Mayo pares estimates for Citigroup

January 6, 2009 | By Jim Kim

Deutsche Bank analyst Mike Mayo has boosted his loss estimate for Citigroup in 2009 by 30 cents to $1 per share. He also cut his 2010 earnings estimate to 75 cents per share from $1.15, according to media reports. In slashing estimates for a host of banks, Mayo noted the recession and the pressure it will put on traditional consumer credits, from credit cards to home equity and of course mortgages.

Nevertheless, he rates Citi a hold and has a $9 target on it. The stock had been around $7 as of late. The real issue here is management--and vision. Beyond cost cutting and asset sales, is there anything else in the works. Is there a vision? At some point, shareholders will get restive--this is Citi after all--no matter how tough the economy.

For more:
- here's the AP article