David Herro of Oakmark Finding Value in European Banks
You know there are home runs to be had. But you know there is massive capital destruction to be had as well.
- Herro doesn’t believe the European banking sector is going to be destroyed for generations.
- This is what value investing is all about.
- Holds Credit Suisse (CS), Lloyd’s (LYD) and Banco Santander (STD).
- Credit Suisse is selling at lows not seen since the financial crisis, despite having a very strong balance sheet.
- Banco Santander is guilty for being based in Spain; reality is that it has more diversified operations.