Spekulatius Posted March 10, 2023 Share Posted March 10, 2023 (edited) Banks Are fun - just have a look at $FRC. Bought more $USB $ESB and $CATY myself. I always wondered what Fintwit experts are seeing in that one. Not any more. Edited March 10, 2023 by Spekulatius Link to comment Share on other sites More sharing options...
Spooky Posted March 10, 2023 Share Posted March 10, 2023 Bought some more Citi, BRK, VOO, GVLU Link to comment Share on other sites More sharing options...
Gregmal Posted March 10, 2023 Share Posted March 10, 2023 Still can’t really find much to buy. So I bought some MKL 1 Link to comment Share on other sites More sharing options...
Red Lion Posted March 10, 2023 Share Posted March 10, 2023 (edited) I bought a hair more KKR and new starter in OWL. Edited March 10, 2023 by RedLion Link to comment Share on other sites More sharing options...
John Hjorth Posted March 10, 2023 Share Posted March 10, 2023 4 minutes ago, Gregmal said: Still can’t really find much to buy. So I bought some MKL @Gregmal, - Never thought - ever - I should see this posted by you. [Please don't take it too seriously! ] Link to comment Share on other sites More sharing options...
LC Posted March 10, 2023 Share Posted March 10, 2023 Added BAC, TV Proceeds (well, not received yet) from the FSTX tender that went thru. Was interesting to see it show up on Fairfax's book - will be a nice gain for them as well. Link to comment Share on other sites More sharing options...
dealraker Posted March 10, 2023 Share Posted March 10, 2023 BAC for me. Link to comment Share on other sites More sharing options...
CorpRaider Posted March 10, 2023 Share Posted March 10, 2023 @Spekulatius You're referencing Cathay? That's the California kind of Chinese-American dominant bank? Link to comment Share on other sites More sharing options...
dealraker Posted March 10, 2023 Share Posted March 10, 2023 (edited) 11 minutes ago, CorpRaider said: @Spekulatius You're referencing Cathay? That's the California kind of Chinese-American dominant bank? Ah ha! My first co-owner of CATY! CATY was written up in Outstanding Investor Digest in 1994 and it was beyond incredible to read. The bank was earning almost 20% on equity selling for book value. There were earthquakes, recessions, fires, OJ riots, etc. knocking stuff all down and around. All while the east coast banks, small banks, were earning 10% of equity and selling for 2.5 to 5 times book value based on Eddie Klutzfield (Crutchfield) being willing to pay up and flush all the equity and expenses down in a one-time charge such that "I can pay 5 times book and make it all work out." So Eddie at First Union went through 20 years of no book value growth (those flushes...ya know) and eventually was "earning" (fake earnings, fake ROE) 30% on equity (there wasn't any equity). Ole Buffett once said, "Librarians read financial statments; investors need to know what the figures mean." 30% on equity for First Union was just 30% on evaporation. Edited March 10, 2023 by dealraker Link to comment Share on other sites More sharing options...
CorpRaider Posted March 10, 2023 Share Posted March 10, 2023 (edited) Haha, yeah I worked with some guys built up banks and sold to First Union several times. They ruined Wachovia faster than I thought they would. Edited March 10, 2023 by CorpRaider Link to comment Share on other sites More sharing options...
DooDiligence Posted March 10, 2023 Share Posted March 10, 2023 The Wells Fargo stepped in to complete the massacre. Link to comment Share on other sites More sharing options...
n.r98 Posted March 10, 2023 Share Posted March 10, 2023 Bought some SUMO Link to comment Share on other sites More sharing options...
DooDiligence Posted March 10, 2023 Share Posted March 10, 2023 (edited) Patience has resulted in hitting a stinker bid at $48 for C that's been marinating for a bit. I've got another one in at $46 that would fill a 2% position. Edited March 10, 2023 by DooDiligence Link to comment Share on other sites More sharing options...
