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The thrift industry should be able to maintain a high level of loans with the favorable interest rate environment and the low cost of money, thus increasing profits in 1998. Consolidation in the thrift industry is also expected to continue in 1998 and for a number of years beyond. Investors will find that these stocks are timely for 1998 and for the next three to five years, as well.

Profit margins and earnings for savings and loan associations and savings banks have been squeezed in the late 1990s due to lower interest rates and a flat yield curve. However, thrifts that are high-volume lenders are in a better situation than others and the industry is timely with good earnings momentum and expected future consolidation. Investors should select stocks of well-managed thrifts, or those that are good takeover targets.

The rapid consolidation within the the banking and thrift industries has led to few legal differences between banks and thrifts, and more thrift mergers are expected within the next three to five years. The insurance playing field for thrifts and banks has been leveled by congressional action, and the two industries are more competitive. Many thrifts have become takeover targets, and investors need to evaluate these stocks on an individual basis.

Sales and earnings profiles of fifteen companies new to the Value Line Investment Survey are provided. Included are three financial services stocks - Integra Financial Corp, Standard Federal Bank and Wilmington Trust Corp; real estate investment trust Kimco Realty Corp; and gold and silver producer Coeur d'Alene Mines Corp.

Empirical findings on branch bank operating costs are presented. The analyses examine 1988 data for 646 individual branch offices representing 43 savings banks in Finland. Another sample of 48 unit [...]

Savings Institutions A decade of economic and financial turmoil has taken its toll on the savings institutions industry (SIC 603). The number of savings institutions will continue to fall, deposits [...]