C earnings

Discussion in 'Stocks' started by makloda, Apr 18, 2008.

  1. Citigroup, the nation's largest bank, said on Friday that it lost $5.1 billion or $1.02 a share a share in the first quarter, driven by $6 billion of pre-tax write-downs and credit costs on sub-prime related direct exposures.

    The firm also announced write-downs of $3.1 billion on funded and unfunded highly leveraged finance commitments, a downward credit value adjustment of $1.5 billion related to exposure to monoline insurers, write-downs of $1.5 billion on auction rate securities inventory, and a $3.1 billion increase in credit costs in its global consumer business.

    The result compares to a profit of $1.01 a share a year ago. Analysts polled by Thomson First Call had expected the firm to report a loss of 95 cents a share, on revenue of $12.8 billion.


    They're not cutting the dividend further? What am I missing?
  2. moving higher
  3. Up +6.5% premarket. Not too shabby.
  4. I thought Jim Rogers said he would see C trading at $5 ROFL!!

    Maybe he said $25 and people misheard.

    So far having bought close to 10,000 shares at an average price of $23.50 I am finally up on this position (phew!)

    So where is this Meredith Whitney now? ....actually, isn't she with GS? Explains the stream of bullshit emanating from her mouth!
  5. I have never shorted financials and this is why
  6. Probably having her intermenstrual now.

    I remember her and Bove from Punk/Ziegel battled it out just three weeks ago when Bove said it's time to buy the banks and Meredith insisted banks were still 50% overvalued. I guess we will know the final outcome in a few months.
  7. Yeah, you're right! It WILL INDEED be months before we know for sure.

  8. I say the final leg down DOES happen... It just takes lot longer than we expect. ie 6 months from now.

    In other words, it goes up, then crashes again (assuming we actually get a recession) when the credit default swap crisis comes to roost (we need real major defaults for that to happen though).

    I wouldn't be short any financials here yet ... Maybe in a month. JPM above 50 will be the best short of all.