LEH is a great franchise and Wall Street will not let it go the way of BSC
- Thread starter LondonHedger
- Start date
LMAO.
Quote from ElCubano:
is that US$
It was Cuban pesos, amigo.
Now at the end of this VERY profitable week, I'm going to have a smoke (for those who asked earlier - fine Moroccan hash rolled in a Jack Daniels-drenched $100 bill) and then I'm going to hit the Chelsea bars and get laid, safe in the knowledge that come Monday I'll be $1.7 million richer thanks to y'all suckers.
Have a great weekend!
The smart money has been selling Lehman all week because the company is being forced to sell itself by the Feds. The company will be sold this w/e for $1 to $4 is my guess. No one wants it all because the toxic waste on it's balance sheet. The Feds have forced Lehman to sell or the discount window would be shut down thus making them Bankrupt. Only suckers and gamblers have bought this week.
Utter nonsense for the CNBC housewives and Cramerlike losers.
The only people who know what's on LEH's balance sheet are LEH's management and those who are looking at LEH's books and will make a bid for the company. Lehman is a great franchise and will be snapped up - at a premium. The "smart" money has already covered their shorts. Einhorn is almost certainly long LEH by now. Don't you think it funny that on a terrible day for the financials day BAC was up? Clearly the "smart" money thinks this is a great opportunity for whoever buys LEH.
Don't underestimate the following: A lot of people on the Street are extremely, extremely concerned that if LEH goes the way of BSC, and/or the equity holders are wiped out - for no reason in my opinion, whatever CNBC wants US housewives and repossessed trailer trash to believe - the "party" will move on to the next name: MER, AIG, GS, who knows. When will it end? The ignorant hordes are trying to destroy the foundation of the US financial system. It's not going to happen. The powers that be won't let it happen. That's why long LEH tonight is the best trade of the year.
Off to the bars now.!
I don't gamble. I will pass on anything to do with LEH at the moment. I don't let greed direct my trading. People jumping into LEH long are motivated by greed and hopes and dreams that it will recover. If it does recover I will buy LEH at $6-$8-$12 or a higher price and ride it up. I don't try and guess bottoms in troubled companies stocks. I employ smart value investing ala Graham/. That's why I will Buy it at a higher price. A value trading/investing strategy trading fools will never understand.
Friday, September 12, 2008 - 2:36 PM PDT
Analyst: BofA, Lehman a 'natural fit'
Sacramento Business Journal
Related News
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* Government shakes up Fannie Mae, Freddie Mac
* First State Financial takes hit on Freddie Mac holdings
As prospects look increasingly good that Bank of America will participate in a buyout of Lehman Brothers this weekend, a prominent analyst said the combination makes a lot of sense.
âThere is a natural fit between the two companies,â said Richard Bove, an analyst with Ladenburg Thalmann.
Bank of America is widely reported to be assessing a transaction that would rescue the troubled New York firm. Observers are confident that BofA chief executive Ken Lewis would cut an attractive deal for his bank as the Federal Reserve and U.S. Treasury work with Lehman to resolve its financial crisis.
Lehman (NYSE: LEH) needs BofAâs lower borrowing costs and its ability to hold Lehmanâs commercial loans on its books. But more importantly, Bove says, Lehman can access BofAâs 68,000 commercial customers to sell capital markets products. Lehmanâs fixed-income business would also get a big boost by being acquired by the nationâs largest credit card and mortgage company, given the amount of those loans packaged and sold to investors.
From BofAâs perspective, the largest bank in California would get access to one of the best fixed-income trading desks in the country, Bove said.
âIt immediately becomes a first-rank player in the equity investment banking sector,â Bove said. âIt gains five years in its pursuit to be the nationâs number one underwriter.â
But more than that, cutting a deal to buy Lehman would underscore BofAâs ability to navigate treacherous waters in the financial storm. The bank recently acquired troubled mortgage lender Countrywide Financial Corp. for a price that some see as eventually being viewed as a steal.
Bove sees a potential Lehman deal as another huge win for Lewis.
âThe bank is emerging as probably the biggest beneficiary of the disarray in the financial markets,â Bove said. âBank of America will be stronger, larger, and command more business than ever before once this debacle is over.â
BofA (NYSE: BAC) is the No. 2 bank in Greater Sacramento as measured by deposits, holding close to one dollar out of every five.
This story was reported by Mark Calvey of the San Francisco Business Times, an affiliated newspaper.
{Full Disclosure, I bought 200 shares of LEH today.}
Analyst: BofA, Lehman a 'natural fit'
Sacramento Business Journal
Related News
* Florida AG investigating data breach at Countrywide
* Sallie Mae to turn on $10B private tap for student loans
* Social Security debit card introduced
* Government shakes up Fannie Mae, Freddie Mac
* First State Financial takes hit on Freddie Mac holdings
As prospects look increasingly good that Bank of America will participate in a buyout of Lehman Brothers this weekend, a prominent analyst said the combination makes a lot of sense.
âThere is a natural fit between the two companies,â said Richard Bove, an analyst with Ladenburg Thalmann.
Bank of America is widely reported to be assessing a transaction that would rescue the troubled New York firm. Observers are confident that BofA chief executive Ken Lewis would cut an attractive deal for his bank as the Federal Reserve and U.S. Treasury work with Lehman to resolve its financial crisis.
Lehman (NYSE: LEH) needs BofAâs lower borrowing costs and its ability to hold Lehmanâs commercial loans on its books. But more importantly, Bove says, Lehman can access BofAâs 68,000 commercial customers to sell capital markets products. Lehmanâs fixed-income business would also get a big boost by being acquired by the nationâs largest credit card and mortgage company, given the amount of those loans packaged and sold to investors.
From BofAâs perspective, the largest bank in California would get access to one of the best fixed-income trading desks in the country, Bove said.
âIt immediately becomes a first-rank player in the equity investment banking sector,â Bove said. âIt gains five years in its pursuit to be the nationâs number one underwriter.â
But more than that, cutting a deal to buy Lehman would underscore BofAâs ability to navigate treacherous waters in the financial storm. The bank recently acquired troubled mortgage lender Countrywide Financial Corp. for a price that some see as eventually being viewed as a steal.
Bove sees a potential Lehman deal as another huge win for Lewis.
âThe bank is emerging as probably the biggest beneficiary of the disarray in the financial markets,â Bove said. âBank of America will be stronger, larger, and command more business than ever before once this debacle is over.â
BofA (NYSE: BAC) is the No. 2 bank in Greater Sacramento as measured by deposits, holding close to one dollar out of every five.
This story was reported by Mark Calvey of the San Francisco Business Times, an affiliated newspaper.
{Full Disclosure, I bought 200 shares of LEH today.}