You Can Do Way Better Than Truist Financial Stock. Buy and Hold This Forever, Instead.

In 2019, two strong regional banks, BB&T and SunTrust, announced one of the largest bank mergers of equals in many years, at least at the time. Eventually, the pro forma institution also adopted a new name, Truist (NYSE: TFC), to establish a new brand that better represented the new entity. The pitch for the massive merger was simple in theory: deliver best-in-class efficiency and returns.More than six years later, that has yet to be accomplished and investors have shown their displeasure, with the stock up just about 7% over the past five years. You can do way better than Truist. Buy and hold this stock forever, instead.When a merger or an acquisition is announced, it often sounds very enticing. Management promises that bigger will be better and that scale is necessary to better compete, which is certainly true in the banking sector. However, the devil is always in the details.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool