Most of the largest U.S. banks are trading at very low multiples relative to large profitable companies in most other industries:
- Citigroup's stock trades for 9.2 times the consensus 2014 earnings estimate of $5.32 a share, among analysts polled by Thomson Reuters.
- Shares of JPMorgan Chase (JPM) rose over 1% on Wednesday to close at $49.76. The shares trade for just 8.4 times the consensus 2014 EPS estimate of $5.94.
- Bank of America (WFC) was up 1% to close at $13.02. The shares trade for 10.1 times the consensus 2014 EPS estimate of $1.29.
- Shares of Wells Fargo (WFC) were up 1% to close at $38.45. The shares trade for 10.1 times the consensus 2014 EPS estimate of $3.81.
- Shares of Goldman Sachs (GS) were up 1% to close at $150.26. The shares trade for 9.8 times the consensus 2014 EPS estimate of $15.27.
- Morgan Stanley (MS) was up nearly 2% to close at $23.67. The shares trade for 9.4 times the consensus 2014 EPS estimate of $2.53
-- Written by Philip van Doorn in Jupiter, Fla.
>Contact by Email.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV