Discussion in 'Stocks' started by theshark726, Apr 19, 2009.
Anyone have an idea of when CITI might pop?
six weeks ago?
Citi stock is worthless
My thoughts are basically that they suck.
I have an account there that I'm closing as soon as I get back the $4k they allowed some unknown person to wire out from my account a couple weeks ago. Customer service is always a foreigner who's hard to converse with, and it's the same story at my local branch.
Don't know if that helps you as an investor, but those are my thoughts.
Citibank (C) printed better than expected results this morning but corporate bond aficionados thought that issuance by that entity was unlikely and that new issue pricing for a stand alone deal would be so cheap as to represent an admission of defeat. For now Citibank will be better served with the embrace of the FDIC in the 3 year sector.
For the record secondary market Citibank paper trades around T+ 550.
There is a big arb trade in play with the common and preferred. I am thinking it may drop to 3.25, just a guess. I am long from 3.90 and will hedge it under $3.00, this is not a long term hold. The stock did not participate in the rally. I have to agree with the other posters that Citi is your typical oversized bank with lousy service but then who isn't?
Its over for citi. There stock is diluted 80% now (shares outstanding went from 5 bil-21 bil shares) so if it made it to $10 it would be like the old price of $40 before dilution. basically they're another lu or nt and will die over time and sell off parts of the business
better explanation of the arb:
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