BAC to TCB switch-a-roo pays off huge! despite dividend slash
TCB (as expected but not as severe) slashed their Dividend payment from 25 cents to 5 cents. I firmly believe this was done for capital reasons as the bank pays back the TARP to the Federal Government.
TCB is TCF Financial.... I sold out of my BAC at $11.19 and then again at $9.59 and sent the cash straight into TCB.
It's the prudent thing to do when a stock quadruples while another more profitable....less risky...far better bank hasn't even doubled from their lows.
TCB will remain one of the ELITE stocks that will simply do better than the vast majority of the BIG BANKS. I can only think of a few good big banks left to care about... Goldman Sachs....Morgan Stanley.. ....
I don't care for BAC or C or JP Morgan for the fact that it took a Massive Market Investment Swing to the upside to produce the results for Q1 for those banks. Banks that have been profitable mainly to only because of investments are banks you should avoid.
Banks embroilled for a lengthy time in TARP harassment = Avoid...
TCB = TARP Free after gaining FED approval to return the funds.
Just want to let people know that Investors are switching out of ridiculously overbought banks and throwing cash into ridiculously overlooked ones.