Better Buy: Bank of America vs. Citigroup
March has been a brutal month for financial stocks, as efforts to control the coronavirus pandemic have led to a shutdown of a large portion of the U.S. economy, which has translated into a credit crunch. The Financial Select Sector SPDR (NYSEMKT: XLF) is down nearly 22% since the start of the month, and some sectors such as mortgage real estate investment trusts (REITs) have taken a beating.
Bank of America (NYSE: BAC) and Citigroup (NYSE: C) are both banking giants and their stocks have been affected by the broader market downturn as well. With that said, which one is the better buy right now?
When you think of Bank of America, think of mortgages. The company holds a lot of them. Between agency mortgage-backed securities, first and second mortgages, and corporate mortgages, 26% of its assets are real estate-related.
Source Fool.com
