Tag Archives: Matt Koppenheffer

Business, Finance, Occupation & Industry

1 Stock to Buy for Your Kid's Portfolio

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By David Hanson and Matt Koppenheffer, The Motley Fool

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In this video, history is made when both Matt Koppenheffer and David Hanson agree on an investment thesis: They agree that Markel is the superior investment for a 20-year time span rather than Bank of America. Markel, they note, is a great company that consistently grows profits and book value. Bank of America, meanwhile, is trading cheap, and it may be a good investment for five years, but for a 20-year time frame, it’s not a proven great company. Matt and David say they’d like to see more tangible evidence of improved business performance at Bank of America before recommending it as a long-term investment.

Bank of America’s stock doubled in 2012. Is there more yet to come? With significant challenges still ahead, it’s critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool’s premium research report on B of A, Matt joins analyst Anand Chokkavelu, CFA, to lift the veil on the bank’s operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.

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Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

The Dangerous Game Big Investors Are Playing

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By Dan Caplinger, The Motley Fool

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Pension funds and other institutional investors have struggled to produce the returns they need to satisfy their obligations. To boost returns, they’ve turned to a new, risky strategy involving leverage that could eventually backfire, leaving pension funds facing shortfalls in meeting their obligations to pensioners.

In the following video, Fool markets analyst Mike Klesta talks with longtime Fool contributor and financial planner Dan Caplinger about this strategy and what it means to you and your money.

Annaly Capital has used a similarly leveraged strategy to produce huge dividends, but can investors count on that payout sticking around? With the Federal Reserve‘s recent moves, Annaly has had to scramble to defend its bottom line. In The Motley Fool’s premium research report on Annaly, senior analysts Ilan Moscovitz and Matt Koppenheffer uncover the key challenges the company faces and divulge three reasons investors may consider buying it. Simply click here now to claim your copy today!

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Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

3 Areas You Must Watch at AIG

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By Matt Koppenheffer, The Motley Fool

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In this video, Matt Koppenheffer outlines three things AIG investors need to watch:

  • The new CEO. Current chief Robert Benmosche came out of retirement to lead AIG out of its financial crisis and performed admirably well. Who will take over the reins? 
  • Historically low interest rates that have made life difficult for banks and insurance companies, particularly insurance companies like AIG that underwrite life insurance.
  • The performance of AIG‘s core businesses. Now that AIG has restructured itself, have its property/casualty and life insurance businesses delivered positive results?

Check out the video for more details.

At the end of last year, AIG was the favorite stock among hedge fund managers. Have they identified the next big multibagger, or are the risks facing the insurance giant still too great? In The Motley Fool’s premium report on AIG, financials bureau chief Matt Koppenheffer breaks down the key issues that you need to know about if you want to successfully invest in this stock. Simply click here now to claim your copy, and you’ll also receive a full year of key updates and expert analysis as news continues to develop.

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Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

The Top 3 Stocks on the Dow

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By Travis Hoium, The Motley Fool

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It was a week without a definitive direction on Wall Street, but at the end of the day, stocks continued to move higher. The Dow Jones Industrial Average was up 1.13% this week and the S&P 500 rose 1.74%. On the economic front, we saw slow home sales on Monday, decent unemployment news on Thursday, and weaker-than-expected GDP and consumer confidence on Friday. But investors focused on more company-specific items to drive stocks higher.

DuPont led the Dow by jumping 7.5% this week. Last quarter’s earnings disappointment set extremely low expectations for the company in the first quarter, but it was able to meet them. First-quarter revenue rose 2% to $10.4 billion, and earnings from continued operations fell slightly to $1.46 billion, or $1.56 per share. The real hope was that earnings will pick up later in 2013 because ag unit sales were up 14% and volume grew 8%, so we could be in for much better results in the future.  

Microsoft rose 6.8% this week as sentiment toward the company continued to improve. Microsoft beat earnings estimates, and the stock continued its steady rise all week. The two main news items were a patent ruling win against Motorola and a debt offering. The patent ruling was the first of two major cases in which Google‘s Motorola subsidiary had claimed it was owed $4 billion in royalties, but the judge found that $1.8 million was a more appropriate payment. The second trial is set for this summer. The company also announced $2.7 billion in bond sales.

Bank of America rounds out the top three, gaining 6.5% this week. The stock is especially sensitive to economic news, and despite GDP growth that came in lower than expected, investors were happy to see solid growth, and decent unemployment data helped pushed the stock higher. The company also settled with former Merrill Lynch brokers who claimed they were owed deferred compensation. The company will pay $21 million to settle the class action lawsuit, putting another black eye from the financial crisis behind it.

