A few years from now we will be discussing how wise it was for Pandit to come into Citi and not immediately begin to run around selling assets and chopping head.
With the street screaming for the bank to be instantly broken into pieces, Pandit instead stuck to a very measured plan of selling inconsequential assets, raising capital and doing a thorough top to bottom review. Now, the downside to that is the stock stays stagnant or drops as impatient investors sell wanting satisfaction now.
The good news is that he is acting like an owner of a business making decisions for the long term, not a manger making them for the next quarter.
First, the plan:
Reaction from Daniel Alpert
Reaction from Robert Olstein, owner of 1 million shares.
Olstein is right. Investor with the right time frame will be well rewarded. Patience is going to be the key…a lot of it…
Disclosure (“none” means no position):Long C
One reply on “Pandit’s Plan Will Work at Citigroup (C)”
Thanks for posting the videos, I watched them after work today and it was interesting.