Meredith Whitney, the banking analyst who won fame for predicting that Citigroup would be forced to cut its dividend in 2008, says in businessweek/bloomberg article, she predicts and forecasts as many as 100 municipal defaults in 2011, adding up to “hundreds of billions” in debt.
written by Constantine Njeru
\\ tags: Billions, Businessweek, Citigroup, Dividend, Meredith Whitney, Who Won Fame
After serving time in the cold the New GM is preparing for IPO. GM has already opened its books for investors and analyst to go through them.
One financial analyst who has gone through GM financials is Francis Gaskins, IPO expert at IPOdesktop.com. His verdict is be careful!
Common stock investors likely won’t get dividends for years, Gaskins says. The company has a negative tangible book value. It also is prohibited from paying dividends as a condition of many of its loans. Meanwhile, it must make payments on new preferred stock, given to the United Auto Workers, before paying a dividend, he says. “This deal has a lot of hair on it,” Gaskins says. “This isn’t the GM of old. It’s not for widows and orphans. Don’t expect dividends.”
To read a full depth analysis on GM IPO go to USA Today GM IPO story
written by Constantine Njeru
\\ tags: Common Stock, Dividend, Dividends, Expert, Financial Analyst, Gaskins Ipo, Gm, Loans, Orphans, Preferred Stock, Serving Time, Stock Investors, Tangible Book Value, United Auto Workers, Usa Today, Widows