Share Buybacks Have Created a Dangerous Bubble in Wall Street Bank Stocks

Share Buybacks Have Created a Dangerous Bubble in Wall Street Bank Stocks

By Pam Martens: February 14, 2019 ~ JPMorgan Chase is a Wall Street bank that has pleaded guilty to three felony counts in the past five years and lost at least $6.2 billion of its depositors’ money trading high-risk derivatives in London. And yet, somehow, the bank has a market capitalization (the value of all of its shares outstanding) that makes it among the most valuable companies in the Standard & Poor’s 500. The serially fined and investigated bank, as of yesterday’s close, has a market value of $342.817 billion which is $110.8 billion more than Boeing – one of the most sophisticated engineering companies in the world, producing commercial jet airplanes, military aircraft, rockets and satellites for customers around the globe. Looking at the bizarre situation with a wider lens, if you add up the market cap at yesterday’s market close of General Motors ($54.97 billion), GE ($90.199 billion), … Continue reading →

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