This isn’t a great point in the banking cycle, as rate hike benefits are
tapering off, the economy seems to be slowing, and credit costs are
likely to increase substantially from here. That said, if you are still
interested and willing to invest in banks, I think Florida’s CenterState (CSFL) is a name to consider. It’s a higher-risk, higher-growth story than ideas like SunTrust (STI), PNC (PNC), or BB&T (BBT),
but management has generated some impressive results with a coherent,
disciplined M&A and organic growth plan. Moreover, I think
CenterState could be a “heads you win, tails you win” situation with
respect to M&A – I believe CenterState would be an attractive target
to many super-regionals, but they don’t need to get bought for this
idea to work.
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CenterState Is An Attractive 'Strong Getting Stronger' Story
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