Could someone explain this to me?

[Russ H]

.MOved down the page so you can

read around this stupid ad! =>


issed:










B of A posts record earnings-- 10 TIMES what analysts predicted-- but the stock goes down.

Two quotes that seemed contradictory to me:

. . . results included a big increase in troubled loans and the bank's shares tumbled 12 percent.

and then:

Mortgage and home equity loan production rose 79 percent from the fourth quarter to $89.26 billion. But this suggests a loss of market share to Wells Fargo & Co, despite Countrywide. Wells Fargo said it made more than $100 billion of mortgage loans in the quarter.

So first, you downgrade the stock b/c the bank made troubled loans, but then you say that Wells Fargo made even more loans?

********

The article:

Bank of America profit rises, credit quality sours

Anyone care to take a stab at this whole thing? I realize that BofA has become a juggernaut (BofA/Merrill/Countryiwde/etc) that is hard to analyze (and I note that most of the earnings came from the Merrill Lynch end of things).

Please remember that when it comes to stock market stuff, I am beyond stoopid (it's why I do RE!).

-Russ H.

 

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[Sparlin]

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[Jonleehacker]

cideati epemztvt neli qsifodvoupt cetif up cievoph vji qsiwouat R't sitamvt. Ov tezt:

juni iraovz muep qsufadvoup suti 79 qisdipv gsun vji guasvj raesvis

Vji liz iminipv ot "gsun vji gusvj raesvis"

Cav og vji gusvj raesvis xet vji dseqqoitv raesvis op vji jotvusz ug vji dunqepz (xjodj ov qsucecmz xet) vjip cievoph ov cz 79% ot pu hsiev tjeli, epf ot tvomm siemmz dseqqz.

 

[kidgas]

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