Benj GallanderFirst UnitedFUNCTOP PICKNov 17, 2014

(A Top Pick Sept 22/16. Up 70%.) This has done very well, and he keeps on waiting for it to start a dividend again. A regional bank, but with reasonable insider ownership. Well-managed. Trades at around BV. He can see a $5 upside from here.

(Top Pick Oct 27/15, Up 79.89%) They did not dilute shares during the downturn. They stopped paying the dividend and he thinks they will start paying one again. They will be taking out their convertible debentures which pay a high dividend rate.

A bank out of Oakland Maryland. It has a pretty good balance sheet. This bank didn’t dilute at all during the recession. Thinks they will start paying a dividend after 2017, and the stock should start to move up.

(A Top Pick May 7/15. Up 24.09%.) This has been up 25% annualized each of the past 5 years. Doesn’t pay a dividend, but expects it will before the end of 2017. He can see this doing better than a double from here.

(A Top Pick March 26/15. Up 20.89%.) Small US bank with about 25 outlets. Good capitalization ratios and good management. Profitable. Waiting for them to reinstate a dividend. When he looks at the money they are making, they could put in a dividend now. Expects a dividend will be reinstated before 2017, and one that a stock would usually go up on.

(A Top Pick Feb 3/15. Up 12.03%.) A small bank out of Oakland Maryland. 25 branches and great capitalization ratios. Expects that before the end of 2017 they’ll start paying a dividend again. He can see this going back over $20. Compared to many banks, they did not dilute at all during the recession.

Thinks it can double from here. Has had a nice little run lately. A lot of this is because if interest rates go up banks usually do better. A beautifully run little bank. It was so much a better Buy when it was $8, and doesn’t know if he would chase it at its current level.

(A Top Pick Nov 17/14. Down 3.47%.) A small bank based in Oakland, Maryland with 25 branches. Recent quarterly results were not as good. Revenue and income was down a bit. Capitalization rates were down a bit, but are still very good. Prior to the recession it paid $0.20 a quarter as a dividend. They don’t pay a dividend now, but thinks they will start one before the end of 2016. He can see this tripling.

A small US bank. They are making a little bit of money. Have just over 6 million shares outstanding. They did not dilute at all in the recession. This is one of his favourites.

This is a really small US bank. He has a target price of better than $20 on it. There are only 6 million shares. They did not dilute at all during the recession. He suspects they will restart a dividend before the end of 2016. A well-run company with good capitalization ratios. When it moves, it could actually move fairly quickly because of the share count.

(Top Pick May 23/14, Up 2.87%) He thought they would pay a dividend again and would start making a lot of money again. His prediction is that they would have a large dividend by the end of 2016. If they start having a good bottom line he could see this stock taking off again. It is a well run bank with good capitalization ratios.

(A Top Pick May 23/14. Up 8.36%.) This has tremendous upside and thinks it can go better than $20. They only have about 6 million shares. Expects that before the end of 2016 they will re-establish a dividend. Capitalization ratios are very, very good.

Good financial ratios and capitalization ratios. If they start repaying a dividend he can see a cent or two a quarter and then moving up from there. Thinks they will start the dividend this year. A nicely managed company.

One of the beauties is that they have 6 million shares outstanding. They did not increase the share count during the recession when they were having some difficulties. Capitalization ratios are good. BV is 13+, and if you knock out the goodwill, it is 11+. Prior to the recession, they paid a dividend of $.20 a quarter, so he thinks that before the end of 2016, they will re-implement the dividend. Not very liquid.