Investment Gems

Santander is a Value Stock for US Analysts

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Pepe Maltese

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Santander’s value is starting to be recognize. Even across the Atlantic, many analysts are starting to perceive great value in Santander.

Santander is well positioned to grow within Spain when the economy recovers (yes, this is longer term) and will continue to grow in the rest of its higher-growth markets in the interim. I believe the bank is in a better position than most of its peers and is not confronted with the same issues its U.S. counterparts were — and are — since the financial crisis. The bank has a better risk/return profile than its U.S. “value” peers such as Citigroup(C_) and Bank of America(BAC_) as well as the “safe” U.S. banks such as JPMorgan Chase(JPM_) andWells Fargo(WFC_). The bank has solid capital levels and decent return figures, although its equity is trading at approximately 50% of book value. Ultimately, I believe this bank’s stock presents value in the near- to long-term given its exposure to high-growth markets and what I believe is manageable exposure to Europe. The bank also has a very attractive preferred stock(SAN-E) with a 10.5% rate with a yield of 9.97% and a yield to call of 7.92%.

This excerpt was taken from thestreet.com, you can check the full article there. Their view has some similarities with my European Jewels book, although our book puts a lot more focus on the bank’s strategy.

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Hi Fren,

Pepe Maltese

I used to trade inside the machine. Now I just raid it.

I publish two high-conviction setups daily — one momentum, one turnaround — filtered through tape structure, volume shifts, and misaligned narratives.

Some of these turn into full trades. A few evolve into deeper stories. The rest get cut.

This isn’t education. This is intelligence.

I don’t run ads. I don’t sell dreams. I track price, watch structure, and call bullshit when the story breaks.

Follow the setups. Fade the noise. Stick it to the man.

Let’s connect

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