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$36.40 1.65 (4.75%)
10/10/2008 4:05 PM

SunTrust Banks, Inc. (STI)

CAPS Rating:
*

A commercial banking organizations and a diversified financial services holding company whose businesses provide a range of financial services to consumer and corporate customers.

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Recs

5

Avatar JDSancho (94.38) Submitted: 6/20/08 11:55 AM : Underperform Start Price: $32.42 STI Score: -99.73

This equation is getting old: Regional bank + potential for dividend cut = CAPS underperform.

SunTrust yields 8.3%. It's price per share has declined over 60% in one year. The cut is coming, and the options activity confirms that suspicion.

I think STI will follow in the footsteps of FITB and KEY. Its stock price will follow the same dramatic swoon downward.

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Avatar JoeD711 (< 20) Submitted: 6/21/08 11:23 AM

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STI doen't have any subprime exposure. They are fundamentally strong, but are being hammered with the group. When its over, STI will rebound nicely. I got thumbs down for now, but am waiting to reverse.

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Avatar jdlech (< 20) Submitted: 6/23/08 12:13 PM

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My guess is that you'll be waiting at least until 2Q2009. We're still getting write offs and the Consumer CC debt industry is fixing to have a meltdown of its own as long as unemployment keeps up.

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Avatar Robert685 (< 20) Submitted: 7/15/08 9:01 PM

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Sadly, JDSancho you just might be correct, but I PRAY you are not.
In a SAD twist of Irony...STI is one of THE MOST (if not THE MOST) conservative Banks you could ever dream to invest in. At least prior to 2006, STI was the kind of stock you'd not only ask, but DEMAND that your Grandmother park her life long savings in as a safe haven for dividend income retirement living.

Admittedly, I'm too scared to look at STI's 10-Q's.. Right now, I don't think I could handle the depression if my fears were proven valid......

(I'm short on here, because I'm "Playing the game"---trying to win, but in "real life" I don't want this to be the case).

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Avatar Niteski (86.21) Submitted: 9/03/08 3:56 PM

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Oh man, I missed this one. I should have called an outpreform back in July with all my other banks. TWO THUMBS WAY UP!!!!!!!

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