International Bancshares (NASDAQ:IBOC) reported underwhelming quarterly earnings, due to added credit loss provisions and lower net interest margins. As one of the largest independent banks in Texas, International Bancshares remains in a position of relative strength, with a large capital position, strong liquidity and loyal deposit base. Many of these well-capitalized financial institutions are trading at single digit multiples, priced lower than assumptions for the industry's worst-case scenario. So, we believe the upside potential is substantial in an economic recovery, fits and spurts of which are already underway outside the U.S.
I am the editorial director at GuruFocus. I have a BA in journalism and a MA in mass communications from Texas Tech University. I have lived in Texas most of my life, but also have roots in New Mexico and Colorado. Follow me on Twitter! @gurusydneerg