Oakmark's Bill Nygren sees an opportunity in bank stocks amid sector turmoil

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The portfolio manager said 'the consistent message we hear is that customers are behaving as they normally would. It's business as usual.'

Oakmark Select Fund's Bill Nygren said it is a good time to buy bank stocks, as attention shifts away from the failure of Silicon Valley Bank and toward financial names he believes are strong investments. "I think it's important for people to understand just how different SVB is or was compared to other bank stocks," Nygren said on CNBC's "Closing Bell.

We think it's really well managed," he said. The stock gained 0.9% on Tuesday, clawing back into the green after hitting a 52-week low of $27.87 intraday Monday. The stock has dropped by 19% so far this month. The total return on these financial stocks are better than the average company, Nygren said, adding that their slow revenue growth and slight improvement in efficiency leads to "reasonable net income growth" and capital return to shareholders.

 

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I don’t take tips from CNBC or any of its ‘experts’. This applies to other media outlets as well. But I do think JP Morgan + Goldman will be winners in this whole deal.

Vultures?

Years ago, Washington Mutual was a large part of his portfolio.

Of course but not now wait few days

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