This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Book Profits With These 11 Community Banks

NEW YORK (TheStreet) -- The 11 publicly traded banks profiled below are among 580 that still have one or more of the three warning flags I look for during my 'crunching of the numbers' among the data points in the Federal Deposit Insurance Corporation quarterly banking profile for the fourth quarter of 2013. The warnings flags are:

Exposures to Construction & Development Loans: Banks with C&D loans at 100% or more of total risk-based capital has an overexposure to this real estate loan category. Six of the 11 in the table have this warning flag. Among the 6,812 FDIC-insured financial institutions 294 still have overexposures to C&D loans, 50 of which are publicly traded.

Exposures to Commercial Real Estate Loans: Banks with CRE loans at 300% or more of total risk-based capital has an overexposure to this real estate loan category. Ten of the 11 in today's table have this warning flag. Among the 6,812 FDIC-insured financial institutions 1569 still have overexposures to CRE loans, 464 of which are publicly traded.

Pipeline: Banks with 80% or more of their real estate loan commitments fully-funded have this warning flag. Among the 6812 institutions, 1833 have a pipeline that are 80% or more funded of which 583 have pipelines that have 100% fully-funded. For publicly traded community banks 97 have 80% or more fully-funded, 42 at the 100% watermark. Only one in today's table has this warning flag.

Must Read: If GE Keeps It Simple, Investors Will Love Its Shares

Improving trends shown in the fourth-quarter 2013 FDIC Quarterly Banking Profile:

The number of banks on the FDIC's non-list of "problem" institution ended 2013 at 467 banks, down from 884 at the end of 2010. This remains elevated versus 76 at the end of 2007.

Trust me, there were many more problem banks at the end of 2007. On June 29, 2006, I wrote a RealMoney article that included a list of 50 community and regional banks on what we called The Domino List: 32 are gone, 11 were merged and I cannot find info on the other seven.

1 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
OZRK $41.30 0.00%
TCBI $45.82 0.00%
AAPL $93.74 0.00%
FB $117.58 0.00%
GOOG $693.01 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs