Yet
National Bank of Greece is currently profitable
and is
recommended by 17 of the 27 analysts who follow it.
Per-share
earnings fell 45 percent in 2009, yet the bank stayed
profitable. Analysts foresee a modest profit
increase this year
and a further increase in 2011. If they are right, this
controversial stock is a bargain.
Clearly,
it is risky. The banks nonperforming assets equal
more than 6 percent of total loans -- well into the
danger zone.
If
I ever pull the trigger to buy it, I plan to ease in
carefully, first waiting until the stock goes three
weeks out of
four without a decline.
Paragon
Shipping Inc. of Voula, Greece, also strikes me as
an interesting speculation. The dry bulk shipping
company
started trading in the U.S. in 2007. Its stock
sells for less
than four times earnings, and for only about half
of book value.
