BANC - Banc of California: A Regional Bank Gem Selling At 0.8X BV
2024-03-28 01:39:02 ET
Summary
- Banc of California offers an attractive 3% dividend yield and is selling at a 23% discount to its long-term average P/B ratio.
- BANC has a well-performing core loan portfolio with a strong asset quality profile.
- The reduction of high-cost short-term borrowings is a NIM catalyst for the bank in FY 2024.
- Shares remain very attractively valued at 0.8X book value.
Banc of California ( BANC ) makes an attractive valuable position for bank investors as shares provide an attractive 3% dividend yield and the regional lender keeps selling for an attractive discount to its long term average P/B ratio. Banc of California owns a well-performing core loan portfolio with a very strong asset quality profile and the bank has upside revaluation potential related to an improvement in its net interest margin. With shares continuing to trade well below book value, I believe Banc of California is a promising bet on an upside revaluation in 2024....
Banc of California: A Regional Bank Gem Selling At 0.8X BV