Citi Confident In Goldman Sachs

Citi attended meetings with Goldman Sachs GS Chief Accounting Officer and updated on those meetings. According to Citi, "We came away w/ greater confidence in Goldman's ability to manage risk given conservatism applied in preparation of financials, rigorous focus on fair value pricing and conservative stress testing. Smith & Finn highlighted Goldman's dual market and GS-specific liquidity stress tests which assume contractual commitments against GS are drawn, no govt funding support, a 2-notch bond rating downgrade, plus contingent calls on funding. Operating liquidity is set above those conservative stress parameters – and Smith reiterated Goldman's view that its current method already “comfortably” exceeds Basel 3 liquidity coverage ratio requirements." GS has a Buy Rating and a $200.00 Price Target. GS closed yesterday at $159.53 a share.