As a general question regarding bank valuations - I am a little unclear on the proper regulatory capital to focus on. (aswathdamodaran.blogspot.ru)
At the Fed of New York back in the 1980s, one and a quarter times book was seen as the natural limit for bank valuations. (theinstitutionalriskanalyst.com)
But the ongoing compression in European banking valuations is puzzling — who the hell wants to bet & sweat over sub - 0.5 P / B banks, when the cream of the crop remains on sale at 1.0 times book (or less)?! (wexboy.wordpress.com)