DISQUS

marketfolly · 6 months ago

hey eric, congrats on the plays, meant to post that up before but forgot. It's obvious that you see further upside as you've said, but what's your outlook for the regionals on a 1 or 3 year timeframe? I've been diligently scavenging for some regionals to pick up to put in the long-term account, as I'm pretty young. I've made my rounds through the usuals and have obviously checked out FITB, HBAN, PNC, BBT, and the well known players. Have even looked at Comerica and some smaller names. I know you've touched on book value with these before, but what's a good gauge to be looking at for longer term? Financials are definitely not my forte, but I do what I can and know that someone my age could pick up some steals for the long-term here. Just wondered what metrics you prefer to use. I just have a hard time evaluating them with the whole balance sheet landmine and not knowing if the metric is telling me the truth or not haha.

ericjackson · 6 months ago

Hi: Thanks for the comment. I also like MI. These Midwest banks seem to be doing well. Maybe it's the salt-of-the-earth people who make up their customer base. I don't know PNC, BBT or others as well. I think BBT and Colonial are probably too exposed to the hot and cold southeast (especially florida). Comerica is dominant in MI and TX -- not great for home price appreciation. I can discuss more metrics offline.