Bank of America’s stock doubled in 2012. Is there more yet to come? With significant challenges still ahead, it’s critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool’s premium research report on B of A, analysts Anand Chokkavelu, CFA, and Matt Koppenheffer, financials bureau chief, lift the veil on the bank’s operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.

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Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

Bank Stocks Are Dirt Cheap — but for How Long?

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By David Hanson and Matt Koppenheffer, The Motley Fool

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Both Citigroup and Bank of America trade at a discount to their tangible book value. In the following video, Matt Koppenheffer and David Hanson make a case for which bank will trade at a premium to tangible book value first. David goes with Citi. The stock has been on a tear this past year, and the bank has none of the lawsuit drama hanging over it that Bank of America has. Matt thinks Bank of America will win out. There are lawsuits, but as these settle, Matt thinks there is more certainty in the bank, and that, with improving operations, will drive the stock higher.

Check out the video for more details.

Bank of America’s stock doubled in 2012. Is there more yet to come? With significant challenges still ahead, it’s critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool’s premium research report on B of A, analysts Anand Chokkavelu, CFA, and Matt Koppenheffer, financials bureau chief, lift the veil on the bank’s operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.

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Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

Will Bank of America Abandon Its Promises?

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By David Hanson and Matt Koppenheffer, The Motley Fool

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When Bank of America CEO Brian Moynihan launched Project New BAC, a cost-saving initiative, many investors saw the goal of cutting $8 billion of expense by the middle of 2015 as too ambitious. However, as the bank marches through 2013, Moynihan and team are telling investors that the bank is on track to achieve those goals.

In this video, Motley Fool banking analysts David Hanson and Matt Koppenheffer debate whether the bank will ultimately achieve these goals and if its a bad thing for investors if they fall short. 

Bank of America’s stock doubled in 2012. Is there more yet to come? With significant challenges still ahead, it’s critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool‘s premium research report on B of A, analysts Anand Chokkavelu, CFA, and Matt Koppenheffer, Financials bureau chief, lift the veil on the bank’s operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.

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From: http://www.dailyfinance.com/2013/04/18/will-bank-of-america-abandon-its-promises/

Business, Finance, Occupation & Industry

Why Bank of America Is Down Despite Quadrupled Profit

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By Alex Dumortier, CFA, The Motley Fool

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After posting solid gains yesterday, U.S. stocks are falling hard this morning, with the S&P 500 and the narrower, price-weighted Dow Jones Industrial Average down 0.87% and 0.7%, respectively, at 10 a.m. EDT.

Bank of America still looks cheap
I’ve been a student of Finance and the financial markets for years, and yet I still fall into this trap. After reading the first part of the Reuters headline “Bank of America profits quadruple,” I immediately checked the quote page and was briefly, almost instinctively, surprised to find that the shares were down in premarket trading. I shouldn’t have been; as Howard Marks writes in the excellent book The Most Important Thing: “First level thinking says, ‘I think the company’s earnings will fall; sell.’ Second-level thinking says, ‘I think the company’s earnings will fall less than people expect, and the pleasant surprise will lift the stock; buy.'”

In other words, expectations provide the context necessary to analyze results and their impact on the share price. And so it was that B of A’s quarterly profit rose to $2.62 billion in the first quarter from $653 million in the prior year period, which worked out to $0.20 per share; alas, analysts were looking for $0.22. In addition, total adjusted revenue fell 4%.

It pays to remain focused on what matters relative to your investing style. Mimicking Marks‘ above distinction, I’d say a trader is concerned with the impact of quarterly earnings on the share price, whereas a long-term investor focuses on what earnings can tell us about a company’s future earning power. In that regard, B of A’s results look encouraging on a number of fronts: Brian Moynihan is doing a creditable job shrinking costs, and the provision for loan losses continues to decline, while capitalization ratios continue to improve.

Based on the newly released end-of-first-quarter balance sheet data, Bank of America shares are changing hands at roughly a 10% discount to their tangible book value this morning, and they still look like an attractive (i.e., underpriced) risk to me.

Bank of America’s stock doubled in 2012. Is there more yet to come? With significant challenges still ahead, it’s critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool’s premium research report on B of A, analysts Anand Chokkavelu and Matt Koppenheffer lift the veil on the bank’s operations, detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.

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From: http://www.dailyfinance.com/2013/04/17/why-bank-of-america-is-down-despite-quadrupled-pro/

Business, Finance, Occupation & Industry

Wall Street CEOs: "We're Big Because We're Good"

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By David Hanson and Matt Koppenheffer, The Motley Fool

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With Congress attempting to pass new legislation further limiting the big banks that are considered “too big to fail,” several big bank CEOs have spoken out in protest. In this video, Motley Fool financial analysts David Hanson and Matt Koppenheffer discuss the conflict, and whether or not more legislation is required, even before we have seen the full impact of the new Dodd-Frank laws. 

