Antony's Feed
Oct 21, 2015
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Ferrari parks its $9.8 bln IPO in hybrid spot

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Ferrari has parked its $9.8 billion initial public offering in a hybrid spot. Shares of the high-end carmaker being spun off by Fiat Chrysler were priced at the top of the previously announced range and traded up about 10 percent early on Tuesday. That’s a better performance than most recent IPOs have delivered. But Ferrari doesn’t merit top-whack valuations commanded by luxury retailers like Prada.

Oct 21, 2015
via Breakingviews

Ferrari parks its $9.8 bln IPO in hybrid spot

Photo

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Ferrari has parked its $9.8 billion initial public offering in a hybrid spot. Shares of the high-end carmaker being spun off by Fiat Chrysler were priced at the top of the previously announced range and traded up about 10 percent early on Tuesday. That’s a better performance than most recent IPOs have delivered. But Ferrari doesn’t merit top-whack valuations commanded by luxury retailers like Prada.

Oct 19, 2015
via Breakingviews

Banks need more than Fed’s help to boost earnings

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

America’s banks need more than a bit of help from the Federal Reserve to boost the bottom line. Financial industry executives and their shareholders are both placing lots of faith in rate hikes to improve earnings. They should certainly help. But lenders’ stated benefits of higher-cost money are unrealistic. And they won’t do much for returns on their own.

Oct 19, 2015
via Breakingviews

Banks need more than Fed’s help to boost earnings

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

America’s banks need more than a bit of help from the Federal Reserve to boost the bottom line. Financial industry executives and their shareholders are both placing lots of faith in rate hikes to improve earnings. They should certainly help. But lenders’ stated benefits of higher-cost money are unrealistic. And they won’t do much for returns on their own.

Oct 19, 2015
via Breakingviews

Morgan Stanley Q3 casts doubt on low-risk strategy

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Morgan Stanley’s latest quarterly earnings cast doubt on Chief Executive James Gorman’s low-risk strategy. The bank earned $740 million in the three months to September, after stripping out accounting gains on its own liabilities. That equates to an annualized return on equity of just 3.9 percent, the worst of any big U.S. bank for the period.

Oct 15, 2015
via Breakingviews

Goldman Sachs Q3 too sluggish for a thoroughbred

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Goldman Sachs’ third-quarter earnings make it look more like a carthorse than a thoroughbred. The $78 billion Wall Street bank’s $1.4 billion profit in the period only missed estimates by a hair. But its annualized return on equity fell to 7 percent for the quarter – in line with Bank of America and below Citigroup.

Oct 15, 2015
via Breakingviews

Goldman Sachs Q3 too sluggish for a thoroughbred

Photo

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Goldman Sachs’ third-quarter earnings make it look more like a carthorse than a thoroughbred. The $78 billion Wall Street bank’s $1.4 billion profit in the period only missed estimates by a hair. But its annualized return on equity fell to 7 percent for the quarter – in line with Bank of America and below Citigroup.

Oct 15, 2015
via Breakingviews

Citigroup may finally deserve more investor love

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Citigroup may finally deserve more investor love. The $150 billion U.S. mega-bank weathered choppy third-quarter markets better than some and is making progress on its goals. Sure, its $4.3 billion profit only provided an 8 percent annualized return on equity, but that’s as much an industry problem as anything. And Citi stands out as the only financial giant, and virtually the only U.S. bank at all, that is trading below its tangible book value.

Oct 15, 2015
via Breakingviews

Citigroup may finally deserve more investor love

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Citigroup may finally deserve more investor love. The $150 billion U.S. mega-bank weathered choppy third-quarter markets better than some and is making progress on its goals. Sure, its $4.3 billion profit only provided an 8 percent annualized return on equity, but that’s as much an industry problem as anything. And Citi stands out as the only financial giant, and virtually the only U.S. bank at all, that is trading below its tangible book value.

Oct 14, 2015
via Breakingviews

Wells and JPMorgan expose BofA’s $7 bln challenge

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Wells Fargo and JPMorgan have reported third-quarter results that highlight a $7 billion challenge for rival Bank of America. That’s the extra annual profit the lender run by Brian Moynihan would need to earn for a 10 percent return on equity, generally the level at which big banks cover their cost of capital. Cutting spending to match Wells’ efficient operation would not quite suffice, though. And JPMorgan proved on Tuesday that it can manage passable results even when revenue falls.

    • About Antony

      "Antony Currie has more than a decade of experience as a financial journalist, having worked with Euromoney since 1996, most recently as a U.S. editor. He has worked on assignments in the major financial centers of Europe and the U.S. and written stories on capital markets, global economies and the investment banking industry. He holds a bachelor's degree in German language and literature and a master's degree in politics and international relations from the University of Bristol."
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