Bank of America near Tipping Point

[Ardent Listener]

Bank of America near Tipping Point


--------------------------------------------------------------------------------
Quote:
Now the bank may be on the verge of trouble again. Its stock has fallen 41 percent since April 15. Mortgage-bond investors are demanding untold billions of dollars in refunds. The foreclosure fiasco is metastasizing. A member of the Troubled Asset Relief Program’s oversight panel, AFL-CIO attorney Damon Silvers, openly worried at a hearing last week about the risk that Bank of America might need another bailout.

Quote:
Judging by its shrinking stock price, though, investors are acting as if Bank of America is near a tipping point. Its market capitalization stands at $115.6 billion, or 54 percent of book value. That’s the second-lowest price-to-book ratio among the 24 companies in the KBW Bank Index, and well below the 76 percent ratio the company was at in October 2008 when it landed its first round of TARP dough. Put another way, the market is saying there’s a $96.8 billion hole in Bank of America’s balance sheet.

http://www.bloomberg.com/news/2010-11-0 ... -weil.html

[beauanderos]

BOA is frequently mentioned by Jim Willie as soon to go under

[AGgressive Metal]

Jim Willie seems crazy sometimes but he is almost always right.

[Lemon Thrower]

true dat.

[Beau]

.
Bank Of America is advertising on TV here about once every hour.


.