Why Big Banks May Not Pay Shareholders

Updated

In the following video, Motley Fool financials analyst David Hanson takes a look forward at the upcoming CCAR banking stress test results, which will be the basis upon which the Fed decides whether to grant permission to the banks to expand their capital allocation programs through dividend increases and share repurchases. He takes a look at three of the biggest banks receiving results tomorrow, JP Morgan , Bank of America , and Citigroup , and gives investors the most likely scenario for what, if any, new capital allocations they can expect.

Bank of America's stock doubled in 2012. Is there more yet to come? With significant challenges still ahead, it's critical to have a solid understanding of this megabank before adding it to your portfolio. In The Motley Fool's premium research report on B of A, analysts Anand Chokkavelu, CFA, and Financials Bureau Chief Matt Koppenheffer lift the veil on the bank's operations, including detailing three reasons to buy and three reasons to sell. Click here now to claim your copy.


The article Why Big Banks May Not Pay Shareholders originally appeared on Fool.com.

David Hanson has no position in any stocks mentioned. The Motley Fool owns shares of Bank of America, Citigroup, and JPMorgan Chase. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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