Dick Bove Says BofA (BAC) Doesn't Need to Raise More Capital

August 8, 2011 1:51 PM EDT
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Rochdale Securities analyst Dick Bove told FOX Business Network (FBN) Senior Correspondent Charlie Gasparino that despite worries, Bank of America (NYSE: BAC) doesn't need to to raise more capital in order to survive.

Bove said, "BAC can go to one dollar and it won't need to raise capital."

Gasparino commented:
"All the banks are down today there is no doubt about that. Talking to traders, there is a concerted bet that B of A will not be able to survive unless it gets new capital. They believe when you add up all the stuff going on; there is a new AIG litigation, other litigation out there. This is a CEO who is a very competent guy but he doesn’t instill confidence in investors. The stock today is getting crushed. Analyst Dick Bove is a bull on the stock. Bove says they will not have to raise capital. He told us quote, 'BAC can go to one dollar and it won’t need to raise capital.’ Obviously most investors today are not betting on that."

Shares of Bofa are down 16.6 percent today to $6.82.

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Charles Gasparino, Richard Bove