C

CFA General
#21

The gov’t knows letting LEH fail was a huge mistake, they’ve made it clear that they won’t let another big financial institution fail. That being said C is the next AIG, it will be kept afloat and eventually sold off in pieces. In my opinion common equity is worthless at this point.

#22

I wonder what the true intrinsic value is @ this point …anyone have a working DCF or other valuation model to do quick estimate ?

#23

> louisvillegrad wrote >Short GS…it will definitely be in the 20’s soon. You should take comfort in the fact that >their execs and traders are shorting themselves using the bailout money which >Paulson so eagerly handed off. Why do you need money to short the stock?

#24

in 1991 all the financials traded to tangible book. C tangible bv is 6 bucks a share.

#25

cfagem Wrote: ------------------------------------------------------- > > louisvillegrad wrote > >Short GS…it will definitely be in the 20’s > soon. You should take comfort in the fact that > >their execs and traders are shorting themselves > using the bailout money which >Paulson so eagerly > handed off. > > > Why do you need money to short the stock? You have to borrow that stock from your broker. Don’t you? Naked shorting is still not allowed, right?

#26

Rudeboi Wrote: ------------------------------------------------------- > I wonder what the true intrinsic value is @ this > point …anyone have a working DCF or other > valuation model to do quick estimate ? No DDM is going to do the job here. They need to cut the dividend to 0%. Should have done it a long time ago.

#27

Sorry. . . I see you put DCF. . . not going to help either.

#28

So wht wd be the best way to value C given these market conditions ? Tangible BV as hausm49008 mentioned above ??

#29

You’re kidding right? C has so many obscure assets and liabilities that valuing any of them is a guess. Trying to value the entire stack of them includes assessments of how likely they are to get gov’t bailout money redirected to them from other recipients of bailout money and a billion other problems. There is nothing of use in any of C’s prodigious financial filings that will help you and surely not something like DCF or DDM. Tangible BV is just as obscure as anything else.