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I agree but had you bought yesterday you would have lost 3%, on bad timing.
C might be a great bargain, but it could be an even greater bargain later because...
-Nothing shows that the subprime crisis is over. In fact deliquency is just starting since many of low mortgages have not been reset yet. The accountants and the market have probably already priced out that, but the news of increasing delinquency in the next few months will pull bank stocks down again.
-Nothing shows that the economy will strongly rebound. Actualy they project a sharp drop in annual growth this quarter
-The Fed may be slow to cut interrest rates due to high oil prices
-Winter is not a good season for stocks.
==> While C, and other banks are bargain on a book basis, it doesn't mean the stock will rise. Of course it all depends on the valuation. If C falls as low as $25, it will be a bargain in absolute terms. I think it can fall to $25.
Also if you wait until april or march next year, you may miss the bottom but you won't miss the recovery neither.
$33 is a good entry point, but keep some cash for buying at $25 or lower, in case it goes further south.
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