Valley Financial Corporation (NASDAQ:VYFC) is exactly the type of bank that I am looking for. It is under-followed, trading at a very attractive discount based on current earnings and is at a size that doesn't require any sort of elephant expansion to grow the bank by a material amount. This is not to say that there isn't additional risks that come with investing in a smaller bank, the same opportunity for growth, for instance, means that it doesn't take too many bad loans to topple the bank's portfolio. But, I believe the pros outweigh the cons here and, with that said, this article will focus on the bank's credit quality and the two big reasons why I think...
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