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Sell Goldman Sachs – Dick Bove

February 22, 2019

by Howard Haykin

 

WHEN DICK BOVE ‘TALKS, PEOPLE LISTEN’. The well-respected longtime bank analyst is warning clients at Odeon Capital Group to “sell” shares of Goldman Sachs, based on his concerns that the bank’s legal troubles are just beginning.

 

 

Dick Bove, who recently joined broker-dealer Odeon Capital Group, believes that the legal troubles at Goldman Sachs stem largely from the $3 billion scandal at 1Malaysia Development Berhad (1MDB), the now insolvent Malaysian strategic development company that’s wholly-owned by that country’s Minister of Finance.

 

While responsibility has yet to be determined in this ongoing political scandal, Goldman has already taken some precautions by announcing it could withhold pay from top executives depending on the outcome of an investigation. Any further negative revelations, particularly as they may relate to Goldman’s due diligence efforts, could also lead to “meaningful changes in company operations and personnel.”