Lehman Brothers Is Likely Another Bear Stearns
Thursday, 27. March 2008, 02:22:38
Golman Sachs and Lehman Brothers debt was downgraded on Good Friday by S&P.
Not only is that an issue, but as by Jesse Eisinger relates in his article Debt Shuffle, while Wall Street cheered Lehman's earnings, there are questions about its balance sheet.
Stockcharts chart of Lehman, LEH, shows three black crows and today' 6% loss; the fourth-largest U.S. securities firm, had its share-price forecast cut 16 percent to $70 at Fox-Pitt. The brokerage's 2008 and 2009 profit estimates were also reduced
Yahoo Finance chart of Lehman compared to the investment bankers ETF, KCE.
Although Lehman lost a lot today, Stockcharts.com reports Merrill Lynch, MER, suffered a 7% loss today; its 2008 profit estimates were cut by 45 percent at JPMorgan on concern the third-largest U.S. securities firm by market value may disclose further writedowns on subprime mortgages. Merrill may report a total of $5 billion in additional losses on collateralized debt obligations, so-called Alt-A mortgages and commercial mortgages, New York-based analyst Kenneth Worthington said.
Not only is that an issue, but as by Jesse Eisinger relates in his article Debt Shuffle, while Wall Street cheered Lehman's earnings, there are questions about its balance sheet.
Stockcharts chart of Lehman, LEH, shows three black crows and today' 6% loss; the fourth-largest U.S. securities firm, had its share-price forecast cut 16 percent to $70 at Fox-Pitt. The brokerage's 2008 and 2009 profit estimates were also reduced
Yahoo Finance chart of Lehman compared to the investment bankers ETF, KCE.
Although Lehman lost a lot today, Stockcharts.com reports Merrill Lynch, MER, suffered a 7% loss today; its 2008 profit estimates were cut by 45 percent at JPMorgan on concern the third-largest U.S. securities firm by market value may disclose further writedowns on subprime mortgages. Merrill may report a total of $5 billion in additional losses on collateralized debt obligations, so-called Alt-A mortgages and commercial mortgages, New York-based analyst Kenneth Worthington said.
WIDGETIZE