Downward Spiral Of Bank Stocks Is Predicting An Economic Crisis

After rallying last fall, many of the big bank stocks have seen substantial declines from the beginning of the year. Growing fears about the health of the banking industry are discussed in the latest Economics and Mortgage Market Analysis issued by Fannie Mae.  Fannie Mae cites a very weak housing market and an economic slowdown […]

Citigroup Shareholders Lose $16 Billion After Reverse Stock Split

On March 21st, Citigroup announced a 1-for-10 reverse stock split, effective May 9, 2011. According to Citigroup CEO Vikram Pandit, “Citi is a fundamentally different company than it was three years ago.  The reverse stock split and intention to reinstate a dividend are important steps as we anticipate returning capital to shareholders starting next year.” […]

Warren Buffett Bullish On Wells Fargo – Stock Price Unchanged For 10 Years

If you want to invest in bank stocks, legendary Warren Buffett says buy Wells Fargo. Wells Fargo, the fourth largest bank holding company in the United States with $1.22 trillion dollars in assets emerged from the financial crisis in far better shape than many of its large competitors.  The management team at Wells avoided high […]

Banking Giants Control 90% Of Industry Assets

September 7, 2010 – The vast majority of banking industry assets are controlled by a small minority of large banking institutions.  As the number of banks has declined sharply over the past twenty years (see US Loses 7,300 Banks), banking assets have been concentrated into the hands of the banking giants.  Banks with more than $10 […]