There aren't a lot of bargains left in banking. Investors have largely
bid up the credit-improvement stories and the "risk-on" trade has led to
lower implied costs of equity and improving expectations for returns on
capital in the coming years. Wilshire Bancorp (WIBC)
isn't hugely cheap today, but the expectations here seem to be closer
to rational, and Wilshire has the added benefit of showing solid growth
at a time when many other banks are struggling to do so. Investors need
to be aware of the risks of the company's lending book and that
management may not achieve the targeted cost savings from its mergers,
but I wouldn't be in a big hurry to take profits here yet.
Please follow this link for more:
Wilshire Bancorp Offers Growth In A Growth-Starved Market
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