Well-known banking industry star analyst Dick Bove was on CNBC talking about the big bank stocks. He thinks Morgan Stanley (MS, Financial) is cheap and recommend buying.
Banks have good earning power so potential of upside is great. He said, "Just about everything which should be going right for the big banks is going right." Loans are up substantially, margins are going higher, non-interest income is moving higher, and costs are under control," so bank earnings going forward should be very strong. This is a very good group to be in for the year 2012.
Here is the video; Dick comes in after about 25 seconds into the video:
http://bloom.bg/HaVdC4#ooid=A2cGFkNDpZAAnX1KtUP4LBRFRFe35Xns
Banks have good earning power so potential of upside is great. He said, "Just about everything which should be going right for the big banks is going right." Loans are up substantially, margins are going higher, non-interest income is moving higher, and costs are under control," so bank earnings going forward should be very strong. This is a very good group to be in for the year 2012.
Here is the video; Dick comes in after about 25 seconds into the video:
http://bloom.bg/HaVdC4#ooid=A2cGFkNDpZAAnX1KtUP4LBRFRFe35Xns