Bank of America‘s stock doubled in 2012. Is there more yet to come? With significant challenges still ahead, it’s critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool‘s premium research report on B of A, analysts Anand Chokkavelu, CFA, and Matt Koppenheffer, Financials bureau chief, lift the veil on the bank’s operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.

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From: http://www.dailyfinance.com/2013/04/14/wall-street-ceos-were-big-because-were-good/

Business, Finance, Occupation & Industry

Better Buy Right Now: Warren Buffett or AIG?

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By David Hanson and Matt Koppenheffer, The Motley Fool

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Warren Buffett‘s track record and the performance of his conglomerate Berkshire Hathaway speaks for itself. No can question the high-quality businesses that he has assembled under one umbrella. AIG , on the other hand, served as a prime example of a low-quality and poorly managed business during the financial crisis.

However, as AIG cleans itself up and looks toward the future, is its stock a more attractive long-term play than Buffett’s giant? In this video, Motley Fool financials analysts David Hanson and Matt Koppenheffer debate which stock offers investors the most opportunity. 

Thanks to the savvy of investing legend Warren Buffett, Berkshire Hathaway‘s book value per share has grown a mind-blowing 586,817% over the past 48 years. But with Buffett aging and Berkshire rapidly evolving, is this insurance conglomerate still a buy today? In The Motley Fool‘s premium report on the company, Berkshire expert Joe Magyer provides investors with key reasons to buy as well as important risks to watch out for. Click here now for instant access to Joe’s take on Berkshire!

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From: http://www.dailyfinance.com/2013/04/14/better-buy-right-now-warren-buffett-or-aig/

Business, Finance, Occupation & Industry

3 Reasons to Sell Goldman Sachs

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By Matt Koppenheffer, The Motley Fool

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Why should a Goldman Sachs shareholder want to sell his position? In this video, Matt Koppenheffer gives three reasons:

  • Brand damage in the aftermath of the financial/banking crisis.
  • Its trend of taking on less risk in the current financial environment, where it has traditionally taken on risks to score big profits.
  • Big paydays for its top people. Goldman needs to generate profits for its shareholders despite those large payouts.

Check out the video for more details.

During the financial crisis, Goldman Sachs did so well pivoting to avoid the worst of the fallout that it had to downplay its success to duck public ire and conspiracy theories. Today, Goldman is still arguably the powerhouse global financial name, yet its stock trades at a valuation of less than half what it fetched before the crisis. Does this make Goldman one of the best opportunities in the market today? To answer that question, check out The Motley Fool’s special report on the bank. In it, Matt uncovers the key issues facing Goldman, including three specific areas Goldman investors must watch. To get access to this report, just click here.

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From: http://www.dailyfinance.com/2013/04/13/3-reasons-to-sell-goldman-sachs/

Business, Finance, Occupation & Industry

This Is the Cheapest Bank Stock You Can Buy

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By Matt Koppenheffer and David Hanson, The Motley Fool

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Bank stocks were the last place any investor wanted to be during the financial crisis. However, as balance sheets have improved, bank stocks have gone on an impressive run. Despite the recent gains, many of the big banks are still trading at deep discounts when compared to their historical valuations.

In this video, Motley Fool banking analysts Matt Koppenheffer and David Hanson identify which banks are the cheapest and debate how much upside these megabanks have over the next five years. 

Bank of America’s stock doubled in 2012. Is there more yet to come? With significant challenges still ahead, it’s critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool‘s premium research report on B of A, analysts Anand Chokkavelu, CFA, and Matt Koppenheffer, Financials bureau chief, lift the veil on the bank’s operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.

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From: http://www.dailyfinance.com/2013/04/13/this-is-the-cheapest-bank-stock-you-can-buy/

Business, Finance, Occupation & Industry

The Secret Formula for Investing in These Stocks

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By Matt Koppenheffer and David Hanson, The Motley Fool

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Recently, Motley Fool financial analyst Matt Koppenheffer took a hard dive into some serious number crunching, to correlate the relationship between several commonly used metrics for predicting financial stock performances, and how well those stocks actually did over the past 10 years.

In this video, he and his fellow Foolish financial analyst David Hanson discuss which metrics really did correlate to a strong performance over that period, and how people should invest today based on that information. 

