Who's buying bank stocks?

[dtw]

Gotta admit I'm tempted to pick up some WaMu and Wachovia.

[Porsche-O-Phile]

Considering shorts/puts, but I think the best play on that was a while back. I might make something, but mostly the boat has left the dock.

Those guys ain't going anywhere but lower for the foreseeable future.

[Drdogface]

I have owned Wachovia preferred for a while. While I was in Canada it dropped from low 20's to what it is now. I'm also tempted to buy more since it's a likely take over company ????

[kstar]

You may already know this, but all insured banks must file a report every quarter and the FDIC has all the data. Not the best user interface, but there's tons of great stuff here:

http://www.fdic.gov/bank/index.html

FYI.

Personally, I don't think WM and WB are going away, but I hate to give stock advice unless I am very knowledgeable about the stock. I am not so informed about these two.

[RANDY P]

I wouldn't touch WAMU or Wachovia. Pay Option product will end them. They are the biggest offenders in what is probably going to be the worst / highest profile class action lawsuits coming down the pipe.

World Savings (a division of Wachovia) just announced they are dropping pay option arms (too little, too late) and they ARE WAIVING ANY PREPAYS on any Pay Options.

they know they're screwed. WAMU still has Long Beach subprime mess and Option Arms. They are one of the biggest offenders in both categories.

If you want to play risky, check out National City. they may survive.

[therotman]

Originally Posted by Wayne at Pelican Parts

Stay away from WaMu. I think Wells, Union Bank, and Goldman Sachs may be good buys in the very near future. I think we're going to have more problems in the sector that will cause general downturns in all the financial stocks (even further).

-Wayne

I wish i bought wamu 2 days ago and sold them today.

[KFC911]

I picked up some BoA not too long ago (thinking it had been beaten down enough) and I've been bleeding (along with a few others ), but it's likely to turn. I'm already exposed enough in that sector, but I personally wouldn't touch Wachovia for nuthin'...First Union (Wachovia) has NEVER been a well run bank imo, and the writing is on the wall for them.

[tabs]

Wachovia has just picked up one of Hank Paulsons deputys, who is a good guy. so Wachovia might be saved....but the WAMU.....if it survies is going to be a former shadow of itself.

[KFC911]

Originally Posted by tabs

Wachovia has just picked up one of Hank Paulsons deputys, who is a good guy. so Wachovia might be saved....but the WAMU.....if it survies is going to be a former shadow of itself.

I'm sure he's sharp as a tack, but he has NO experience running a bank...

CHARLOTTE (AP) - On his first day as the new CEO of Wachovia Corp., Robert Steel saw the stock tumble to a 17-year low and faced questions about his ability to rescue the nation's fourth-largest bank from its own missteps and the roiling credit market.

Even with an impressive resume and connections from Wall Street to Washington, Steel lacks experience running a retail bank, Wachovia's main business. He could, however, help steer Wachovia to a merger or outright acquisition.

Steel, former Treasury Undersecretary and Goldman Sachs Group Inc. executive, was hired late Wednesday to lead the Charlotte-based bank, ending a more than monthlong CEO search....

....Steel, who has been the Treasury Department's liaison with Wall Street since the fall of 2006, has been a key figure in the Bush administration's response to the nation's housing and credit crisis.

Steel denied any conflict of interest in joining the bank, saying he followed proper recusal procedures on Treasury matters while negotiating his employment with Wachovia.

Smith called Steel "our one and only choice" for the top job at Wachovia.

"We pursued him," Smith said.

The bank also fended questions about the relationship between Wachovia and Goldman Sachs, which has been rumored to be interested in acquiring the bank. Wachovia last month hired Goldman Sachs to analyze its troubled loan portfolio.

Smith said Wachovia has no plans for a deeper relationship with Goldman, calling some market rumors "just silly."

Also on Thursday, Wachovia said it would pay Steel an annual salary of $1.1 million, plus bonuses and other incentives that could total $38.1 million."


Typical of the "revolving door" of DC "insiders" imo, and I have NO DOUBT he was selected for "takeover" connections. Will the stock "bouce back"...I have no clue

[pwd72s]

Cindy & I have talked about it...perhaps through a financials mutual fund...let the fund do the researxh on which banks are soundest. No action on our part yet, but perhaps some bargain shopping is in order?

[TerryH]

I'm not investing at this time, but Suntrust (STI) is also worth looking at.

[HardDrive]

Originally Posted by pwd72s

Cindy & I have talked about it...perhaps through a financials mutual fund...let the fund do the researxh on which banks are soundest. No action on our part yet, but perhaps some bargain shopping is in order?

Nice. Hadn't thought of that one.

[KFC911]

This sector was a rocketshop today...Dave I sure hope you ignored my "what the hell do I know " comments and loaded up on WB first thing this morning...up over 27% today!

[KFC911]

I'm mighty tempted this morning...I normally don't dabble with short term trades, but I almost feel like "gambling" with a small stake in WB (actually, my whole portfolio consists of "small stakes", as I stay diversified enough such that any single position could drop to nil and I would still be fine). Wouldn't like it, but wouldn't lose any sleep either

[dtw]

Yeah... wish I had bought Wachovia at just under $9....

[KFC911]

I still don't like WB for the long run, but at least I've made enough to pay for lunch . How long I'll hold...who knows, but this one is a "trade gamble", not an investment...

[turbo6bar]

WB discontinued lending through broker channels today and more trouble may be brewing there. They have a monstrous portfolio of Alt-A loans. I wouldn't touch this bank with a 10 foot pole, but I am just talking from a buy-and-hold perspective.

Some premium names were knee-deep in crap loans. The sewer lines are backing up. Spin the wheel and see who stinks and who doesn't.

[RANDY P]

the funny thing about WB (they ate up World Savings) was that World only did business in certain areas - they also are insulated against inflated appraisals in the sense they typically ordered the appraisals - not the loan officer.

Yup, they severed wholesale lending today. no use staying open when your portfolio resembles a clogged public toilet (and has about as much curbside appeal)

rjp

[Drdogface]

I have owned Wachovia preferred for quite a while. It took it's major dump when I was fishing in Canada so I'll hold until they hopefully get bought out. It does have a nice yield of near 7%..at par.

[KFC911]

Originally Posted by dtw

Gotta admit I'm tempted to pick up some WaMu and Wachovia.

Watching the news this morning, I was reminded of this thread. Although I "gambled" with a small stake in WB for a nice short term gain earlier in this thread, they'll be gone within a few days imo. Having worked there years ago, it's disgusting to see what became of a once fine institution (I dumped my significant holdings when the First Union takeover occured some years back). Just thinking out loud...would we even be in this "financial crisis" if the banking deregulation of the 80's hadn't happened...I think not . Now's your chance to own WB at $9 Dave...don't do it!!!