Did Apple's Slide Just Blow Up Dick Bove's Employer?

Tyler Durden's picture

And it was shaping up to be a slow news days. From Bloomberg:

  • ROCHDALE SAID TO SEEK CAPITAL INJECTION AFTER TRADING ERROR
  • ROCHDALE EXECUTIVES SAID TO TIE CAPITAL SHORTAGE TO APPLE TRADE
  • ROCHDALE SECURITIES ANALYSTS INCLUDE DICK BOVE

By that logic, can one imagine the epic bailout Rochdale would need if Bank of America trades back to its rightful price well over 50% below current levels? Also, why is Rochdale trading on its own account? According to an unverified rumor, a Roch trader was supposed to be buying 125 shares every half hour, and instead bought 125,000. If correct, oops: that's a $74 million margin call.

Finally, the question of the day: How many more funds will claim they bought AAPL due to an "error" and now need a bailout? 

* * *

And completely unrelated, here is Dick Bove's recommendation history on Bank of America while at Rochdale. Sadly, Bloomberg doesn't keep track of his recosat his previous employers. They were more of the same from the analyst who in March of 2008 said it was a "Once in a Generation Opportunity to Buy Bank Stocks.” A few weeks later the market was down about 40%.

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knukles's picture

Never just one Roach, Dale.

camaro68ss's picture

Fuck it, on with QE4 already

john39's picture

they will call it "QE Sandy", bank on it...

hedgeless_horseman's picture

 

 

How many more funds will claim they bought AAPL due to an "error" and now need a bailout?

The 2012 version of kiting checks, DVP, and busting bad trades. 

Nothing new under the sun.

 

redpill's picture

Shoulda read Zerohedge, Dick.

disabledvet's picture

That's Dick Bloviator to you Mister...

Manthong's picture

"a Roch trader was supposed to be buying 125 shares every half hour"

2000 CrAAPL in a day?  What's the point?

CPL's picture

We are on QE4 with the offical bond adjustment going from 40 billion a month to 85 billion per month.

 

look it's all fixed with the law of deminishing returns.

Unprepared's picture

o'Phones and o'Pads for everyone until morale improves.

HD's picture

I originally posted this on 10-16-2012. I'll let Dick speak for himself...

From CNBC: Dick Bove at Rochdale Securities has a "positive" rating with a $40 price target on Citi. "Pandit has achieved every goal he set out to implement when he came to the company," the vice president of equity research at Rochdale Securities said in a statement. "Remember, it was a bankrupt entity then and now it has excess liquidity and capital."

From The Simpsons episode "Two Bad Neighbors" 1996: George Bush: [typing] And since I'd achieved all my goals as President in one term, there was no need for a second. The end. Hmm, good memoirs. Good, not great. Now, let's look at that old outboard -- soup that baby up, rattle a few windows down Kennebunkport next May. [chuckles]

http://www.zerohedge.com/news/2012-10-16/vikram-pandit-gives-his-first-p...

Milton Waddams's picture

Why is Bove so popular with the media; is he one of those types that built a multi-decade career off of one or two big, successful predictions?  You know the type - those 'analysts' and 'market strategists' who became media darlings for predicting, for instance, the '87 crash.

HD's picture

Bove is a mouthpiece for the banks. Ronald McDonald will never come out and tell people not to eat meat. Bove is the Ronald McDonald of the banking industry.

I'm lovin' it!

The trend is your friend's picture

Did somebody say Heart Attack!

Dr. Engali's picture

How can you not trust a grandfatherly figure like Dick? Just like Uncle Warren... The investor for the common people.

HD's picture

True. Becky Quick just loves the ol' koot.  She dresses up, shows cleavage and a little leg - looks deep into his eyes and spends three hours  treating him like he just came down off the mountain with two stone tablets...and a coke.

disabledvet's picture

Two thumbs up for Warren actually. Dick's goons have some "downtime with Jamie" coming...

knukles's picture

Jamie and some his bad ass niggahs gonna go all medieval in dem  muthafuckahs ...
(to paraphrase Marcellus in Pulp Fiction)

DeadFred's picture

Ooh, ooh, you said medieval!

knukles's picture

Impressive vocabulary, eh?

Dr. Engali's picture

It's a sad statement but there is more truth in our cartoons ...Simpsons...Southpark... Than we can get from the media.

HD's picture

100% Agree.  Good ol' George Carlin spoke more truth to power in his career than every talking head in the past 30 years...

knukles's picture

Abstatively...
Americans are getting their real news from Colbert and Stewart in the same manner as the peasantry thru comedians in the bad ass olde days of the USSR

Gee, an indica of a managed news media?

OpenEyes's picture

Problem is that both Colbert and Stewart have a very specific political position in their comedic presentation of 'the news'.  I enjoy watching both of them most of the time.  But, you have to be aware that they are pushing a political viewpoint (albeit more subtely than FOX or MSNBC etc).  What can be most dangerous about this is that they pretend to NOT push a political agenda and viewers (particularly young 17-24 yr olds) think they're getting the straight scoop.

I've been a fan of Jon Stewart for a long time.  But recently I've become more wary of his slight-of-hand.

 

dugorama's picture

fer gawd's sake:  it says "Comedy Central" right on the screen.  there is no pretense of being objective news coverage

The trend is your friend's picture

That is such horseshit.  Even if you are the dumbest trader out their, you would catch the error after the 2nd or 3rd hour.  The trader didn't check his confirms all day?

NotApplicable's picture

Wouldn't it just confirm the 125k he wanted to buy?

markovchainey's picture

I don't know, I often go into the convenience store and accidentally purchase 1,000 cans of soda when I really just wanted one.  Isn't that common?

 

(And please contact me if you need a good deal on soda, I seem to have extra.)

LongSoupLine's picture

 

 

hmmmm, that's odd, CNBS isn't reporting this story.  gee, shocking.

LongSoupLine's picture

HA HA AHHH HAAAAA HAA!

 

Fuck you Dicky B!  This is fucking poetic!

hedgeless_horseman's picture

 

 

Bring your wife and title in, and we'll dicker!

StychoKiller's picture

Oh you rake!  Betcha know the Italian werd for suppository...  :>D

LouisDega's picture

Willy Banzi.. The musical king. Outstanding

LongSoupLine's picture

William, you gotta love the non-photoshop bonuses:

 

1) "no job, no problem" and;

2) "495" (where AAPL's going to)

TheFourthStooge-ing's picture

Damn, Mr. Banzai, you've done the impossible. I think I really would prefer to buy a used car from Tricky Dick Nixon.

Tortfeasor's picture

Should've listened to Gartmann and bought AAPL in GOOG terms.

5880's picture

errors go into the house account

knukles's picture

'Less you be JPM then they go into MFGlobal and the like's (Your customer's customers are Important to Us!) allocated, segregated accounts, wherever...

slaughterer's picture

Same is silently happening to 100s of HFs right now.  

Calls and Putz's picture

They may not be trading for their own account beyond the error account that every brokerage has for mis-executed customer trades.

 

If the customer said 'sell' but they bought - they have to sell double to fill the customer and exit their own wrong position.

Cursive's picture

Rochdale today, [insert hedge fund name] tomorrow.

LongSoupLine's picture

 

 

Cue Jamie Dimon and JPM to "Corzine" Rochdale and Bove.