Columbia Banking System Inc (COLB-Q)

He's long owned it. The regional U.S. bank space has been under pressure. U.S. growth will be challenged going ahead. COLB is down 20% YTD, though the dividend is safe and the company has a good balance sheet. The stock is neither cheap or pricey now. How much overall exposure do you have to U.S. financials? Consider that. It should be lower than in past years.

This regional bank is focused in the Pacific Northwest, where there is good demographic and employment fundamentals. It is priced at similar multiples as last year, but the regulatory environment is more favorable now. Yield 2.5%. (Analysts’ price target is $46.25)

(A Top Pick Jan 27/18, Up 9%) See top picks today for an alternative. He was concentrating on populations where you see growth. BAC-N, for example will do well in some areas and off set great gains in others. You have to really do your homework if you go into the regional banks.

A regional bank. Over the next year, with the confidence the US consumer is going to get with Wall Street Reform and tax reform, this is a name that tends to benefit. Located in a more affluent geography, in the Pacific Northwest, where there is growth in terms of jobs and income. Trading at around 20X. Dividend yield of 1.9%. (Analysts’ price target is $46.)

(A Top Pick June 22/16. Up 62%.) Has liked this name for a few years. If you want to play the US consumer, regional banks are the way to do it. The issue is, there are so many regional banks.

A regional bank, which is the purest play on the US consumer. The catalyst is that they recently made an acquisition of Pacific Continental for $644 million. The share price sold off making it an attractive entry point. Dividend yield of 2.14%. (Analysts’ price target is $43.80.)

A US regional bank. Focused in the Pacific Northwest where there is significant growth in population, wages and employment. Financials have all been beaten up because the idea of rates going up is not as prevalent as had been originally thought. Dividend yield of 2.65%.

(Top Pick Jan 16/15, Up 21.23%) You are getting away from investment and wealth management banking. As the debt capacity of the public goes higher, people start renovating, for example. He does not expect another 20% year. He expects 8-10% this year.

(A Top Pick Jan 16/15. Up 41.49%.) His way of capitalizing on the US consumer is through the regional banks. Regional banks tend to just do the meat and potatoes type of business in banking.

(Top Pick Jan 16/15, Up 27.59%) He continues to like the name. It is a play on the US consumer. US consumer debt is at 100% compared to Canadian debt at 165%. They are strategically located in high growth states.

(A Top Pick Jan 16/15. Up 28.75%.) When he recommended this, it was in the early stages of the consumers becoming active and the regional banks starting to benefit. He is still Buying this for new clients. On a PE basis it is still reasonable. Dividend yield of 4.25%.

Still his favourite bank and the one that he is seeing the most upside with. They recently did an acquisition of another regional bank. Over the last year he has seen great growth on their loans and deposits. Still buying it for new clients. Dividend yield of 2.3%.

The story here is that they are strategically located in the Pacific Northwest, which is a region that he likes. There is a growth in population, decline in unemployment and wages are growing. Pays about a 2% dividend while you wait. Overall, he likes the regional banking space. He is bullish on the US consumer.