Bank Of America is being sold off at this moment. The stock is now trading at $14.34. How low will it get?
Why is BAC a BUY?
Lower Credit Cost
the economy is improving, more people are finally getting jobs, this means lower delinquencies and lower charge offs. BAC will experience lower Bad Debt Expenses and this will boost future earnings.
$20BLN earnings capability!
Don’t forget that when the economy fully recovers, BAC will be able to earn $20bln annually, and that would allow it to trade at $300bln market cap! That is $30.
PAULSON dumping it? Or will he buy more?
I am guessing that Paulson still believes in this recovery. He will hold his shares.
SIMPLE FUNDAMENTALS
Don’t think too much. Simple trading is always better than complex trading.
I will buy BAC at $14.1 - $14.3
TP $17
1 comment:
your analysis is a not good enough. I buy AA,MU, and X but all are down. I want to know if BAC is a buy on this level @13.98. What is your basis of all this stocks? I hope that these stocks are bounced back next week.
Post a Comment