Dr. Duru

Now I Can Get Interested in Goldman Sachs

Good point. I didn't even consider the premium the market will likely give GS as a "lone" survivor.


On Feb 05 12:13 PM helplessobserver wrote:

> One major thing GS has going for it is the demise of other investment
> banking competitors. The new business may come as a smaller pie,
> but a bigger portion will go to GS and MS as BAC will eventually
> spin off Merrill Lynch in a huge government supervised restructuring.
> It is now a zombie around BAC's neck smelling worse with each executive
> departure. This will occur after Lewis decides to "retire" from BAC.
> The market sensing this, will put GS price in a steady up trend.
> I often wondered how anyone ever envisioned North Carolina as a world
> banking center, or Oxford, Mississippi a world class Telecom center
> as the home of WorldComm. They are pretenders and the game is up.

Betting on Goldman's Future

Note that as of typing, my submission contains a few numerical errors on calculating returns. I hope to get them fixed soon (they are corrected in the original piece on my site). The return on the call spread is 200%. And the straight call required Buffet's warrants to be 14% in-the-money to get a 200% return in January, 2010.

Sunil94062: I would love more detail on how you came up with your valuation model...

Bank on Goldman - Cramer's Stop Trading! (9/22/09)

Why is Cramer surprised GS was down on Monday? He advised his own viewers to sell into the Th/Fri rally. Jim Cramer can be all over the place and hard to follow for actionable advice.