Deutsche Bank AG (DB): Today's Featured Financial Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Deutsche Bank ( DB) pushed the Financial sector lower today making it today's featured Financial laggard. The sector as a whole closed the day up 0.1%. By the end of trading, Deutsche Bank fell $1.75 (-4.2%) to $40.36 on heavy volume. Throughout the day, 3.2 million shares of Deutsche Bank exchanged hands as compared to its average daily volume of 1.6 million shares. The stock ranged in price between $40-$41.98 after having opened the day at $41.93 as compared to the previous trading day's close of $42.11. Other companies within the Financial sector that declined today were: Plumas Bancorp ( PLBC), down 9.3%, Security National Financial Corporation ( SNFCA), down 6.7%, Manhattan Bridge Capital ( LOAN), down 6%, and Bank of the James Financial Group ( BOTJ), down 5.3%.
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Deutsche Bank Aktiengesellschaft provides investment, financial, and related products and services. Deutsche Bank has a market cap of $38.8 billion and is part of the banking industry. The company has a P/E ratio of 7.5, below the S&P 500 P/E ratio of 17.7. Shares are down 5.2% year to date as of the close of trading on Friday. Currently there are two analysts that rate Deutsche Bank a buy, no analysts rate it a sell, and two rate it a hold.

TheStreet Ratings rates Deutsche Bank as a hold. The company's strongest point has been its very decent return on equity which we feel should persist. At the same time, however, we also find weaknesses including deteriorating net income, a generally disappointing performance in the stock itself and feeble growth in the company's earnings per share.

On the positive front, Altisource Residential Corporation ( RESI), up 29.7%, Village Bank and Trust Financial Corporatio ( VBFC), up 17.9%, China HGS Real Estate ( HGSH), up 7.7%, and Magyar Bancorp ( MGYR), up 7.3%, were all gainers within the financial sector with Fidelity National Financial ( FNF) being today's featured financial sector leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the financial sector could consider Financial Select Sector SPDR ( XLF) while those bearish on the financial sector could consider Proshares Short Financials ( SEF).

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