Glen Burnie Bancorp (GLBZ)

[Randel]

It is overpriced because investors have been slow to catch on to its investment portfolio losses that wiped out 60% of its equity. Read the 10-Q. I would hardly categorize it as “a sleepy and boring little bank” considering its aggressive risk taking and bond speculating. Book has plunged from $12.56 to $5.01 so far this year. Share price dropped from $14 to $8.50 with the trend is almost certain to continue.

Average P/B rayio for banks is 1.2. GLBZ’s book value of $5.01 suggests share price should be in the $5 to $6 range. Maybe less.