I assume that most you have read this paragraph from Motley Fool:
A community-based business model For starters, NewAlliance is emulating the community-banking business model that has worked quite well for BB&T (NYSE: BBT - News), whose shares grew 37.8% (excluding dividends) on an annualized basis through the 10 years ending Dec. 1, 2005. Its business model is based on localized management and decision-making. That means loan paperwork is not shipped off to a centralized processing center, and bank managers can respond more quickly to issues affecting their local market areas. BB&T has also grown mainly through acquisitions, as NewAlliance plans to do.
I am sure that BBT will continue to do well in 2006 as in the past.
I don't think BBT is up 37%. A little too high. I think it is up only about 18%. It really depends on how you compute the profit. Based on a stock price of $10/share in 1995 and a price of $42 in 2005 and a dividend of 3.5% I calculate a compound interest of about 18%. This is not bad for a long term investment.
Can you calculate that growth including the dividends. ie--Had I invested $100 in BBT stock on 12/2/95, how much would it be worth on 12/1/05 if I invested all of the dividends? STI would be worth $217+ change according to their web-site. RM