Bank Stocks/Bank of America

[matjung]

So given two banks
one with a discount of 60% and the other one with 50% from book value,
you would consider the discount 60% as more valuable.
PE ratio is at the moment a bit too volatile to draw any conclusions.
Since the crisis from 2007, the banks I am looking at are all quoted below its book value.

[Montecfo]

Trading that far below book suggests impaired earning ability or a lot of bad assets on balance sheet.

Compare to Citibank ( C ), the US bank with the greatest emerging market presence. it is cheap but continues to trade below book. It has been interesting to trade but would be a frustrating hold.