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2015
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You can't "do the work and buy" when it is totally unknown what the banks can potentially earn in the future! Where will earnings come from? Our financial system is in transition from what was to who knows what. Yes, banks look cheap compared to what they have been valued in the past, but NO ONE thinks the banks are going to bounce back to the profit levels they had before housing prices began to fall. It is yet to be seen what they can earn and what a reasonable price multiple for them will be. The price action today certainly disagrees with your premise. You can't make money fighting the trend. Tom, do you also play catch with butcher knives?
Jul 28 17:06 pm
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