Bancolombia S.A. (ADR) (NYSE:CIB)

Gordon Wilcox at Benzinger

In the past months has been in a downturn but it has good fundamentals and will continue to grow in Colombia with a good potential and steady grow.

This rapidly growing Latin American bank earns roe's above 20% per year while maintaining a conservative balance sheet. Looks like a bargain at 2 times book value. Jon markman likes this stock right now.

Goldman downgraded to sell from neutral.

Cyclical action in an uncertain market in an adverse environment.

Great stock that dropped with the market; on the way back up.

Latin America bank stock

Latin America Banking Stocks doing well In this Market.

Very good fundamentals.

#1 Bank in Colombia, top 10 in Latin America, only above from Brazil and Mexico.

Rapid internationalization: #1 in El Salvador (bought Banco Agricola), Peru with subsidiaries, Miami, Panama, Puerto Rico, Madrid.

Growing profits.

The oder analysis goes to the country Colombia:

Going to a safe country, growing economy.

This could be a good invest oportunity.

Readding on the dip.

A frontier market banking play on the future of Colombia to become the next Brazil, with high risk/reward trade-off in an unstable region.

As long as Uribe remains in power and FDI continues to flow into Colombia, the probability is high that the growth of the financial sector will continue.

Uribe's second term has two years to go and supporters are already working to modify the constitution to allow a third term due to incredible accomplishments in security and financial stability.

I expect that the Colombian exchange will continue to grow in capitalisation in concert with continued security.

If you want to invest in LATAM this is a company with strong fundamentals. One of the strongest banking players in Colombia.

Few BOE reasons to pick:

-Positive earnings for the last 5 years

-25.99% Net profit Margin

-25.6% ROE

-Reasonably levered for financial stock

-Div yield = 2.9% (above S&P500 average)

-Dollar going down = Better for this company which works with Colombian Pesos

For more info on Colombia read:

http://www.businessweek.com/magazine/content/07_22/b4036001.htm

Banking is not sexy, but Colombia is.

This is the most relevant player in the banking business in Colombia. Strong customer base & strong financial muscle. It could have some bumpy times in the near future because of a local litigation regarding another bank acquisiton. Hope this helps!

Constance picks - best of S. A.

fast money mention got me looking - i believe in the latam and columbia story and this is the best way to play that.

Columbia FTW

Bancolombia S.A. (BSA) is Colombia’s largest commercial bank. It carries out Retail, Small, Medium-Sized Enterprises Banking; Corporate Banking; and Mortgage & Building Banking operations. BSA.'s customers have access to a network of branches and automated teller machines in Colombia with around 680 branch offices operating in 146 cities.

As on January 2007, BSA’s market share was 17.8% of total deposits, 19.9% of total net loans, 18.5% of total savings accounts, 20.9% of total checking accounts and 13.2% of total time deposits. In mid May it will purchase El Salvador's largest financial conglomerate Banagricola, with the aim of increasing its market share and operating efficiency. It will finance this purchase by issuing a US$ 300mn subordinated bond and US$ 300mn in preferred shares.

Colombia's merger & acquisition activity is at an all-time high, both from foreign investors seeking investment options in Colombia as well as local businessmen searching for opportunities abroad. Thus its investment banking arm is expected to lead 25 to 30 transactions with 80% growth in commission revenues. In order to reap benefits out of upswing in infrastructure sector, investment banking arm of bank has recently created a specialized unit for infrastructure sector.

In fourth quarter 2006, company recorded strong net margin of 7.29% and capital adequacy ratio is at comfortable position. Non performing assets further reduced to 1.36%. Its debt-equity ratio is reduced to 0.36:1. With strong financial position and growth opportunities this stock is expected to perform well.