Meredith Whitney Recycling Citi Material

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Listen, people. I know you all think Citi is on its last leg, about to be cast into the scrap heap of corporate history. However, I received some intel this morning which leads me to believe your worrying is for naught ("intel" = New York Post article). Meredith Whitney gave an exclusive interview to the paper in which she, not surprisingly, tore open Citi's rectum via her 8-inch spiked heel (this time not at their request). Sayeth Whitney:

"Pandit and his executives are completely naive if they think the share price is not important. Pandit is wrong, Citi will not be able to stay in its current form. It has lost the most money of all the banks, and has the greatest leverage. Citigroup is in such a mess Stephen Hawking couldn't turn this company around."

Here's the thing, gang. Those of you who've been keeping track at home are well aware of the fact that M to the W has used this line before.On May 12, the analyst told Bloomberg TV of the Big C's chances of turning things around, "I think it's an impossible feat. They don't have the revenue power, they don't have the earnings power in so many of their businesses. Even Stephen Hawking could not pull this off."
Calling Citi out for being a cesspool of ineptitude is what's made Meredith Whitney famous. If she thought this was the end, you know she'd be laying down some fresh tracks. Because she has phoned it in, you know full well that this thing is far from over. And that's not just good news for Citi and its shareholders, but MW as well. Now, she's still got time to pick up the spreader and truss bar from the cobbler's, where a team of expert welders have been working round the clock to restore the accoutrement to factory specifications. From what we hear, they're going to need at least a few more weeks. Surely Citi can get its shit together in that time.

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Meredith Whitney: Citigroup Should Just Give Up

Earlier today, we wondered if, in light of the news that Vikram Pandit had resigned as CEO of Citigroup, analyst Meredith Whitney's opinion of the bank had changed. Choice comments that Whitney has made about the Big C in the past have included: "Citigroup is in such a mess Stephen Hawking couldn’t turn this company around"; "Citi is like an old broken-down Victorian house"; and Citi “has no earnings power, isn’t going to grow, hasn’t been investable in four years." She also once told Maria Bartiromo that the only way she'd change her mind about company would be if she received "a new brain." Still, sometimes analysts change their tune when new blood is brought in and, like former FDIC chair Sheila Bair, perhaps some of her beef with the bank had been a personal dislike of Uncle V. Now that he's gone, is she seeing Citigroup in a new light? Not so much, no. In the wake of CEO Vikram Pandit‘s surprise departure this morning, Whitney, founder and CEO of Meredith Whtney Advisory Group LLC, issued a note cautioning clients to be wary of Citigroup even under new leadership. “Citigroup is ‘the incredible shrinking bank,’ and the least interest of the big four, in our opinion,” Whitney said. “No CEO will be able to change these facts in the near-term. It appears the board feels the same way, as they have appointed an unknown to the outside to the new CEO position, Mike Corbat.” [...] On Tuesday, the stock has wavered between gains and losses on heavy trading volume in reaction to Pandit’s resignation. Shares are up 29% this year through Monday’s close. Despite signs of incremental improvement, Whitney isn’t backing down from her bearish stance. “Any seat in Citigroup’s court should come with a warning label,” Whitney says. Meredith Whitney: No CEO Can Fix Citigroup [WSJ] Earlier: Meredith Whitney Cannot Stress Enough How Little She Thinks Of Citigroup