oh oh me me me.....
BAC is a BUY BUY BUY!!
Full disclosure ~ I've owned this stock since 2006 and have lost more $$$ than a lot of folks actually have....
BUYER BEWARE as BAC does NOT give a hoot about its stockholders!
IMHO this may be the ONLY big bank with a real shot at going under....with the "wonderful" deals made to acquire Countrywide and Merrill Lynch, everything that I read seems to indicate that all of the investment/mortgage mess may not be behind them....
It also seems that BAC is the whipping boy of choice for the media....add to that the possibility that Wikileaks has something on them that just might fuel the fire ~ I would RUN not walk to any other financial institution if that is the area in which you feel that you must invest.
I forgot to add that when I think that the stock can't go any lower or that the news can't get any worse ~ IT DOES!!
PS ~ thanks for remembering me 73ss ;-)
As VaCollector advises, you need to scroll through his old BAC posts.What is everyone think about it. $10.23 reading where they are thinking up to $20. Thoughts
I've read your saga with interest, and believe I have you beat. DH worked for BAC and accumulated 50,000 shares between $16-18 per. When stock hit $50 (yes, I know it went above that once), I urged him to sell half. No, because of cap gains tax. When it slid to $30 I begged sale of half. Again, no due to cap gains. When it hit $15 I groveled, and was turned down due to cap losses. By now it is pointless.
This stock represented 50% of our holdings. We are retired, so not much chance to recoup.
I believe DH has a new,innovative theory -- hold 'n hope.
Perhaps we can be partners in misery!
I know people that have done the same thing.... single stock, a major part of their wealth and fail to diversify... then lose most of it.
It seems that many of these people decide to wait for it to come back... unfortunately, It may not do it in their lifetime or for many years.
When I worked at MegaMotors, I was amazed at how many had their whole 401(K) invested in MegaMotors stock. Pretty clever diversification.....
I too have been thinking of BAC , as a long shot. If they [-] get another bailout[/-] use superior business skill to rebuild the company , it could be a " Ten Bagger" as Peter Lynch used to say.
Well, he does know how to make a deal. Preferred stock @6% div plus warrants to buy 700M shares 7.14.Warren Buffett to invest $5 billion in Bank of America - Yahoo! Finance=
Wow. BAC way up on this news.
He's not buying BoA, he's just lending them money.When are they going to rename it the Bank of Warren? They can list it on the exchange right next to Government Motors.
Clearly the investors think it's a better deal for BofA than for Buffett. But I liked this quote:Well, he does know how to make a deal. Preferred stock @6% div plus warrants to buy 700M shares 7.14.
Goldman-Sachs may have repurchased their preferred shares, but they couldn't recall their warrants, either.Buffett's Berkshire Hathaway will in many ways make out even better financially than Bank of America did in the deal. Berkshire had a position in the bank that he sold in the fourth quarter of 2010 when the stock had an average price of $12.24.
The warrants to buy 700 million shares of common stock he gets in this deal are priced at just over $7.14 per share, with an unusually long 10-year exercise period.
One long-term Berkshire shareholder said the warrants were the best part of the deal by far.
"He could well make a 100 percent return on his investment in a few years," said James Armstrong, president of Henry H. Armstrong Associates. "It's amazing how much a little hug from Buffett is worth these days."
Bank of America will also sell Berkshire 50,000 shares of cumulative perpetual preferred stock with a 6 percent annual dividend, it said. Bank of America can buy back the investment at any time by paying Buffett a 5 percent premium.