GrowthTurtle
Data Science PhD & IEEE Fellow, Ex-Two Sigma
Equity Bancshares looks cheap against its expected earnings at $47.54. It trades at 28x trailing earnings but about 9x next year's, versus a typical 12x for banks. At 12x next year's $5.47 EPS, give or take 12%, fair value runs $57.79 to $73.56, leaving the stock 18% below the low end. The case leans on the forecast, with forward earnings 222% above trailing, and rests on valuation levels rather than fundamental work. x.com
JPMorgan looks remarkably cheap against nearly every other bank despite being the best of them. Its forward P/E looks to be around 13. x.com
Nu Holdings trades at only 12x forward earnings despite strong growth, expanding profitability and operating leverage across its businesses and products. It costs under $1 to serve a customer, with no branches, paperwork or hidden fees; it reached 130+ million customers in eleven years and runs a 20% efficiency ratio versus 55% for the average bank. Per @JonahLupton, Q2 revenue rose 50% and net income 67%; he puts it near 11.2x next-twelve-month EPS with fair value of $24-28 per share. x.com … Show more
