The core, domestic operations at Bank of America (BAC) are still being valued at $0, according to BreakingViews. Even after yesterday’s rally, the stock still trades at a piddly $30 billion market cap; that’s less than just the firm’s minority holdings.
- It’s got $4.5 billion worth of Santander’s Mexico bank and Brazil’s Banco Itao.
- It’s stake BlackRock, courtesy of the Merrill acquisition, is worth $5.75 billion.
- Finally, it owns 16.7% of the China Construction Bank, for another $20 billion.
That gets you to over $30 billion right there, meaning that if you believe Ken Lewis, that Bank of America is nothing like Citigroup, and that taking a second $20 billion bailout was merely a tactical, marketing mistake, you’re getting the entire bank for free. Free! That’s less than the cost of an ATM for BofA’s own customers.
Oh, and as a bonus: Cramer likes it!