Riverview Bancorp, Inc. (NASDAQ:RVSB)
A community-oriented financial services company, which emphasizes local, personal service to residents of its primary market area.
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Riverview has just started issuing 8.3 million more shares...... which will result in a 40%+- dilution in shareholder equity.
The capital raised by this effort will be meger, and the dilution could drive share prices below $1.50 in the near term. While I do not understand the logic of the boards action (insiders held about 20% of the stock prior to the new issue), as share prices bottom I will be looking to buy, as fundamentals appear to be sound.
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This regional bank is being punished for other banks' sins. They appear to have a clean record but are being dragged down anyway.
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In anticipation of the eventual rebound of the financial sector. A little early for bottom feeding, but I am just indiscriminately putting all stocks that are tagged S&L.
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Another company I like for both short and long term. I'm planning on holding this one for retirement. The bank has been around since before the Great Depression and has had more than one branch for over thirty years. It has been actively growing at a healthy clip for over ten years, adding two branches and a loan office in the past year alone. They have growth rates and efficency improvements in the double digits They have never made a subprime loan. And yet they are downgraded because growth expectations were lowered. Great opportunity to snatch up cheap shares. Don't forget one of the best dividends in the financial sector!
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