Most of these smaller regional banks were given "sell" ratings 2-3 years ago, quality "c-", when their
p/s ratios were less than 1 and they were basically breakeven with steady revenue. Now
they are looking pricey, and the ratings are going up! #$%$? Are analyst rating systems exactly "sell low buy high"?
More to the point, why do analyst s***h**** exist?
BNCN should have no trouble paying it off. If it decided not to participate in the auction because it is not ready or because the discount is too slim, no problem.
It does have to work on the operation. It has been disappointing, for far too long.
I understand your frustration. However, banks that are growing with acquisition(s) usually lose tangible book value--they had to pay a little extra, otherwise the acquirees can simply liquidate. With FDIC deals, they actually made money, except these acquirees are a bit crappy. So down the road, the banks had to absorb some losses.
The loses has not been very large, but BNCN was supposed to duplicate its superior management to these acquirees and bring them up to speed. It never happened. Either it did not have the superior management of its own, or the integration took longer.
Not unlike De Novo banks, they'll lose money for a couple years on these acquirees. Eventually, they'll do okay. How well is the question.
I generally stay away from De Novo banks. I'll stay away from BNCN, for that matter any bank that is growing with acquisition. Unless, of course, they already illustrated their ability to integrate the acquirees. USB and WFC came to mind.
That said, it's been a couple of years since BNCN started to expand, maybe better days are just around the corner?
The CEO of High Point-based Bank of North Carolina saw his pay go up last year.
W. Swope Montgomery received total compensation of $808,750 in 2011, an increase from $672,937 in 2010, according to the company’s latest proxy statement filed with the SEC.
That increase included a salary bump from $409,008 to $439,639. Montgomery also received stock awards worth $73,040 in 2011, after having received none in 2010.
Bank of N.C. parent company BNC Bancorp earned net income of $6.9 million in 2011, down from $7.7 million in 2010.
This POS bank doesn't operate in the real world. Just a bunch of wanna be bankers getting fat and I do mean fat,money wise and physically while the stock price continues to deteriate!
Did not realize this POS had exposure to the European debt crisis!How else can one explain the downturn in stock price. This bank want to be is sick! Down over 5% over nothing. Have to laugh. The fruit stand CEO does not have a clue on how to run a progressive bank.Still believe this POS in manipulated as to the share price.
This 2 bagger drops over 6% on 100 share trade. It is unbelievable how this company trades. I bet there is nothing close to this on any stock exchange.I suggest you get out of the stock market and open up a fruit stand on the corner in Thomasville. You would probably do better and the CEO of the fruit stand could sleep better at night!!!
Here's recent news mentioning BNCN - "Nasdaq stocks posting largest volume decreases" - http://hacking-analysts.info/BNCN