December 17, 2009
By Dimitri Kanellopoulos, BuyActive.com
NEW YORK (BuyActive) - Citigroup shares have already dropped a great deal. Now we know the offering price is $3.15,
well below Wednesday's closing price and less than the $3.25 the government got for its Citigroup shares.
This gives investors a great opportunity to buy the stock, maybe a once in a life time OPPORTUNITY... There won't be another offer this
low... you must take advantage of it now!
So, practically everyone knew ahead of time that the offering had to be lower than the share price when it was announced.
Immediately, that started a wave of short selling.
Why did Abu Dhabi wait until now to voice their unhappiness over the deal? What a nice coincidental time to take action when they
have two years to do it. Why must it happen exactly at the time when Citigroup needs to raise capital?
Abu Dhabi knew their investment was horrible when Citigroup's shares hit .97. I am trying to understand the timing. Something just doesn't add up.
My opinion is, these people are buying lots of Citigroup shares from the backdoor, and scaring you to sell.
Why does Citigroup wait for more than a week to issue stock offering while Wells Fargo did it earlier but announced the offering later?
I wouldn't be surprised at all to find out that this was the plan from the begining. A major squeeze combined with the government selling freeze
could easily bring Citigroup stock back above $4.00.
Also, it will be risky to short the shares because the price is not likely to fall below $3.00. Today (Thursday) is when the buying and
remaining short covering will begin, as the offering is now over.
The big guys paid $3.15 and the government refuses to sell for less than $3.25, so just wait and hold. The big institutions are smart, they are
investing 20 billion dollars and they are buying at a huge discount.
The price today at $3.15 a share is a steal for the long term investor. The shares could easily quadruple in price over the next three years
to $15.00. In 3 years you will be sorry you did not buy!
Investors should buy Citigroup shares now, this is the opportunity of the lifetime!
Citi will now be more attractive for certain institutional and major investors who may have stayed away due to the government control on the
If you already own shares of Citigroup just hold and be patient. If you have any cash set aside, now would be the time to average down.
If you don't own any shares, now is the time to buy.
This could be the best long term financial stock left to buy at a huge discount. Like I said before, at $3.15 it's a steal!
You need to have a portfolio of solid stocks. Believe me, you will not want to miss these profit-making opportunities.
Check out my top three picks and start making money from these winners.
Top Three Picks !!! BAC--Bank of America GE--General Electric JNJ-Johnson&Johnson