Quote:
Originally Posted by toboramai
I cannot link because I do not meet the 15 post requirement but the quote is from bloomberg article.
Do not buy Citi and tread lightly with any other financial stock. If you do not understand the current financial crisis, you should not be speculating on financial stocks.
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Aye, I read that dire editorial, and I can agree with your warning as well.
As I had mentioned and then retracted earlier,
this was the result of last week's federal mandate for full disclosure of the subprime exposure. Citigroup's exposure is huge, to be sure. However, at least they are all in the open now, and to his credit, Pandit is also taking some very drastic measures to shore up the impending losses.
So, what it means to me anyway, is that Citigroup remains... not necessarily a buy for others. That you will have to determine for yourself... but a hold for me. Because we are seeing what should hopefully be the worst of it.
I don't know if Citigroup will recover to its original size and shape. I don't know if it should. But what it should do, at least it's doing it now.