Morgan Stanley & National City Update
I think it's telling that since we said someone needed to downgrade Morgan Stanley for its clownish National City upgrade, that National City's stock price is down about 25%. How long did that take? Wasn't that post about a week ago? Great call Morgan Stanley. Of course, I suspect John Mack to be one of the most incompetent CEOs on Wall Street so no amount of idiocy out of Morgan surprises me. Incompetency pays well. Mack made $41.7 million in a year he drove his company's value down significantly and cost shareholders nearly $4 billion in losses in the fourth quarter alone.
Is everyone on Wall Street in on this incompetency scheme? Oh that's right. I forgot. (Not really but I say it for effect.) What did the greatest investor of all time say? "Wall Street learns nothing and forgets everything." Put another way, incompetency has always been the rule and not the exception on Wall Street. Society is going to learn a lesson the hard way. And, I am part of society so I too will pay the price. It does not make me very happy to put it mildly.
A few final remarks. Google's earnings are coming out some time this week. Google has been one of my punching bags and I have an interesting post on this topic but I probably won't get it up until later in the month. Needless to day, regardless of what results they post, I remain extremely bearish on the stock. And, for that matter, I am not a lot more bullish on the company.
Of course, I'm not bullish about anything Wall Street is bullish about. Every single thing they've told us this cycle is highly likely to turn out to be completely wrong. But, then that's one of the reasons I started this blog. This is an opportunity of a life time to dispel all of the myths society has nearly universal faith in. Including the fact that these very myths are believed by those on Wall Street. Next post is on Monday or Tuesday. It will be worthwhile. I've been holding it for the right moment. It will support my statement about myths. And, of course, about clowns.
Is everyone on Wall Street in on this incompetency scheme? Oh that's right. I forgot. (Not really but I say it for effect.) What did the greatest investor of all time say? "Wall Street learns nothing and forgets everything." Put another way, incompetency has always been the rule and not the exception on Wall Street. Society is going to learn a lesson the hard way. And, I am part of society so I too will pay the price. It does not make me very happy to put it mildly.
A few final remarks. Google's earnings are coming out some time this week. Google has been one of my punching bags and I have an interesting post on this topic but I probably won't get it up until later in the month. Needless to day, regardless of what results they post, I remain extremely bearish on the stock. And, for that matter, I am not a lot more bullish on the company.
Of course, I'm not bullish about anything Wall Street is bullish about. Every single thing they've told us this cycle is highly likely to turn out to be completely wrong. But, then that's one of the reasons I started this blog. This is an opportunity of a life time to dispel all of the myths society has nearly universal faith in. Including the fact that these very myths are believed by those on Wall Street. Next post is on Monday or Tuesday. It will be worthwhile. I've been holding it for the right moment. It will support my statement about myths. And, of course, about clowns.
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