- The PNC Financial Services Group, Inc. (NYSE: PNC - News) today announced that the board of directors declared a quarterly cash dividend of 66 cents per share on the common stock. The dividend is payable Oct. 24, 2008 to shareholders of record at the close of business Oct. 13, 2008.
You cannot stop banks, you can only hope to contain them. JP Morgan (JPM) says so and hedge funds don't own them so hence I won't be liquidated to the tune of 20% a day from here to December 2009. Yes I know their PE ratios are 3-4x higher than fertilizer stock but you can't talk sense to a liquidating hedge fund. Mutual funds which actually hold stocks longer than 24 hours, unlike their bretheren in hedge fund world, also are buying. This concept is foreign to hedgies but then again by the time this is done the hedgie population might be down by 80% so it really won't matter what they are doing.
Starting a 1.7% stake in the $77s, hoping to add more on pullbacks to low $70s that I keep missing
I'm also adding to EZCORP (EZPW), the pawn shop, because technically as this recession rolls on it is going to be a lot of people's "bank". Or we might have a double top forming - who knows anymore. If that's the case I'll just roll the money into Wells Fargo at 20x earnings because again - banks are the new fertilizer. When they reach 50x earnings I'll consider selling the banks - no earlier - that seems a fair valuation for government sponsored masters of the universe. Increasing from a 0.2% stake to 1.2% on this 5% pullback
Long PNC Financial, EZCORP in fund; no personal position
4 comments:
T Mark
What are your thoughts on GE. We have seen the price dip under $22.50 where Warren Buffet was able to buy.
Even though Buffet was able to buy preferred stock that pays a dividend, for long term investment is GE not a good buy in this area? Buffet seems to be able to pick good management.
KB
I'd probably be more interested in GS than GE if you are looking to follow Buffet
on the industrial side of their business people can hand wring about the global slowdown, and on the financial side obviously the risks are clear
Goldman on the other hand is now backed by the US government.
You could sneak in a trade on GE perhaps from $22 to $25, but then the chart says its a short.
Mark, are you considering BlackRock at its current levels, I remember that you were saying their risk was squashed when BOA bought Merril.
Scratching my head the past few weeks on BLK. They should be participating in this financial rally but not so much. The chart scares me so no, not at this level I won't add. It has support down at $160 and its at $172
if that $160 breaks it could go quite a bit - I wonder if they have some kind of exposure to something - the stock is just not acting good. I'd rather but it over $200 when it shows strength. Especially in this market.
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