FYI Cramer rates C a buy

Just in case someone here wants to go long C stock.

Citigroup Inc. (NYSE:C) is a buy, buy, buy, on the heels of its $17 billion equity offering to finally repay its government TARP loan,” Jim Cramer said. He told investors with cheap stocks hard to come by in this market, Citigroup could run over the next couple of years as the world economy returns. Cramer mentioned that investors are sick of financial stocks due to the countless equity offerings and the issues with TARP. However, now Cramer thinks the financial sector has bottomed, with only Citigroup and Wells Fargo & Company (NYSE:WFC) left to complete offerings. Once these two banking giants have completed their offerings, the stocks should restarts their push higher. Cramer said he prefers Citi over Wells Fargo for the following reasons: Citi has less mortgage exposure, fewer foreclosures, a bigger overseas presence, and the stock has already dropped big ahead of the secondary offering. He mentioned that the government’s ownership of the stock is a non-issue due to Citi’s daily liquidity. Cramer said Citigroup should hit $12 a share by 2012. “Now this move won’t happen overnight, rather over time. But as Citigroup turns around and recovers, so too will the share price,” he said. Cramer told viewers that Citigroup is the ideal spec for your portfolio
 
Didn't Citi just jettison Phibro, one of the few things inside the company that actually made them money? Hundreds of millions. Also, isn't their structure as a "financial supermarket" now under threat by the specter of a neo-Glass-Steagall? Relative to other financials, how is this a better trade...oh I'm sorry, "investment", I forgot how Jimmy hates us day traders now and favors that DeFazio tax.
 
Quote from KINGOFSHORTS:

Cramer said Citigroup should hit $12 a share by 2012. “Now this move won’t happen overnight, rather over time.

No one will remember by then if it turns out to be a bad call.
 
Back
Top