Down 5% currently on huge volume of over 180mm shares.
Like I said earlier:
Wells Fargo is mathematically insolvent in its current state.
Company has 16 bucks in Book Value or roughly $60 Billion.
Wachovia potential worse case Mortgage losses are $55-$60 Billion.
How are they still paying out $1.36 in dividends or roughly $4.887 billion?
They only made $0.75 a share last year and are expected to make only $1.25 for 2009.
They have to eliminate the dividend because:
1- Tier 1 Capital Ratios are low
2- Low Tangible Common Equity
3- Loan Loss Reserves are to optimistic.
Again...irresponsible management.
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