BAC next stop 9 or 5?

Discussion in 'Stocks' started by myoffices, Jan 27, 2012.

  1. It looks like some BAC moves lately may start to bring some EPS increases over the next few months. Good volume and with some more mortgage refi-s coming soon they should benefit with fees. With a high growth model in the Merrill Lynch Assets in their belly they may benefit with all the deals happening in the EU. If BAC can get their act together we should be in good shape. The Countrywide asset is the Boulder around the neck. Any mortgage clean up benefits them. With a zero rate environment they can borrow money and not have much cost of capital. Fees can make the difference in EPS.

    BAC-MER Investment Banking deal making ability benefits from any EU gain and it looks like its clearing up. The value of their portfolio investments in a great market increases Book Value with any increase or stability. Though Volume is slowed down it make

    Thats the positive side. Whats the downside?
  2. I'm looking for a break above the $7.50 area for a positive sign it may be going higher. How high, don't know.
  3. Tsing Tao

    Tsing Tao

    With the Dash for Trash going on, it's a tough call. I'm going to say we're headed towards 6.
  4. It's just massively levered to the economy. If the economy does better and we don't go to a recession it's probably a $15-20. If the economy double dips it's a $2.
  5. no way BAC gets to the $2 level. But in case it does, I'll surely load up ! I've been long BAC at $5.12 for a while now. unfortunately, I've only got a few hundred shares b/c I thought the stock was going in the $4's, so I was going to average down. Now I'm waiting for a dip in the $6's to rebuy. If you want to hold this stock, its a $10+ stock in a few years. You just need to be willing to hold out !

    My target is the $13-$15 area and I'll sell. No time frame.
  6. Im long also and to add if it goes higher. We'll see what happens.
  7. Pardon the pun. Short interest on BAC has gone up. 0
    % Owned by Insiders
    % Owned by Institutions
    Market Cap.
    $ 0
    Trading Volume - Today
    Trading Volume - Average
    Trading Volume - Today vs. Average
    69.10 %

    The volume has gone down. Short Interest is up. Im thinking that this smells of a Short Squeeze sooner or later. If it stays flat here could be a quick trade between 6-8 over and over again.

    Just can't tell.
  8. I'm no expert, it's just been going up and if goes up some more on good volume I'm adding. If I'm wrong I'll get stopped out.
    I don't really have a fundamental opinion of BAC. I did not like banking there, horrible service, but that's irrelevant for me on a swing trade.
  9. zdreg


    did u pull the number 6 out of the air?
  10. If it gets to $2 it's because they would have to recapitalize like 200% and the market will punish them severely for that. It will be a different company than it is right now. I agree with you though. I'm slightly long.
    #10     Jan 28, 2012