This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

The Five Dumbest Things on Wall Street This Week

1. Knuckle Sandwich

Citi's (C - Get Report) chief Chuck Prince is in a real pickle.

The Prince-must-go camp was emboldened Monday after Citi reported a 57% drop in third-quarter profit. Two days later, rival JPMorgan (JPM - Get Report) made things worse for Prince by posting a rise in its own third-quarter earnings. It seems that debt-market problems took a much smaller chunk out of JPMorgan's hide.

Among Prince's loudest detractors has been Deutsche Bank analyst Mike Mayo. He downgraded the stock to sell last week after Prince again rearranged the deck chairs in Citi's executive suite. This week's earnings debacle gave Mayo an opportunity to wonder aloud how long Prince can stay at the helm of this sinking ship.

"Chuck said this was the year of no excuses," Mayo said on Monday's conference call. "You guys say the results are disappointing. So what are the repercussions at the level of the office of the chairman?"

So far there are none, as Prince works furiously to save his own hide. He responded lamely to Mayo's fusillade Monday that "any fair-minded person would say that [the] strategic plan is working," Citi's lagging stock price nothwithstanding.

Mayo pressed on, saying that "almost all the investors that I talk with feel like there needs to be more significant changes in terms of management." Struggling to shoehorn this diatribe into the question-and-answer format, he added, "So that is the data I am looking at. What are you looking at?"

Prince surely has lots of data to look at. But after Monday's exchange, he may well have found himself focusing on the ground rules for future conference calls. What might Prince's strategic plan be there?

Hold the Mayo.

Dumb-o-Meter score: 93. Citi shares surged Wednesday morning amid chatter that the board would oust Prince, only to fall back after Citi said there was nothing to the rumor.
1 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
C $46.28 -0.96%
JPM $63.20 -0.63%
HSY $93.11 1.58%
PFE $32.71 -0.61%
WM $58.79 0.82%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs