One of the biggest trends in bank stocks over the past 18 months or so
has been the relative outperformance of bank stocks where the
predominant theme was cleaning up the balance sheet and simplifying the
business. Investors in banks like Bank of America (NYSE:BAC), Synovus (Nasdaq:SNV), and Zions Bancorp (Nasdaq:ZION)
have all beaten the market by a healthy margin over the past year, but
the question is how much more juice there is to be squeezed from that
orange. In the case of Zions, for instance, there's ample scope to
reduce funding costs, but fierce competition in lending could delay the
progression of real earnings and ROE improvement.
To read more of this article, please go here:
http://www.investopedia.com/stock-analysis/050613/zions-bancorp-will-likely-find-it-harder-here-zion-usb-wfc-bac.aspx
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