Better Buy: Bank of America vs. JPMorgan Chase
This is a fool.com article.
JPMorgan Chase (NYSE:JPM) and Bank of America (NYSE:BAC) are the nation’s two biggest banks by assets. But aside from this similarity, the investment thesis behind these two megabanks is very different. Whether one is a better buy than the other, in turn, boils down to your investment objectives.
The difference between these two banks insofar as investors are concerned traces its roots back to the financial crisis. Bank of America just barely survived the crisis. Thanks to its acquisition of Countrywide Financial in particular, it has suffered upwards of $200 billion worth of losses stemming principally from imprudent bets on the subprime mortgage market. The net result is that Bank of America has had to spend the intervening years retreating and retrenching.
PiggyBankBlog Bailiff: “All rise! The honorable Congresswoman Marcy Kaptur has entered the Courtroom of Public Opinion!”