Daily Stock Opinions and Ratings

Wealthica The ultimate 360° Tracker Your financial life in one place, automatically

Opinions

Hap (Robert) Sneddon FCSIDeutsche Bank AGDBCOMMENTNov 17, 2017

Has been a laggard and went through things other banks haven’t. Chart looks similar to last year’s where we had some higher lows, where the longer-term trend was broken. You want to see this move up through that line substantially, and it has already done that. Some indicators are starting to turn up. This should move with rates going higher. The break out through $18 was an indication this should move higher.

Hap (Robert) Sneddon FCSI

Unknown

Unlock Rating

$19.13

Stock price when the opinion was issued

$31.51

As of Jun 05, 2026. Market Open.

banks

It's the ideal tool to help you make quicker, more informed decisions for managing and tracking your investments.

Get Signals Create your Watchlist

You might be interested:

PARTIAL BUY

Never got its legs again since glory days of 2007. Recent chart action suggests stock wants to come back to around $13 level. Long term, might have big upside. Constantly reinventing itself. Not the best name, but worst is over. You could take a chance. Buy part now, rest after election.

HOLD

Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research.

DB has fallen 94% since just before 2008 and on paper, this is a very similar pattern to CS. DB is down ~6% today and its Credit Default Swaps (CDS) have been moving substantially higher today, indicating that investors are paying up for insurance in the event that DB fails or defaults. At times, these events can become a self-fulfilling prophecy, and a material decline in its share price can lead to fewer funding options and a worse liquidity picture for the company. The Fed and other central banks around the world established open swap lines the other weekend so that in the event of depositors withdrawing funds from a foreign bank, that foreign bank can call upon the Fed and receive par for US Treasury Bills, even if they are well below par on the market. This was not established when CS failed, and we feel that this might help to alleviate any issues with DB.

Overall, as we've learned, these events can happen fast, and we're not ruling out the possibility of DB failing, but everyone, including the Fed and the US Treasury are keeping a closer eye on these possibilities and we think that higher level of scrutiny should help to quickly respond to any weaknesses in the bank.
Unlock Premium - Try 5i Free

COMMENT

options Put-buying today of 20,000 of the July 9 puts for about 30 cents. That's interesting because they own the June 10 puts, made money, sold them and rolled to July 9. The stock was trading at $9.60 at the time.

DON'T BUY

Believes banks exposed to North America will benefit positively from rising interest rates. Revolving door with management, and host of other problems has created problems for company. Recommends giving stock some time to recover, but don't buy more.

DON'T BUY

DB vs. CS CS is the worse performing one because they lent 5B to the hedge fund that lost 20B in two days, written off. European banks are not that attractive. DB has some strong sells. All are slow growth, unattractive valuations. Prefers Canadian banks.

DON'T BUY

The UK banking system, especially in Germany, has not required big banks to clean up their balance sheets like within the US. He would not put more money into this region. He would stay away.

DON'T BUY

Among the worst banks in Europe. Trying to cut costs since 7 years, but still losing market share. Reduced dividends again. They don't know what they're doing. Want quality companies with free cashflow.

PAST TOP PICK

(A Top Pick Jun 29/18, Down 32%) The flat yield curve, along with a riskier play resulted in this holding being stopped out. A collapse of a proposed merger also hurt them.

BUY

Barclays vs. Deutsche Bank He prefers Deutsche Bank, because it trades at a much lower valuation. Both trade at a fraction of their book value. Deutsche Bank has turned a corner with cost-cutting, though Barclays pays a better dividend. He likes European banks because they've been so beaten down and are trading at a fraction of valuation of the US banks. This is a pivotal year for Deutsche Bank and it should enjoy a big earnings bump.

DON'T BUY

A Merger with another bank? He stayed way because he does not like their lines of business. Merging both balance sheets leaves him at a loss. He does not see how it helps them except perhaps to close branches and lay people off. Germany is a massively over-banked market.

DON'T BUY

This has been a train wreck -- there are better companies out there. They continue to see problems come forward. The only way to see a recovery is if interest rates go up -- something he does not expect soon.

DON'T BUY

Deustche Bank vs. Barclay's DB is poorly run; he much prefers Barclay's. DB has gone though massive restructuring with many difficulties, still is. They've had a poorly run retail banking business. With their investment bank, they've bought a lot of things without integrating their technology. So, after the 2008 crash, things got very difficult for DB. A lot of their business was in fixed income where a lot of capital is used. Barclay's is in a much better position. They bought Lehman Brothers; has a great retail business; great credit card and superb investment bank businesses. It's run by an ex-JP Morgan buy. DB is a trade at best, while Barclay's will see growth for a while.

PAST TOP PICK

(A Top Pick Jun 29/18, Down 17%) They recapitalized and has shrunk to grow. Regulators never hiked rates in Europe like in North America, which was a surprise to him. Now there are no forecasts for rate hikes in North America, which will create further headwinds. You make more money when they are being fined, than during regular course of business. Rumours of merger abound, but he puts no value in that. He is sticking with it.

DON'T BUY

Down 47% over last 12 months. No growth in Europe, lawsuits, people leaving, constantly reconfiguring the company. Please avoid this one. (Analysts’ price target is $9.80)

DON'T BUY

Can it go bankrupt? It was one of the first to see widening credit spreads. They have not been doing well since the crisis. They have been more negatively affected by the change in banking business mix than the rest. Rhetoric around trade is going to ratchet up and down but global trade is still intact.

Most Recent Experts

Brian Madden

First Avenue Investment Counsel

The Panic-Proof Portfolio (Stockchase Research)

Stockchase Premium

Darren Sissons

Campbell Lee & Ross

The Weekly Buzzing Stocks by Billy Kawasaki

Stockchase

Joe Terranova

Virtus Investment Partners

Stockchase, in its reporting on what has been discussed by individuals on business television programs (in particular Business News Network), neither recommends nor promotes any investment strategies.

We paraphrase the experts by hand, we watch the shows and write down what we understood from the experts’ comments. We are human and can make mistakes, help us fix any errors. If you see something that you know is not right or if there is a problem with the site, feel free to email us at : [email protected].

Hap (Robert) Sneddon FCSIDeutsche Bank AGDBCOMMENTNov 17, 2017

You might be interested:

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Deutsche Bank AG(DB)

Latest Buy Signals

Today's Top Picks

Popular Articles

Latest Sell Signals

Most Recent Experts

Brian Madden

The Panic-Proof Portfolio (Stockchase Research)

Darren Sissons

The Weekly Buzzing Stocks by Billy Kawasaki

Joe Terranova