Posts filed under “Valuation”

Lehman posts Jumbo $3B Loss; To Raise $6B

I’ll have more on the brokers later today, but this is simply an enormous whack:

Lehman Brothers to post $3 bln loss; sets $6 bln stock sale   
Marketwatch, June 9, 2008
http://tinyurl.com/3qnacq

Charlie Gasparino on CNBC is reporting that he does not expect Lehman to exist as an independent company 6 months from now.

Einhorn comment: "Lehman is raising capital it said it didn’t need to replace losses it said it didn’t have."

LEH is expected to open 10% lower . . .

UPDATE 2: June 9, 2008 8:48am

Here are the details (via CNBC) of the Lehman offering:

$6 Billion secondary is priced at $28.00 common stock.

Convertible offering carries a 8.75% coupon

%18 conversion premium

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UPDATE: June 9, 2008 8:02am

Moody’s (MCO) ever timely and precisely accurate, lowers the rating outlook on Lehman Brothers to negative from stable. Moodys: "Concerns over risk management decisions that resulted in elevated real estate exposures and the subsequent ineffectiveness of hedges to mitigate these exposures in the recent quarter."

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Previously:
Dirty Tricks at Lehman? (June 2008) 
http://bigpicture.typepad.com/comments/2008/06/dirty-tricks-at.html

Category: Corporate Management, Earnings, M&A, Valuation

Follow Analysts at Your Own Financial Risk

Category: Earnings, Trading, Valuation

Herb Greenberg’s 5 Simple Lessons

Category: Earnings, Financial Press, Investing, Legal, Valuation

Odd Data Point: Tech Passes Finance in SPX

Category: Earnings, Finance, Index/ETFs, Markets, Valuation

Buffett Sees ‘Plenty’ of European Acquisition Targets

Huge, nearly an hour long Buffett video, via Bloomberg:

click for  l o n g  video
Buffett_euro_ma

Billionaire Warren Buffett speaks at a news conference in Frankfurt at the start of a four-city European tour about his investment strategy and plans to add European companies to the portfolio of his investment and holding company Berkshire Hathaway Inc. Eitan Wertheimer, president of Israel’s Iscar Metalworking Cos., also speaks.

See also:  Buffett’s Shopping Trip to Europe Draws a Crowd

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Source:
Buffett Sees ‘Plenty’ of European Acquisition Targets: Video
Bloomberg, May 19 2008

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a1JKvEK68ZUU

Category: M&A, Valuation, Video

S&P500 Profits Ex 3 Oil Cos = Awful

Category: Earnings, Energy, Valuation

Confessions of a Short Seller

Category: Psychology, Short Selling, Trading, Valuation

Only 5% of Wall Street Recommendations Are “SELLS”

Category: Investing, Psychology, Valuation

Oil Bubble?

Category: Commodities, Earnings, Energy, Psychology, Technical Analysis, Valuation

What Is Yahoo Actually Worth ?

Category: Corporate Management, M&A, Valuation