Is PNC Financial Services Group a Buy?
The roughly $412 billion asset Pittsburgh-based PNC Financial Services (NYSE: PNC) is absolutely a stock you want in your portfolio. Don't believe me? Then at least listen to Warren Buffett.
After a crazy first quarter of the year in which all banks got hit hard due to the coronavirus pandemic, Buffett disclosed that his company Berkshire Hathaway dumped 84% of its stake in Goldman Sachs (NYSE: GS) and even trimmed its position in JPMorgan Chase (NYSE: JPM) by 3%. PNC was one of the few companies that Berkshire increased its stake in.
The bank has solid fundamentals, and after selling its entire 22% stake in BlackRock (NYSE: BLK), the world's largest asset manager, it is now sitting on a large pile of cash. It could use this cash as an extra buffer if unforeseen loan losses arise, or to make a game changing acquisition that could see PNC leave the coronavirus pandemic a very different company than when it entered.
Source Fool.com
