Want to search for posts across your favourite author? Just click on their name to reach their '100 most recent posts' page, and then use the search box located beside their name.
- Manlobbi
Investment Strategies / Mechanical Investing❤
No. of Recommendations: 1
After the recent daily journal 13F update I noticed BOA is also the biggest holding @ 40% still as well as BRKs second largest.
What's the moat and long term buy and hold argument? I can't figure it out.
No. of Recommendations: 6
No. of Recommendations: 4
Moat- 'Wide' (Morningstar)
+ 2nd Largest U.S. Bank
+ Considered to be a Globally Systemic Important Bank
+ Economies of Scale - thru product breadth and its ability to bundle creating switching costs
+ Top issuer of credit and debit cards
+ Dominant wealth managers in the U.S. through its multiple Merrill Lynch platforms (enabling one-stop banking and investment shop)
+ Current Px/Bk .91
+ Current P/E 8.7
+ 52 wk trading range 26.32 - 40.40
+ Berkshire is Largest Stockholder
Suggest you check out Morningstar BAC Stock Analysis
GLTA,
Silverlinin
No. of Recommendations: 1
Thanks for the Morningstar reminder, I'd forgotten about their MOAT ratings. Wells Fargo and JPM still on the "wide moat" list.
No. of Recommendations: 1
Just a thought, FWIW:
Sell May 19 2023 puts, strike 24 (roughly 14% OTM), bid 0.35 ask 0.37
(0.35/(24-0.35))*365/39 = 0.1385, or 13.85% roughly annualized.
Two outcomes:
(1) You make 13.85% or so annualized on this trade, and perhaps on future trades if things continue roughly the same. Not bad in present climate.
(2) You end up owning BAC at a lower price point. Could sell it and keep writing puts, presumably it's not about to go bust. Or if assigned, you could keep the stock that was bought at a discount.
The adage is "Only sell puts on stocks you wouldn't mind owning".
No. of Recommendations: 1
In my ira , last Month I sold the March 17, Bac 30 put for 1.50. It was put to me , hence my cost basis 28.5. I sold the June 30 call for 1.5, my cost now 27, we shall see?
