Mark Batty Growth Quotations

There are areas of weakness. It seems growth is difficult for banks, which I would attribute to a flat yield curve and higher funding costs.

People are worried about possible net interest margin compression and credit quality deterioration, as well as slowing consumer loan growth.

Despite rising rates and competitive products elsewhere, such as money market funds, Wells Fargo posted strong deposit growth.

The bankruptcy issue is a one-time situation. Commercial and industrial loan growth was fairly strong and should be the key driver of earnings growth this year for the regional banks.

In some markets we're seeing reasonably strong deposit growth and pretty much across the board, commercial and industrial, middle-market business loans are fairly robust. It's a sign the economy remains fairly strong.

Clearly, Wells Fargo is one of the better-positioned banks. It is in growth markets, has strong asset quality and profitability metrics and its valuation appears reasonable.