Wells Fargo, JPMorgan, Bank of America Favored: Smead Capital

The transcript discusses the valuation of bank shares, focusing on Wells Fargo, JP Morgan, and Bank of America, and the attractive entry prices due to discounted concerns. It highlights the investment strategy of focusing on domestic shares and the US economy, contrasting it with Citigroup's global leverage. The discussion also covers the low velocity of money and its potential impact on inflation, as well as the strength of the US consumer and its role in the economy. Finally, it provides insights into Citigroup's performance and its implications for the banking sector.

Why does the speaker find the current valuation of certain bank shares attractive?

• Because they have high dividend yields.

• Because they are the largest banks in the world.

• Due to extraordinary valuation discounts.

• Due to their international market presence.

What is the main reason the speaker's portfolio does not include Citigroup?

• Citigroup has a high risk of bankruptcy.

• Citigroup is more leveraged to emerging markets.

• Citigroup has low customer satisfaction.

• Citigroup has a poor credit rating.

What is the current state of the velocity of money according to the speaker?

• It is at a high level.

• It is rapidly increasing.

• It is fluctuating unpredictably.

• It is on the floor.

What does the speaker suggest is missing from the current economic discussion?

• The role of government policies.

• The influence of global trade.

• The impact of technology on banking.

• The potential for inflation.

What percentage of the U.S. economy does the consumer represent, according to the speaker?

• 70%

• 80%

• 50%

• 60%