| Latest Forum Topics / Others |
 Post Reply
|
|
Citigroup Inc
|
|
|
AnthonyTan
Elite |
15-Sep-2009 13:30
Yells: "patience" |
|
x 0
x 0 Alert Admin |
Thank you guys for the very informative feedback. It certainly enhance my knowledge and will make a decision soon. |
| Useful To Me Not Useful To Me | |
|
keepnosecrets
Master |
15-Sep-2009 13:20
|
|
x 0
x 0 Alert Admin |
Of course at this juncture, this is a good price to enter. But you should take profit in between when it rises. An example of how I traded in this share. When it was around 80 cents, I bought, then I sold at 1.50, then I bought at 1.20 and sold at 2.66 then I bought at 2.20 and sold at 3.00, then I bought back at 2.66 when it fell down again and subsequently sold this lot at 4.88 and stop looking at it because I used the money for other counters to make more money. For it to go above 5 bucks soon is not much of a problem. I will re-enter at some time later. But trade at your own risk.... |
| Useful To Me Not Useful To Me | |
|
|
|
|
niuyear
Supreme |
15-Sep-2009 13:19
|
|
x 0
x 0 Alert Admin |
Below for your reading pleasure. Do pay attention to the last para that says stock $3.25.....By DAVID ENRICH and DEBORAH SOLOMONCitigroup Inc., eager to shed the stigma of being a ward of the state, is working on a plan to reduce the U.S. government's 34% stake. Top Citigroup executives have been devising plans for a possible multibillion-dollar stock offering in which the New York company would issue new shares to the public, while the Treasury Department would sell at least a portion of its Citigroup holdings, according to people familiar with the matter. Citigroup hasn't held in-depth talks with the government. Over the weekend, Citigroup called a Treasury official and said the company wanted to start talking about paring down the Treasury investment, according to people familiar with the matter. On the call, Citigroup officials said they planned to raise outside capital in order to repay the outstanding bailout funds. Treasury officials responded to Citi that they didn't object to the company paying back Washington as long as Citi first raised offsetting capital, these people said. ![[citigroup bailout]](http://s.wsj.net/public/resources/images/MI-AY766_CITI_NS_20090914190901.gif) The Treasury Department acquired 7.7 billion shares of Citigroup stock last week. The federal government got that stake in return for a chunk of its holdings of Citigroup preferred shares, which the Treasury received when it pumped $45 billion into Citigroup. The preferred-for-common conversion was agreed to last spring as doubts swirled about the adequacy of Citigroup's capital. Citigroup's expected request to start trimming the government stake reflects Wall Street's rapid rebound from the dark days of the financial crisis. It also could prove an early test of how the Obama administration balances its desire to start winding down the government's vast interventions into the financial system against continued concerns about the health of the banking industry in general and Citigroup in particular. While Citigroup has reported net income for the last two quarters, the company still is struggling with swelling loan defaults and continues to hold tens of billions of dollars of unwanted and risky assets. ![[citigroup ]](http://s.wsj.net/public/resources/images/MI-AX707_CITI_D_20090710164823.jpg) Bloomberg News
The government converted its preferred shares into common stock at $3.25 a share. Citigroup's shares closed Monday at $4.52. That means the government's 7.7 billion shares have gained about $9.8 billion. Even before the Treasury Department got the Citigroup shares, executives were examining how to shrink the government's stake. The tentative aim is for a joint stock sale. Under this scenario, Citigroup would issue as much as $5 billion in new shares, while the government would simultaneously sell an undetermined amount of the stock it is holding, the people said. Executives hope such an offering could take place as soon as the fourth quarter. Citigroup could use proceeds from a stock sale to redeem some of the preferred stock the Treasury is holding, the people said. Executives say the company would launch a stock offering only if the Treasury agrees to also sell shares. Citigroup and the Treasury declined to comment. Some analysts think it would be premature for Washington to start shedding its stake. "For both Citi and the government to get out with credibility, they'll have to show at least a few quarters of decent results [and] be on a clear path toward consistent profitability," said John McDonald, a banking analyst at Sanford C. Bernstein & Co. If the U.S. does sell some of its Citigroup shares, taxpayers could get a profit. The government converted its preferred shares into common stock at $3.25 a share. Citigroup's shares closed Monday at $4.52. That means the government's 7.7 billion shares have gained about $9.8 billion. Write to David Enrich at david.enrich@wsj.com and Deborah Solomon at deborah.solomon@wsj.com |
| Useful To Me Not Useful To Me | |
|
AnthonyTan
Elite |
15-Sep-2009 13:03
Yells: "patience" |
|
x 0
x 0 Alert Admin |
I intend to buy Citigroup Inc at US$4.50 and hold for min. 3 yrs. Is this price a good entry. Feedback would be much appreciated. Thanks, cheers |
| Useful To Me Not Useful To Me | |