Intelligent_Investor Posted March 10, 2023 Share Posted March 10, 2023 IDFB at low $11s Link to comment Share on other sites More sharing options...
dipod Posted March 10, 2023 Share Posted March 10, 2023 (edited) 5 hours ago, Spekulatius said: @dipod - what is your take at $ZION. they also got a bunch of AFS securities and moved a large bunch to HTM ( yellow flag). They also have seen a huge bump in deposits in 2020 and have seen some of them disspear. the bank is very cheap, if they can hold on to their security portfolio and they seem to have very low cost deposits, but there are definitely reasons why some investors are concerned, based on a preliminary look. Edit - i just saw that they also drawn ~$10B from federal funds already, so they are definitly liquidity constraint. those Federal funds loans are quite expensive and might lead to negative carry relative to their securities. @SpekulatiusBought as part of a basket of banks. There's risk there but the price is just too cheap to ignore. Of all the banks, it's my smallest position. Bulk is in BAC, WFC, and C. Edited March 10, 2023 by dipod Link to comment Share on other sites More sharing options...
sleepydragon Posted March 10, 2023 Share Posted March 10, 2023 2 hours ago, dealraker said: Ah ha! My first co-owner of CATY! CATY was written up in Outstanding Investor Digest in 1994 and it was beyond incredible to read. The bank was earning almost 20% on equity selling for book value. There were earthquakes, recessions, fires, OJ riots, etc. knocking stuff all down and around. All while the east coast banks, small banks, were earning 10% of equity and selling for 2.5 to 5 times book value based on Eddie Klutzfield (Crutchfield) being willing to pay up and flush all the equity and expenses down in a one-time charge such that "I can pay 5 times book and make it all work out." So Eddie at First Union went through 20 years of no book value growth (those flushes...ya know) and eventually was "earning" (fake earnings, fake ROE) 30% on equity (there wasn't any equity). Ole Buffett once said, "Librarians read financial statments; investors need to know what the figures mean." 30% on equity for First Union was just 30% on evaporation. Anyone looked at BAnk of Hawaii? Mostly Japanese American depositors , I think Link to comment Share on other sites More sharing options...
dealraker Posted March 10, 2023 Share Posted March 10, 2023 Bought some TFC, Truist. Have a tad of insurance broker rev/inc in the mix. 8% selloff, guessing a bit too much... ...but what the hell do we know? LOL. Link to comment Share on other sites More sharing options...
ourkid8 Posted March 10, 2023 Share Posted March 10, 2023 Bought more BN. Link to comment Share on other sites More sharing options...
Saluki Posted March 10, 2023 Share Posted March 10, 2023 I have a work conflict that prevents me from owning most banks, which is sad since everything is on sale. Added some TV, OXY and VTS on the dip. If JOE drops another dollar today, I'll buy some. Link to comment Share on other sites More sharing options...
Parsad Posted March 10, 2023 Share Posted March 10, 2023 26 minutes ago, sleepydragon said: Anyone looked at BAnk of Hawaii? Mostly Japanese American depositors , I think Looked at Bank of Hawaii this morning. Most regional banks leverage increased in the last few years. There are only a handful operating at less than 10 times asset to equity leverage. Most have crept up to 13-18 times. Leverage is a killer for financial institutions during outlier events. I think there is more pain to come for the banking industry as rates haven't topped out and contagion fears spread. Cheers! Link to comment Share on other sites More sharing options...
Libs Posted March 10, 2023 Share Posted March 10, 2023 SCHW Link to comment Share on other sites More sharing options...
LC Posted March 10, 2023 Share Posted March 10, 2023 2 hours ago, Intelligent_Investor said: IDFB at low $11s How likely do you think the deal close is? Particularly with respect to timing. The other deal I am tracking is TD Bank/First Horizon which is delayed due to regulators dragging their feet: https://www.commercialappeal.com/story/money/business/2023/02/10/td-bank-first-horizon-merger-delayed-regulatory-approval/69891953007/#:~:text=First Horizon and Toronto-Dominion,27%2C 2023. Link to comment Share on other sites More sharing options...
Spekulatius Posted March 10, 2023 Share Posted March 10, 2023 My ad of the day. It's getting ugly out (or in) there: 1 Link to comment Share on other sites More sharing options...
longlake95 Posted March 10, 2023 Share Posted March 10, 2023 (edited) Spek....what kinda sites are you on? lol Edited March 10, 2023 by longlake95 Link to comment Share on other sites More sharing options...
Spekulatius Posted March 10, 2023 Share Posted March 10, 2023 (edited) 2 hours ago, sleepydragon said: Anyone looked at BAnk of Hawaii? Mostly Japanese American depositors , I think To me BOH looks pretty safe. They do have a large security portfolio as well - ~$8.3B with ~$1.3B in equity. this looks scary, but BOH has a very stable deposit base because there is very limited competition in Hawaii. I think they will be fine. They have traded at premium valuation because the lack of competition has enabled above average ROE with very low risk lending. Edited March 10, 2023 by Spekulatius Link to comment Share on other sites More sharing options...
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