS increase of 36.380% this year and 16.00% next year forecasted.
Investors are just beginning to discover this stock and the Motley Fool CAPS members vote the stock will beat the market 71 to 9 with the All Stars in agreement 30 to 3.
Banco de Chile is being added to the Barchart Van Meerten New High portfolio because:
- Recent price momentum has give it a Barchart 80% technical buy signal
- Barchart Trend Spotter (tm) buy signal
- Trading above its 20, 50 and 100 day moving average
- Wall Street buy recommendations based on expected increases sales and double digit increases on EPS
- Investor sentiment is positive and growing
Disclosure: No positions in BCH at the time of publication