markucc, your last paragraph about armchair investors simply looking at the "record profits and dividends" is a very poignant and relevant one.
I cannot comprehend how so many investors (including the professionals, such as analysts and brokers) mount the argument of: "well, the banks have historically traded at P/E's of 14x, and today they're only trading at 12x; therefore they are cheap."
The implicit assumption in this logic that everything is now magically "back to normal" floors me. It's like the GFC event was simply a bump in the road to entitled prosperity, as opposed the most pronounced multi-generational macroeconomic shock, whose adverse conseuences will be with us for many, many years to come.
Everything is just peachy again, it seems. Why, just take a look at QRN's resounding debut. When a poor quality business like that, is bought off a semi-distressed vendor on the ritzy valuation that is currently enjoys, then the Emperor, it seems, is once again fully clothed in fine silks hand stitched with pure gold thread.
