i expect suntrust to pass. this is one of the main reasons we've been buying it so aggressively for the trust. it's given you a delicious pullback of late. even as the stock rallied 38 cents or 1.3% today. suntrust is about two points off its high at these levels and ever since the beginning of the year it's been lagging regional bank stocks by 10% and trails the overall bank index by 7%. expectations for suntrust have come down. kpw downgraded february 19th on earnings worries. i think this negativity is creating a terrific buying opportunity in suntrust ahead of what's likely to be a colossal positive strategy. i'm telling you about it now because i want you to have time to do some homework, take advantage of the weakness and use it to buy the stock carefully without a gun to your head. don't invest like this. then there are of course the fundamentals. suntrust has major exposure to housing, especially in the southeastern part of the country. just counting the number of branches, it's the market leader in geo

i'm talking about suntrust, sti. atlanta based southeastern regional bank we've been biography for my charitable trust lately. before we make a move, you get a bull bulletin. we got the release the results from the comprehensive capital analysis and review. they use it to determine which banks will be allowed to return more capital to shareholders via larger buybacks and increased dividends. this will be the watershed event for this group. this is what i've been waiting for, seemingly forever. last year suntrust was one of just four major banks to fail this very stringent stress test. that's right. that's right. that meant that unlike most other banks, the company has not been allowed to raise its dividend beyond the current meager 0.7%. that's the yield. i expect this year sun trust will pass the stress test and if that happens, we're likely to see the company do a buyback. you increase the eps number by raising the earnings or by this ringing the number of shares, or both, something sun trust could do dramatically

last year i don't know internally why suntrust ask for what they did.erhaps they asked for a little too much. if their is a general lesson that has been learned it is maybe we should be a little more modest and what we ask for. twelve months from now we will begin said pickup call request, particularly after we show another 12 months worth of robust earnings and capital generation. cheryl: if these banks performs like he believes they will, 20,141st quarter will be one heck of a return for those that own the shares. thank you. >> you're welcome. have a good day. cheryl: you, too. closing bell ringing 51 minutes from now. markets are having a good day. another disaster for carnival cruise on their aptly named dream cruise liner. customers say overflowing toilets, broken elevators. plus, oh, yeah. your cancel vacation. it looks like norwegian is swimming. coming up, the ceo of norwegian cruise lines will be here. an exclusive interview you will only see right here on fox business. first, digging in as goldman gets on its soapbox and takes the stand. we wi

since this is the first time you're on, i'm a bank officer, lending officer at suntrust. how does qlik view help me? >> what you want to have is a dashboard in front of you so you can view that customer, jim his portfolio doing? what are his options? i want to have that at my fingertips. >> what would happen otherwise? would i have to make calls? let's say traditional network management company would not give me that kind of report to be able to manipulate and find out stuff? >> i think you will get a snapshot, but a static view. you want the dynamic interface. you want to drill in, what happened a year ago? what if this happens? what if we simulate the interest rate going up? what happens if europe hits another bump? that's the type of things you want to put into power of the user. >> here is what i think people would say. who is it that would answer that stuff? is the data, is the information, the answer in that data? >> very much so. >> it is. >> very much so. i'll take another example. everyone knows about nasdaq. they now have a nas-dash. that is his dashboard managi

suntrust, ibm and whole foods. first up, suntrust, b.k. >> in suntrust, i think you take profits.e banks have been on fire particularly for regionals. i would take a little off the table. >> what do you do, josh, with apple? someone asked for this, obviously, before the stock was spiking, but now maybe there are more questions people have given this move. what to do? >> i'll tell you something interesting about apple. first of all, it's probably been as hated as it can get at this point. the second thing, it's become a noncorrelated asset to the s&p in a very weird way. correlation has been steadily dropping since beginning of the year. it's now at .8 which is a total sea change versus last week. i think apple works under these types of circumstances. and let's start focusing less on whatever the dividend's going to be and whether or not the next wave of products is going to throw samsung for a loop. it's apple's turn. >> the market seems to be transfixed, however, with whatever sort of financial move they make. >> it's the most widely held name there is, pretty much. we'll get pa

