“There’s no incentive to buy banking stocks” says David Buik, Senior Market Commenter at Panmure Gordon, as he discusses the ARM (LON:ARM)-Softbank (T:9984) deal, the tech sector, and the state of the UK banks, along with Zak Mir, Technical Analyst at Zak’s Traders Cafe.
Key Quotes
“Very happy for the shareholders of ARM holding... Softbank’s whooping bid pushed up AMR prices by more than 40%. In isolation this is very good news. Softbank would be able to widen its markets.”
“One reason not overtly happy about Arm takeover is … apart from Sage there is nothing about the future. As there is same old boring old tobacco stocks, languishing banks miners, pharma/drugs, retail…i.e. nothing for the future. So once you strip out your main innovative stock/sector (technology) very little remains for future development.”
“Banking – no incentive to buy bank stocks…one bank that is attractive is Barclays (LON:BARC). Share price tells everything.”