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1-Star Stocks Poised to Plunge: Deutsche Bank?

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, German financial services giant Deutsche Bank (NYSE: DB  ) has received the dreaded one-star ranking.

With that in mind, let's take a closer look at Deutsche Bank's business and see what CAPS investors are saying about the stock right now.

Deutsche Bank facts

Headquarters (Founded) Frankfurt am Main, Germany (1870)
Market Cap $38.4 billion
Industry Diversified capital markets
Trailing-12-Month Revenue $42.1 billion
Management Chairman/CEO Dr. Josef Ackermann
CFO Stefan Krause
Return on Equity (Average, Past 3 Years) 5%
Dividend Yield 1.2%
Competitors Citigroup
Commerzbank
UBS

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 38% of the 652 members who have rated Deutsche Bank believe the stock will underperform the S&P 500 going forward.

Just last week, one of those Fools, All-Star Scotbgaw, warned Fools about banking on Deutsche Bank:

Only a few ways out of the European sovereign debt bubble, and they all lead to a banking crisis before a solution will be agreed upon. The only thing in question is how bad the crisis will be. My guess? Bad enough to force Germany to start the "printing presses" at the ECB. [Deutsche Bank] has approximately a 44-1 leverage ratio, it will get bad quickly, but they'll eventually be bailed out. That means the company will be saved, not necessarily shareholders.

What do you think about Deutsche Bank, or any other stock for that matter? If you want to retire rich, you need to protect your portfolio from any undue risk. Staying away from dangerous stocks is crucial to securing your financial future, and on Motley Fool CAPS, thousands of investors are working every day to flag them. CAPS is 100% free, so get started!

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Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Try any of our Foolish newsletter services free for 30 days.

We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.


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Related Tickers

5/25/2012 4:01 PM
DB $36.68 Up +0.18 +0.49%
Deutsche Bank AG (… CAPS Rating: *

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