SELL: Preferred Bank (PFBC)
From Upside
Updated from Investment Digest 768, April 22, 2015
Preferred Bank (PFBC) was dropped to Sell, largely because the stock seemed pricey. At 20 times trailing earnings, shares trade at a 32% premium to their five-year average P/E. The Value score is 56, versus the average of 62 for 405 regional banks in Quadrix. Moreover, the industry group has been under pressure following a big rally.
Richard J. Moroney, CFA, Upside, www.upsidestocks.com, 800-233-5922, April 2017