All Aboard!

Valuing banks right now is pretty much out the door, over the hill, and in the shitter by the pond. Sure BAC is trading at 0.79x tangible book value, but is it really a “bargain”? No Tim, I don’t think so, even if you say “no nationalization”. Besides, how can we trust any sounds coming out of Ken Lewis’ pie hole?

So,  when I take a look at WFC trading at 2.8x tangible book value of $3.85, I think to myself, “Self, that is just wrong”. Yes people, WFC is still trading at lofty and optimistic levels, even as pollyanna bank bulls cry “all aboard” at $10.91. What makes the Stagecoach People so special when the wheels are falling off the wagon?

WFC and their stupid stagecoach should be sold for firewood.

Thanks to their dumb purchase of Wachovia, WFC inherited Wachovia’s dumber purchase of Golden West Financial—originally, a $200 billion Calipornia headache. As you know, Cali’s mortgage industry has taken numerous Hellfire missiles to it’s already surgically altered face. It’s not pretty, my friends. It’s a downright ugly shame.