During bull markets, investors typically prize growth more than anything
and that would seem to explain a lot of the relative valuations I'm
seeing in the banking sector these days. To wit, investors don't seem
nearly as concerned about quality or long-term business prospects as the
they do about the near-term growth and capital returns potential. That
may be frustrating for Wells Fargo (NYSE:WFC) shareholders in the short term, but I think it does leave some long-term potential in the shares today.
Please follow this link for the full article:
http://www.investopedia.com/stock-analysis/041213/core-growth-wells-fargo-weak-multiple-doesnt-look-demanding-wfc-jpm-bac-usb.aspx
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