With big finance firms still trading at deep discounts to their historic norms, investors everywhere are wondering if this is the new normal, or whether finance stocks are a screaming buy today. The answer depends on the company, so to help figure out whether JPMorgan Chase is a buy today, I invite you to read our premium research report on the company today. Click here now for instant access!

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From: http://www.dailyfinance.com/2013/04/13/the-secret-formula-for-investing-in-these-stocks/

Business, Finance, Occupation & Industry

Does $1,000 Fix Everything for Harmed Bank Customers?

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By Matt Koppenheffer and David Hanson, The Motley Fool

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Cash has begun to make its way to homeowners who were wronged by the big banks’ foreclosure processes. The payments are part of the settlement that is meant to compensate consumers for the banks’ wrongdoing.

In this video, Motley Fool banking analysts Matt Koppenheffer and David Hanson grade the settlement and give their take on how the banks and the consumers should feel. 

Despite all of these legal headwinds, Bank of America’s stock doubled in 2012. Is there more yet to come? With significant challenges still ahead, it’s critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool‘s premium research report on B of A, analysts Anand Chokkavelu, CFA, and Matt Koppenheffer, Financials bureau chief, lift the veil on the bank’s operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.

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From: http://www.dailyfinance.com/2013/04/13/does-1000-fix-everything-for-harmed-bank-customers/

Business, Finance, Occupation & Industry

1 Key Opportunity at Goldman Sachs

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By Matt Koppenheffer, The Motley Fool

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In this video, Matt Koppenheffer describes the one key opportunity for investors to pile into Goldman Sachs. In a nutshell, Goldman is an investment bank with a competitive edge over its competitors that is also selling at a discount. There are other big banks around, but big customers vote with their feet, and they are going to Goldman. Traditionally, Goldman sells for two or three times tangible book value, and right now, it’s selling a bit above tangible book value. So investors have an opportunity to buy a leader in the investment banking business well below its traditional valuation. 

During the financial crisis, Goldman Sachs did so well pivoting to avoid the worst of the fallout that it had to downplay its success to duck public ire and conspiracy theories. Today, Goldman is still arguably the powerhouse global financial name, yet its stock trades at a valuation of less than half what it fetched prior to the crisis. Does this make Goldman one of the best opportunities in the market today? To answer that question, I invite you to check out The Motley Fool’s special report on the bank. In it, Fool banking expert Matt Koppenheffer uncovers the key issues facing Goldman, including three specific areas Goldman investors must watch. To get access to this report, just click here.

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From: http://www.dailyfinance.com/2013/04/11/1-key-opportunity-at-goldman-sachs/

Business, Finance, Occupation & Industry

Financial Stocks: Undervalued or Overvalued?

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By David Hanson and Matt Koppenheffer, The Motley Fool

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After being sold and sworn off during the financial crisis, stocks in the financial sector have bounced back and seen some huge gains. Bank of America  shares have more than doubled over the past 15 months, and Citigroup has been hot on the recovery trail. All of these gains may leave investors wondering if the sector is now overvalued.

In this video, Motley Fool banking analysts David Hanson and Matt Koppenheffer debate whether or not this sector is still undervalued, and why comparisons to years past may be a (small-f) fool’s errand. 

Citigroup’s stock still looks tantalizingly cheap. Yet the bank’s balance sheet is in need of more repair, and there’s a considerable amount of uncertainty after a shocking management shakeup. Should investors be treading carefully, or jumping on an opportunity to buy? To help figure out whether Citigroup deserves a spot on your watchlist, I invite you to read our premium research report on the bank today. We’ll fill you in on both reasons to buy and reasons to sell Citigroup, and what areas that Citigroup investors need to watch going forward. Click here now for instant access to our best expert’s take on Citigroup.

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From: http://www.dailyfinance.com/2013/04/11/financial-stocks-undervalued-or-overvalued/

Business, Finance, Occupation & Industry

Bank of America Stock Lower as Bank Earnings Approach

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By John Maxfield, The Motley Fool

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Unless something completely unforeseen happens — which, of course, is always possible — the focus of bank investors will be all earnings all the time over the next few weeks. The nation’s first and fourth largest banks by assets kick things off this Friday, when JPMorgan Chase and Wells Fargo report their results from the first three months of the year. Bank of America and Citigroup follow suit next week.

Bank investors got their first glimpse of what first-quarter earnings might look like today when Commerce Bancshares reported its results. Shares of the Kansas City-based bank are trading sharply lower after its earnings per share fell by 4.3% on a year-over-year basis.

The culprit for the fall in profit was interest rates. As Commerce’s prepared remarks noted, “Low interest rates, affecting both loans and investments, coupled with a decline in interest on our inflation-protected government securities of $4.8 million, resulted in a decline in net interest income of $10.9 million from the previous quarter.”

