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...Nonetheless, the deal will be costly for Citi. In order to exit TARP, the bank will have to sell $20.5 billion in new shares. Analysts estimate the stock sale will lower the company's earnings per share by about 20%. "One of the basic problems for [Citigroup's] valuation is that it has too many shares as a result of its many rounds of capital raising and exchange offers," says analyst David Hensler, who follows Citi for research firm Creditsights...

Author: /time Magazine | Title: Citi's TARP Repayment: The Downside for a Troubled Bank | 12/15/2009 | See Source »

...season to buy that Blu-ray. With Christmas just 10 days away, one sector is emerging as the star of the holiday shopping season: consumer electronics. "We're seeing incredible growth, particularly with netbooks and TVs," says Andrew Hargreaves, an analyst at Pacific Crest Securities. According to the Consumer Electronics Association, 80% of adults say they intend to purchase technology as a gift this year, the highest figure in the 16 years the organization has tracked holiday shopping patterns. On Monday, Dec. 13, Citigroup analyst Kate McShane raised her price target for Best Buy, the country's dominant electronics retailer...

Author: /time Magazine | Title: Consumer Electronics Light Up the Holiday Season | 12/15/2009 | See Source »

...weeks and then lowered it back to $78 last Saturday. Best Buy has insisted that it will match its competitors' prices, so with Walmart acting so aggressively, the consumer will always win. "Walmart doesn't care if it makes a lot of money on electronics," says Michael Pachter, an analyst at Wedbush Morgan Securities. "They'll make margins on other stuff in the store." (See the top 10 toy crazes...

Author: /time Magazine | Title: Consumer Electronics Light Up the Holiday Season | 12/15/2009 | See Source »

...Prices for netbooks, the lighter, more portable cousin to traditional laptop computers, also dropped. Camcorder prices fell 33%. And these days, the deals extend beyond Black Friday. "One of the phenomena we are seeing is that retailers are really stretching the promotional period," says Ross Rubin, consumer-electronics analyst at NPD. "Retailers are looking to prime the pump for 2010 by getting consumers in the store. They're driving momentum while trying put 2009 far behind them...

Author: /time Magazine | Title: Consumer Electronics Light Up the Holiday Season | 12/15/2009 | See Source »

Good riddance. Of course, the retailers risk cannibalizing their 2010 sales by offering such juicy deals at Christmastime. "The question is, Are we sucking the demand out of the first part of next year?" asks Hargreaves, the Pacific Crest Securities analyst. Perhaps. But that's of no concern to the consumer. For shoppers, cheap electronics in the aisles bring nothing but holiday cheer...

Author: /time Magazine | Title: Consumer Electronics Light Up the Holiday Season | 12/15/2009 | See Source »

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