Credit Suisse, Deutsche, or Goldman Sachs?
Which of the three would you rather work for?
In the circumstances, it seems Credit Suisse and Deutsche are increasingly popular choices: neither has accepted money from their respective governments, both are having a good start to the year. Both (allegedly) pay a solid six figures in cash.
By comparison, Goldman is beholden to the vagaries of the US government, but is seeking to repay its TARP cash at the soonest opportunity.
According to both Goldman president Gary Cohn and analyst Dick Bove, Goldman has turned something of a corner.
In a note out yesterday, Bove said Goldman is -
thriving in the current environment. It is likely to produce profits in every quarter this year....
He adds that the newly reborn GS will -
...re-emphasize its position as an investment banker and trader. It will use its new found cash flows to buy distressed debt.
Meanwhile, KBW has issued two slightly less glowing prognostications for Deutsche and Credit Suisse.
According to KBW analysts, Deutsche is 'well positioned to take market share' in investment banking but is also at risk of significant further writedowns on its monoline exposure in 1Q09.
Credit Suisse is also expected to take market share 'in the current environment,' but 'may not match the heights of certain peers as we perceive CS's business mix to be underweight in FX and rates products."
