Blast From Dick Bove's Long And Illustrious Past
No, this is not about Dick Bove's Buy recommendation of Lehman days ahead of the bankruptcy, or what seems like his "Buy" rating on Bank of America since the end of World War II, or 4 years after Bove's birth. No: we have a special surprise for readers out of the overhyped banking analyst, who still inexplicably appears on various TV outlets, even if the anchors have a tough time remembering just what firm he is with these days. So, without further ado, here is Bove's take on the single worst merger in the history of the financial industry: that between Bank of America and the toxic mortgage factory Countrywide Financial.
From Bloomberg, August 23, 2007
"Additive": to the tune of negative $40 billion 5 years later. Bove was half right though: it was an investment that made sense for Countrywide; for Bank of America... not so much.
Take home: keep appearing on TV, pretend like you never said what you said, wear a freshly ironed suit, sound confident, and collect your $200 CNBC contributor check. And life shall be well.