Goldman Sachs Reports Earnings Per Common Share of $4.47 for 2008, Fourth Quarter Loss Per Common Share Was $4.97 (Market Watch)
Goldman Sachs today reported net revenues of $22.22 billion and net earnings of $2.32 billion for the year ended November 28, 2008. Diluted earnings per common share were $4.47 compared with $24.73 for the year ended November 30, 2007. Return on average tangible common shareholders’ equity (1) (ROTE) was 5.5% and return on average common shareholders’ equity (ROE) was 4.9% for 2008.
Goldman Sachs reported fourth quarter negative net revenues of $1.58 billion and a net loss of $2.12 billion. The diluted loss per common share was $4.97 compared with diluted earnings per common share of $7.01 for the fourth quarter of 2007 and $1.81 for the third quarter of 2008.
Full results from GS after the jump.
Heading For Zero (Reuters)
Bald has had a tough couple of months, and it doesn’t look like it’s getting any easier for the little fella: the Fed is looking to lower interest rates today, which means money is getting dangerously close to free. Free isn’t often something the Fed endorses: the last time the discount rate and fed funds rate were this low was 2001/2002 – before that there had been 30 years of numbers considerably higher.
“Economists expect the central bank to lower its target for benchmark overnight rates by at least a half-percentage point, to 0.5 percent, and clearly state it will aggressively use unconventional measures to restore growth.”
Bank Of America To $9? (Reuters)
“Bank of America Corp … was rated underperform by Friedman, Billings, Ramsey Group Inc analyst Paul Miller in a note, citing the bank’s “thin tangible common equity” as a chief concern.”
Shorting of coming out with the news that Pandit is taking over the Charlotte giant, Bank of America is going to stay stable. Though, in my most humble of opinions, if required to take ownership or possession of anything called a “spirit point” I would suggest rioting.
National Lampoon Chief Faces Charges (NYT)
While the movies of recent have by and large inspired spontaneous suicide, this is the company that helped bring you the “Vacation” movies and “Animal House.” For Christ’s sake people: Animal House.
Apparently Laikin (CEO) was charged with Securities Fraud on Monday as he and his cronies (in Pennsylvania none the less) sought to artificially inflate equity prices. Trading was halted on Monday at 9:30 @ $.73 a share.
Merrill Oil Analyst Trying To Piss Off OPEC (Bloomberg)
Famed ML analyst Francisco Blanch lets it be known that he’s calling for $25 barrels in 2009, but cautions that if shit takes off too fast we’ll see prices in the $150′s. Blanch is best known for calling the oil high at $147.25, and has since then been revered for his magic powers. Like that little Leprechaun.
Russia Slowly Devalues Currency: Second Announcement This Week (NYT)
This is actually a pretty decent plan, despite its coming from the Soviet Bloc: they’re devaluing their currency slowly so as to avoid a flight to safety. What’s not working about this is that they’re doing it in too many steps, too slowly.
Since connecting all the pieces isn’t the strength of many, I’m going to spell this out for you: Russian Hookers *cough* wives are cheaper, people. Order up. Fed Ex away.
GS Annual and Fourth Quarter 2008 Results [PDF]
–William Richards
2009 will be even worse. Even for Goldman.
Turns out that invisible hand people have been talking about was Bernie Madoff picking your pocket.
so after the earnings and its credit on sr. debt cut to A1 why is the stock still trading $2.00 higher than yesterdays close pre-open?
I like hands in my pockets.
@1:
Their service sucks, I ordered the checks with the cloud background, not the clowns… they’d never make this type of error at Commerce Bank. Goldman has got to step it up if they’re gonna make it in retail.
how does the SIPC step in to protect Madoff clients money when the shares are registered in street name, at the end of the month, he closed share positions down to hold treasuries, and the statements/confirmations were faked to begin with?
and another thing… the “wsj” runs this article about light in the tunnel– a duped investor could claim taxes back. do charities pay tax? will those charities see any light?
Compensation and Benefits
Compensation and benefits expenses (including salaries, bonuses, amortization of prior year equity awards and other items such as payroll taxes and benefits) were $10.93 billion for 2008, 46% lower than 2007, reflecting lower levels of discretionary compensation due to lower net revenues. The ratio of compensation and benefits (excluding severance costs of approximately $275 million in the fourth quarter of 2008) to net revenues was 48.0% for 2008. The ratio of compensation and benefits to net revenues was 43.9% for 2007. Employment levels decreased 1% compared with the end of 2007, reflecting an 8% decrease during the fourth quarter.
This is random, but I was reading an article on ESPN this morning. Apparently, Michael Phelps has been hanging out with Jared from Subway…He always struck me as a rather bland individual, but hanging out with Jared…from Subway….really dude…COME ON!
http://sports.espn.go.com/nba/columns/story?columnist=hollinger_john&page=Rondo-081215
God Bless Andy Tim
@8 I am fairly certain I would choose to hang out with Jared from Subway over Michael from the Olympics
@8 — they go to the same temple
phelps is squirrelly for sure-
many of madoff’s individual customers and all his lazy fund-mgr clients deserve to lose everything. those that thought about it assumed they were being allowed in on a ‘low-level’ fraud (ie frontrunning buy and sell orders) because they were fellow chosenites.
the beauty of bernie’s ponzi was that he took advantage of our worst tribal instincts (what’s a little theft from the public at large? it’s for a good cause…look at how many philanthropies he makes money for…hey, it’s so small on each trade it’s hardly even theft),in a way that could only be done from deep within the tribe. USA, Spain, France, England, Switzerland — that was tribal money thinking it was lucky to be chosen to get a special deal unavailable to the…er, unclean.
@5 I bet they would at TD
@ 12
wtf are you rambling about?
@ 10
Phelps is a jew? Dad was a state cop and mom is named “debbie sue”, doesn’t exactly strike me as moses material…
@12 – sorry but you’re not allowed to have those thoughts. Rahm will soon make it a crime.
14 Clearly he’s confusing him with Mark Spitz