Submitted by Wasingtheisofwas t3_126nmc0 in wallstreetbets
SuperAppleLover t1_jeaxhab wrote
Reply to comment by Wasingtheisofwas in My first YOLO. Pray for me. by Wasingtheisofwas
Let’s say I had my money in FRC. I pull out and put it into Wells Fargo or Chase where it’s safer. Why would I withdraw and put it back into FRC?
Zaros262 t1_jeazocd wrote
I don’t have the skills to write a DD. Basically, it’s now trading at less than 2X earnings. If they can recover from the bank runs and come out solvent on the other side, I truly believe that this stock will recover over the next 6 months-2 years. There’s a possibility of a 10x return on the outside and a 3-4X return doesn’t seem crazy either.
Also, we really want to build an expansion on our house. If this 5Xs that gets us halfway there in our budget
SuperAppleLover t1_jeb0jl3 wrote
That was my point in the comment. Earnings will not be the same where it was before because everyone took their cash out. Plus with higher rates, they cannot maintain their previous earnings. How will it recover when most of the people pulled their money out into bigger banks. There’s no incentive for them to return. Example, let’s say you withdrew $5 million out of FRC. Why would you put $1.00 back into FRC?
Chrono400 t1_jebvw20 wrote
You mean the earnings before the bank run?!
No-Introduction-6368 t1_jebl1b9 wrote
I would've say Wells Fargo any safer. Long history of screwing over their clients.
SuperAppleLover t1_jebvnxb wrote
Sure but daddy government won’t ever let Wells Fargo die. Do not have to worry about a bank run.
No-Introduction-6368 t1_jecwdm0 wrote
Haha someone just posted Mitch McConnell's Well Fargo holding on another post. Your comment is legit!
SuperAppleLover t1_jee233x wrote
Man I hate politicians and them owning stocks. Politicians should not be able to have stocks with capped pay of $100,000 a year and an age limit.
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