Citigroup: Financial Winners and Losers - TheStreet


Updated stock price moves




) --


(C) - Get Report

was among the worst performers on the financial sector Friday, sliding more than 2% after a strong performance for the bank stock this week.


shares rallied more than 10% for the first four trading sessions this week before Friday's retracement. On Monday,


sold its LavaFX foreign exchange currency-trading platform to


. Terms of the acquisition weren't disclosed.

Lately, Citigroup shares were down 8 cents, or 2.2%, to $3.57.

Meanwhile, Citigroup analyst Keith Horowitz cut his full-year earnings projections for

Bank of America

(BAC) - Get Report


Goldman Sachs

(GS) - Get Report


JPMorgan Chase

(JPM) - Get Report


Morgan Stanley

(MS) - Get Report

. Horowitz cited a decline in fourth-quarter fixed income, currency and commodities trading.

Citigroup slashed its forecast for Bank of America's fourth quarter to a profit of 50 cents from 95 cents a share, although the bank kept its buy rating and price target of $23 intact. Citigroup also left its rating for Goldman Sachs at buy, but cut its target to $5.25 from $5.50 a share.

Among Citigroup's hold recommendations, the bank left the rating on JPMorgan Chase unchanged but cut the fourth-quarter earnings target to 55 cents from 60 cents a share. Citigroup also cut its 2010 profit forecast to $2.90 from $3.20 a share.

Morgan Stanley saw its fourth-quarter estimate drop to 36 cents from 66 cents a share at Citigroup, and the bank also dropped its 2010 earnings target for Morgan to $3.10 from $3.60 a share. Citigroup also kept a hold rating on shares. On Friday, Morgan said it would move the release of its fourth-quarter report by a day to Jan. 20 from Jan. 21.

Bank of America shares were lately down 1.1% to $16.75, Goldman was losing 1.8% to $174.45, JPMorgan was off 0.7% to $44.48, and Morgan shares were falling 2.6% to $32.05.

In other

Bank of America

news, the bank's investment bankers are likely to get bonuses that are close to 2007 levels as the bank tries to keep employees following its takeover of

Merrill Lynch


The Wall Street Journal

reports, citing people familiar with the situation.

Bank of America bankers are expected to get bonuses equal to what they got in 2007, but the overall average is likely to be "somewhat" lower, a person told the Journal. The year 2007 wasn't a record year for bonuses at the combined firm, this person added

Goldman Sachs was also facing anger Friday over its bonus payments. Illinois' Central Laborers' Pension Fund has sued Goldman Sachs as part of an effort to recover billions of dollars in bonuses and compensation that Goldman paid its employees in 2009.

Fannie Mae



Freddie Mac


have also been criticized for pay practices recently. A Dec. 24 regulatory filing that showed top executives at Fannie Mae and Freddie Mac will each earn between $4 million and $6 million in 2009.

The news came as the Treasury Department removed the $400 billion financial cap on the money it will provide to both Fannie and Freddie.

Fannie Mae shares were lately down 2.5% to $1.15, and Freddie Mac shares were off 2.7% to $1.46.

Elsewhere, the New York

Federal Reserve

Bank urged

American International Group

(AIG) - Get Report

in late 2008 to limit disclosures about its payments to banks after getting a $180 billion government bailout.

Emails show the New York Fed persuaded AIG not to disclose that it was paying banks 100 cents on the dollar on credit default swaps they bought from the giant insurer. AIG shares were rising 3% to $29.45.

-- Written by Robert Holmes in Boston


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