suntrust is worth noting being approved as they have failed the test last year.th third have been approved this year. the thing with ally financial, they still owe the treasury department about $14.6 billion. other breaking news here, the federal reserve senior official said the london whale trading loss at jpmorgan chase did not affect its assessment of jpmorgan chase's capital plan. but we're going to give you more after the break, david. there is lot of breaking news. you can bet you will see dividend hikes and stock buyback plans rolling out. you will see press releases rolling outgoing forward. david: we're not taking a break, emac because this is a important news. i'm curious how this might affect goldman sachs and jpmorgan's plans. were they planning to give more of a dividend or buy back more stocks? will that thwart their plans at all or just ally and bb&t. >> the thinking on wall street they will have to cut in half any planned stock buyback they are doing. let me give you more news. morgan stanley just barely squeaked buy by in their capital plan appro

if suntrust is weak tonight, buy it. >> don't look now. lululemon is back to being a shot stock. >> that visual is amazing. >> emc. we bought the name today after some very positive news. >> love emc and storage player c-gait stx. >> all right. that does it for us. power lunch starts right now. >> halftime is over. "power lunch" and the second half of the trading day starts right now. >> and welcome to "power len ee" what a streak the market has had. ten straight updays as not happened since 1996. one analyst, a key analyst changing his tune on beaten down jc penney. is he calling a bottom? we will tell you why. we have been seeing a lot of much better housing numbers. but there is a wave of foreclosures that may swamp homeowners from sea to shining sea. hi, simon. >> good afternoon to you. we're up 62 points on the dough. so well on its way to a tenth straight positive close. this would be the eighth straight record breaking close for the dow. that is unprecedented. year to date, the index is up an astounding 10.7%. the dow is also on tra

endless cramer favorites sherwin williams, whirlpool, fortune brands and new top dogs key bank, suntrustnd radiant the mortgage insurer are doing fabulously with the last three being super strong buys that should be bought now. i know retail is going great guns and i know that the stocks of walmart, costco, target, bed bath and beyond can't be rallying if the consumer is not spending, but the manufacturing and export world is terrible. am i thinking the u.s. is getting better? the rest of the world is getting worse. almost by the day. i have high hopes for china, but the prices of commodities, aluminum, iron and copper, it shows the people's republic is doing worse than it is. bernanke is thinking that can happen here any day. that's why caterpillar flashed so alarmingly. what if it means that engineering construction projects are being scrapped, something that would be dreadful coming at the same time as the military spending would be crimped and city and state funding will be cut back by sequester? history said that bernanke is right to wait. this is coming with a backdrop of low infla

some like suntrust will issue a dividend and just raised it and things are getting better for the regionalrs. >> too many unknowns. you don't need to jump in front of that when you have the value you have in the u.s. there will be a time but not ye yet. >> keep mind, this is not an issue with italian banks or spanish banks. an issue with cypress because they had no changes of repaying anybody for the bailout. an isolated incident. know it and move on. >>> let's go to the biggest drops and pops in trading. hp dropping 4%. >> the other hp down big today. you can look at this name as a setup you can get into. their guidance isn't bad so you can look at a long here. a >> and what do you do with slb? >> i think expectations are very high. the company is speaking out on a conference today and the same kind of demand year-over-year. if you can't get growth, i can't pay a premium multiple for this stock. >> a pop in intuitive surgical. >> the stock is up today. here's how i look at it. the balance sheets of hospitals are better than they've ever been and gives more ability to spend on the devices,

two regional banks, bb&t and suntrust surprising analysts with their stress test strength.ws is good news for the regional banks. shares of state street and byn melon moved higher. bank stocks taking it on the chin today are the ones with the biggest capital market businesses as the fed used a severe stress model. one assumption used is the stock drop of 50%, and that hurt the firms that rely mostly on trading. goldman, jpmorgan and morgan stanley. these three came out of the stress test. goldman at the bottom of the heap and goldman sachs shares were sent lower today. today's stock performance aside, analysts do expect them to approve capital plans of all the nation's top six banks next week. bill? >> security, thank you very much. >>> which bank could be the best buy in light of the stress test results. st citi, the most improved or goldman sachs? let's talk numbers. goldman versus citi. on the technical side j.c. o'hara and fundamental side abigail doolittle with the seaport group and a cnbc contributor. abigail, would you buy either of these two banks? >> bill, percepti

so by the same tone as you mentioned before, names like bank of america, citigroup, suntrust, these aren terms of tonight's numbers, if you will, but the anticipation going into next thursday and really what is going to be announced in terms of the capital return after a number of years of kind of status quo rebuilding capital if you will. >> yeah. that will be interesting to watch again 4:30 eastern time is when we're expecting some of those numbers. thank you, guys, appreciate it very much. i want to get some more on the gap story here. of course, the stock still halted for news pending. i want to bring in rw baird on the news line. discussing whether or not it could have something to do with the early release of this prerecorded conference call. is that it? >> i do believe it is. that was supposed to go out after the close. >> have you been able to take a look at the transcript? >> i have. and they reported a comp increase of 3%. that is in line with consensus, but i think there was a decent amount of investor skepticism. the gap would be able to comp the more difficult comparisons t

citi, suntrust, allied and metlife. what are you expecting to hear this time? kind of pass and system be happy again? >> well, keep in mind sometimes people confuse failure of the stress test with the capital plans or distribution plans being rejected. so, for example, last time there was at least one institution, maybe more that actually passed the stress tests per se, but had their capital distribution plan rejected and they were dubbed by the media having failed the stress test. keeping those two things somewhat separate but i do anticipate better result this is time because banks have all-time high according to the fdic equity levels and capital levels. there has an about significant improvements in the health and stress of banks as measured by other third parties. i hope and believe the results will be directionally positive. tracy: banks like citi and bank of america could use a positive result, right? they are arguably undervalued. it could be off to the races for the financial sector as a whole, which many argue how goes the financials goes the rest of

morgan, bank of america, regions financial, suntrust, some of the other ones did well.ere going to do well and they basically bought into that all week. take a look at the xlf and this is the main etf associated with financial stocks and look what's been going on here. we're at a four-year high. there's been a anticipation for awhile. these stocks have been moving up on this. i think today while the results weren't disappointing for almost all of them, maybe goldman and morgan is the exception, i think that it's a bit of sell on the news here. one thing i do want to point out to you, and remember we've been waiting for this great rotation out of stocks into bonds, it isn't happening yet. however, big bond funds, etfs, are down six days in a row. this is a one-month vanguard long-term bonds one of these etfs that buys the long-term treasuries. blb is the symbol. six days in a row now. that starts to get aly bit noticeable. i don't see huge redemptions taking money out but price is declining here so going to get people's attention if that trend continues. speaking of tren

regions financial, suntrust, these guys are at sub-1% dividend yields. their dividends. i think that's maybe a factor in why some of these stocks are moving. downside leaders, everybody's worried about the sequester but i keep saying where is the evidence that the market is freaking out? i don't see any stock movement. again, this is the group that would be affected the most, the ones that are going to get the 2% cut in medicare, universal health, health management. these are the big hospital, humana. these are small declines compared to what the worry is out there, the end of the world e-mails that i keep getting. i keep saying, let's see real evidence that investors are actually dumping them. i still don't see them right now. finally, i think one of the major problems we're having right now is the marginal buyer is really heavily invested. hedge funds are heavily invested in stocks and the marginal retail buyer has been very bullish in buying. here's something very interesting. i look at the american association of individual investors sentiment survey