Alternatively, the good news was that noninterest income grew on a number of fronts. Among others, bank card transaction fees increased 11%, and trust fees were up 10%. Both bode well for the larger banks — and particularly Bank of America — which have sizable debit and credit card operations and wealth management divisions. Though, it’s worth noting, Commerce isn’t necessarily representative of larger money center banks that also look to volatile trading operations for a significant portion of revenue.

In other news, CEOs of the nation’s largest banks are meeting with President Obama this evening for a regularly scheduled quarterly get-together of financial leaders. As Erik Schatzker of Bloomberg noted, the timing is particularly auspicious given the expectation that these lenders earned record profits in the first three months of 2013. It’s predicted, for instance, that the six largest banks in the country earned more than $20 billion over this time period.

Bank of America’s stock doubled in 2012. Is there more yet to come? With significant challenges still ahead, it’s critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool’s premium research report on B of A, analysts Anand Chokkavelu, CFA, and Matt Koppenheffer, Financials bureau chief, lift the veil on the bank’s operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.

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From: http://www.dailyfinance.com/2013/04/11/bank-of-america-stock-lower-as-bank-earnings-appro/

Business, Finance, Occupation & Industry

This Bank Will Reign Supreme for Decades

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By David Hanson and Matt Koppenheffer, The Motley Fool

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Bank stocks have been on a tear for the past 15 months. However, as long-term investors, it is important to consider how these companies will handle the competitive landscape over the next 5 to 10 years. After massive sell-offs during the financial crisis, Bank of America and Citigroup are fighting back and looking ahead to future opportunities.

In this video, Motley Fool banking analysts David Hanson and Matt Koppenheffer tell investors which bank they think is the better long-term investment. 

Bank of America’s stock doubled in 2012. Is there more yet to come? With significant challenges still ahead, it’s critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool‘s premium research report on B of A, analysts Anand Chokkavelu, CFA, and Matt Koppenheffer, Financials bureau chief, lift the veil on the bank’s operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.

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Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

We're Betting on JPMorgan Chase and Jamie Dimon

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By Matt Koppenheffer and David Hanson, The Motley Fool

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Absent some recent hiccups, JPMorgan Chase has performed well with Jamie Dimon as both CEO and chairman. However, some shareholders are now calling for Dimon to relinquish his title of chairman.

In this video, Motley Fool banking analysts Matt Koppenheffer and David Hanson debate whether or not Dimon will even give this issue the time of day during the company’s quarterly earnings release on Friday. 

With big finance firms still trading at deep discounts to their historic norms, investors everywhere are wondering if this is the new normal, or if finance stocks are a screaming buy today. The answer depends on the company, so to help figure out whether JPMorgan is a buy today, I invite you to read our premium research report on the company. Click here now for instant access!

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Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

Has Quantitative Easing Been a Wild Success?

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By David Hanson and Matt Koppenheffer, The Motley Fool

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As the broader stock market reaches record highs, many investors are pointing to the Fed’s QE programs as the main reason for appreciating prices in risky assets. While some fear the long-term impacts of the program, few can argue the positive impacts it has had on deleveraging consumers and the housing market.

In this video, Motley Fool banking analysts David Hanson and Matt Koppenheffer discuss the program’s effectiveness and how it has affected banks. 

Bank of America’s stock doubled in 2012. Is there more yet to come? With significant challenges still ahead, it’s critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool‘s premium research report on B of A, analysts Anand Chokkavelu, CFA, and Matt Koppenheffer, Financials bureau chief, lift the veil on the bank’s operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.

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Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

Here's When We'd Sell Wells Fargo

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By David Hanson and Matt Koppenheffer, The Motley Fool

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Wells Fargo is undoubtedly seen as the strongest big U.S. bank, but investors should always be reevaluating their positions to see if their investment thesis has changed. Knowing when to sell is always a difficult decision, but shareholders who can anticipate game-changing impacts are rewarded.

In this video, Motley Fool banking analysts David Hanson and Matt Koppenheffer discuss potential scenarios that might signal that its time to sell your shares of Well Fargo. 

Wells Fargo‘s dedication to solid, conservative banking helped it vastly outperform its peers during the financial meltdown. Today, Wells is the same great bank as ever, but with its stock trading at a premium to the rest of the industry, is there still room to buy, or is it time to cash in your gains? To help figure out whether Wells Fargo is a buy today, I invite you to download our premium research report from one of The Motley Fool‘s top banking analysts. Click here now for instant access to this in-depth take on Wells Fargo.

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Source: FULL ARTICLE at DailyFinance