Newt Gingrich: Let’s Bust Up Big Banks

Newt Gingrich has joined a growing list of Republican presidential candidates who want to break up big banks (NYSEARCA:KBE).

Gingrich recently made remarks that he supports “very decisive reforms” in the banking industry and said that “in retrospect, repealing the Glass-Steagall Act was probably a mistake,” according to an ABC News interview.

The law was repealed in 1999.

He used the Glass-Steagall card as a way to join in on one of the general election’s heated topics. Gingrich further said, “We should probably reestablish dividing up the big banks into a banking function and an investment function and separating them out again.”

His comments come after the Nov. 9 Republican debate included comments from fellow candidates Jon Huntsman and Rick Perry, who criticized big banks. Huntsman made more detailed comments including a reference to “six institutions that are equal to 60, 65 percent of our GDP, $9.4 trillion.” He further argued “they have an implied guarantee by the taxpayers that they’ll be protected. That’s not fair, that’s not right for the taxpayers.”

Here’s how big bank stocks are trading now:

  • Citigroup, Inc. (NYSE:C): The shares recently traded at $28.35, down $0.98, or 3.34%. Its market capitalization is $82.89 billion. They have traded in a 52-week range of $21.40 to $51.50. Volume today was 25,052,692 shares versus a 3-month average volume of 56,235,300 shares. The company’s trailing P/E is 7.56, while trailing earnings are $3.75 per share. The company pays a dividend of $0.04 per share for a dividend yield of 0.10%. About the company: Citigroup Inc. is a diversified financial services holding company that provides a broad range of financial services to consumer and corporate customers around the world. The Company’s services include investment banking, retail brokerage, corporate banking, and cash management products and services. Get the most recent company news and stock data here >>
  • Bank of America Corporation (NYSE:BAC): The shares recently traded at $6.09, down $0.12, or 1.93%. Its market capitalization is $61.68 billion. They have traded in a 52-week range of $5.13 to $15.31. Volume today was 134,654,680 shares versus a 3-month average volume of 293,906,000 shares. The company’s trailing earnings are $-0.31 per share. The company pays a dividend of $0.04 per share for a dividend yield of 0.60%. About the company: Bank of America Corporation accepts deposits and offers banking, investing, asset management, and other financial and risk-management products and services. The Company has a mortgage lending subsidiary, and an investment banking and securities brokerage subsidiary. Get the most recent company news and stock data here >>
  • JPMorgan Chase & Co. (NYSE:JPM): The shares recently traded at $32.48, down $0.8, or 2.4%. Its market capitalization is $123.35 billion. They have traded in a 52-week range of $27.85 to $48.36. Volume today was 14,029,548 shares versus a 3-month average volume of 46,667,600 shares. The company’s trailing P/E is 6.92, while trailing earnings are $4.69 per share. The company pays a dividend of $1.00 per share for a dividend yield of 3.00%. About the company: JPMorgan Chase & Co. provides global financial services and retail banking. The Company provides services such as investment banking, treasury and securities services, asset management, private banking, card member services, commercial banking, and home finance. JP Morgan Chase serves business enterprises, institutions, and individuals. Get the most recent company news and stock data here >>
  • Wells Fargo & Company (NYSE:WFC): The shares recently traded at $25.04, down $0.61, or 2.38%. Its market capitalization is $132.05 billion. They have traded in a 52-week range of $22.58 to $34.25. Volume today was 12,756,179 shares versus a 3-month average volume of 43,141,100 shares. The company’s trailing P/E is 9.27, while trailing earnings are $2.70 per share. The company pays a dividend of $0.48 per share for a dividend yield of 1.80%. About the company: Wells Fargo & Company is a diversified financial services company providing banking, insurance, investments, mortgage, leasing, credit cards, and consumer finance. The Company operates through physical stores, the Internet and other distribution channels across North America and elsewhere internationally. Get the most recent company news and stock data here >>
  • BB & T Corp. (NYSE:BBT): The shares recently traded at $23.08, down $0.5, or 2.12%. Its market capitalization is $16.09 billion. They have traded in a 52-week range of $18.92 to $29.60. Volume today was 2,036,897 shares versus a 3-month average volume of 8,045,610 shares. The company’s trailing P/E is 14.79, while trailing earnings are $1.56 per share. The company pays a dividend of $0.64 per share for a dividend yield of 2.70%. About the company: BB&T Corporation operates banking offices in the Carolinas, Georgia, Virginia, Maryland, West Virginia, Kentucky, Alabama, Indiana, Washington D.C., Florida and Tennessee. The Company and its subsidiaries offer full-service commercial and retail banking, as well as insurance, retail brokerage, corporate finance, international banking, leasing, and trust services. Get the most recent company news and stock data here >>

Investing Insights: Here’s Why Goldman Sachs is Staying Long Gold.

More from The Cheat Sheet