What You Were Buying Last Week: Barclays PLC (ADR) (BCS)

Page 1 of 2

Barclays PLC (ADR) (NYSE:BCS)LONDON — One of Warren Buffett’s famous investing sayings is “be fearful when others are greedy and greedy only when others are fearful” — or, in other words, sell when others are buying, and buy when they’re selling.

But we might expect Foolish investors to know that, and looking at what Fools have been buying recently might well provide us with some ideas for good investments.

So, in this series of articles, we’re going to look at what customers of The Motley Fool ShareDealing Service have been buying in the past week or so, and what might have made them decide to do so.

Trading at a discount
The major U.K. banks have turned in some fantastic gains in share price over the past 18 months. Lloyds leads the pack by some considerable distance, with a 150% rise. But the 68%, 60%, and 42% rises recorded by Barclays PLC (ADR) (NYSE:BCS), Royal Bank of Scotland Group plc (ADR) (NYSE:RBS), and HSBC Holdings plc (ADR) (NYSE:HBC) respectively are also pretty impressive.

With those sorts of gains, there’s always the temptation to take a profit, especially if you think there may be a market correction (as seem to be currently happening in Australia). But while some people were¬†selling Lloyds last week, others were buying Barclays PLC (ADR) (NYSE:BCS). Or perhaps they were the same people, swapping one company that may have peaked for another with more yet to offer. Whoever they were, they put Barclays in the No. 6 spot in the latest “Top Ten Buys” list*.

One thing that might have made Barclays PLC (ADR) (NYSE:BCS) attractive is the fact that it’s currently trading at a discount of over 26% to its net asset value (NAV) as of 31 March. Even its net tangible asset value — a more conservative measure of a company’s worth — is around 13% higher than its current share price of 297 pence. A bank should trade above its NAV, so the discount may suggest that Barclays PLC (ADR) (NYSE:BCS) share price has some way yet to go.

Page 1 of 2
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The Most Successful Reality TV Stars

Cheapest Cities to Visit in the US

Most Expensive Summer Camps

Most Expensive Animals in the World

Most Expensive Specialty Crops in the World

Movies That Took Ages to Make

The Longest Hollywood Films Ever Made

Most Expensive Concert Stages

The Richest Bands of all Time

10 Most Corrupt Countries 2013 List

10 Countries with the Highest Quality of Life Index

Most Expensive Mattresses in the World

5 Smallest Countries by Land Area

The Ultimate Heartbreak Songs

Richest Teenagers in the World

10 Most Haunted Places in America

10 Best Places to Retire in Florida East Coast

Top 10 Places to See Before You Die

Top 8 Countries in the World Where Justice Prevails

10 Richest States in America

15 Wealthiest Countries in the World

Richest Singers in the World

Most Expensive Tasting Menu in New York City

Most Expensive Baby Items in the World

Most Expensive Hotel Suites in Vegas

Most Expensive Brunch in New York City

Most Expensive Beef Cuts in the World

25 Best Colleges to Get a Job

Top 10 US Supermarkets

The 25 Most Dangerous Cities in the World to Visit

Most Expensive Xbox Games

Top 11 Cities Where Billionaires Live

Top 10 Most Charitable Companies in America

Most Expensive Seafood in the World

The 10 Wildest Conspiracy Theories

The 10 Best Job Markets in the US

Top 10 Accounting Scandals of All Time

The 25 Biggest Cities in the World

Top 10 Best Paying Virtual Jobs

Most Expensive Leather Shoes in the World

Top 6 Things to Buy in March

The 10 Most Stressful Jobs in America – 2014 List

Top 10 Jobs for Introverted People

Top 10 Honeymoon Destinations in the World

Top 10 Highest Paying Jobs in the World

Most Expensive Day-Care in New York City

The 10 Cheapest Places to Retire Abroad

Top 10 Most Expensive Luxury Cars in the World – 2014

Killer Small Business Ideas

The 50 Best Personal Finance Blogs

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!