Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

Big Banc Split Corp T.BNK

Alternate Symbol(s):  T.BNK.PR.A

The investment objectives for the Preferred Shares are to provide their holders with fixed cumulative preferential monthly cash distributions in the amount of $0.05 per Preferred Share ($0.60 per annum or 6.0% per annum on the issue price of $10.00 per Preferred Share) until November 30, 2023 (the Maturity Date) and to return the original issue price of $10.00 to holders on the Maturity Date. The Company will invest on an approximately equally-weighted basis in Portfolio Shares of the following publicly traded Canadian banks: Bank of Montreal; Canadian Imperial Bank of Commerce; National Bank of Canada; Royal Bank of Canada; The Bank of Nova Scotia; and The Toronto-Dominion Bank. The Portfolio will generally be rebalanced on a quarterly basis, starting on September 30, 2020, so that as soon as practicable after each calendar quarter the Portfolio Shares will be held on an approximately equal weight basis.


TSX:BNK - Post by User

Bullboard Posts
Comment by rehsifylfon Oct 22, 2008 5:01pm
426 Views
Post# 15541302

RE: Volatility is getting boring

RE: Volatility is getting boringHeard the volatility called many things - but boring is not one of them.

At this point - you either need to be a) a trader looking to go in and out of the stock based on a dialy basis, or b) confident enough to know that long term these guys are in good shape.  I think anyone else would have gotten out and stayed out at some point over the past month or so.

For BNK - there is really no up-side surprise possible - all info is fully disclosed.  Oil is now under $70.  B/E point for Bankers is ~$60 (according to the last presentation).  At 7000 bpd and $70 oil, that means they make about $25M per year.  200M shares = 12.5 cents per share.  P/E of 10 is 1.25.  Unless they can a) get production up (by spending money they may need) or b) get the price of oil back to $80 - this is it for awhile.

Me - I think oil goes to $80 by YE and then back to $108 by YE 09.  Assuming they slow burn on projects for now, by mid-2010 they should have 15000 bpd at a price of $125 and Netback of $35 p barrel.  Thats $191M per year or nearly $1 per share.  At P/E of 10, that's $10.  Now most carzy bastards that buy something like BNK want 1000% return in 6 months.  But  I think a 3-800% return in less than 2 years looks pretty good.
Bullboard Posts