Squawkbox market analysis with Mike Tarsala from Thomson Financial Transcript: I'm Mike Tarsala with Thomson Squawk Box, with your weekly On the Radar Report. Bank of America, the largest financial company by market cap, is starting to get some attention as a value play. We see $46 as a make-or-break price for this important banking sector stock. Given continued weakness in financials, we can't give Bank of America shares a full endorsement. But here are the top 5 reasons for value players to take a look at this stock: Number one: Eliminating 3,000 positions should improve margins. Number two: The dividend yield on the stock is 5.5% versus the 10-year at 4.3%. Number three: A long-term uptrend dating to December 2000 remains intact if it can stay above $46. Number four: The stock is very low risk based on the Thomson Ratings system; and it scores a 9 out of 10 overall. Number five: There are no other big shoes left to drop in the financial sector. All the majors have now reported. And the negative sentiment in the sector could be abating. For 5 additional reasons, and for expert commentary all day long, visit Thomsonsquawkbox.com.
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Added: Oct 30, 2007 |
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Author: ThomsonFinancial |
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