Sandy Weill, the former Citigroup CEO and chairman who helped create the megabank model in the 1990s, said Friday that Morgan Stanley and Charles Schwab were 'really very good buys.'
Bank stocks have been hammered this week, giving back recent gains tied to the reopening of the U.S. economy, in part because the Federal Reserve said it would keep its benchmark rate near zero through 2022. Low rates squeeze the margins banks make when they take in deposits and extend loans.
"The financial industry is in very good shape this time, and the stocks are selling, a lot of them well below book value," Weill told CNBC's Becky Quick on CNBC's "Squawk Box." "I think companies like Morgan Stanley and Schwab are really very good buys for the longer term because they really represent the building up of assets, recurring income," Weill said, referring to two of the biggest players in U.S. wealth management.
The two firms have "made a lot of very smart moves" and the stocks are "really, really cheap relative to the potential," he said. Morgan Stanley
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
CrossFit CEO Resigns After Saying, ‘We’re Not Mourning for George Floyd’CrossFit founder and CEO Greg Glassman resigned Tuesday, days after saying, 'We’re not mourning for George Floyd' during an unhinged Zoom rant
Read more »
Silicon Valley tech CEO charged in coronavirus test fraud case - Business InsiderBusiness Insider is a fast-growing business site with deep financial, media, tech, and other industry verticals. Launched in 2007, the site is now the largest business news site on the web.
Read more »
CrossFit CEO Steps Down After Controversial Tweets About George Floyd and Black Lives MatterHours before the tweets, CrossFit CEO Greg Glassman reportedly told gym owners on a private Zoom call, 'We're not mourning for George Floyd'
Read more »
CrossFit CEO Steps Down Amid Backlash From Leaked Zoom Call'We're not mourning for George Floyd \u2014 I don't think me or any of my staff are.'
Read more »