14.4 C
New York
Wednesday, June 23, 2021

Credit Suisse Group AG (CS) has shaken up after Archegos loss

Credit Suisse Group AG (CS) is not performing badly after the Easter break despite the recent setback. CS stock gained1.59% on Monday, April 5, 2021, and it has gained 1.38% in Tuesday’s pre-market session, as of this writing.

5 Stocks Under $10 That Are Poised to Take Off

Investing in stocks under $10 could significantly increase the returns on your portfolio, especially if you pick the right stocks! Within this report you will find 5 top stocks that offer investors huge upside potential and the best bang for their buck.

Add them to your watchlist before they take off!

Get the Top 5 Stocks Now!


CS shares have risen by 39.80% over the last 12 months, and they have declined15.54% in the past week. The company has a current market of $26.14 billion and its outstanding shares stood at 2.43 billion.

Let’s have a look what Credit Suisse is facing nowadays.

CS facing $4.7 Billion Loss after Archegos scandal

On April 6, 2021, Tuesday credit Sussiesaid that it is expecting a loss of 4.7 billion) in the first quarter of 2021 after the meltdown of Archegos Capital Management. Switzerland’s second-largest lender has offloaded over $2 billion worth of stock to end exposure to the troubled investor.

The Archegos fallout is the second major scandal for Credit Suisse in just over a month after the collapse of Greensill Capital, making it the worst-performing major bank stock in the world this year.

Credit Suisse is expected to provide an update on the funds in the next few days.

Overhauling management

Due to the recent financial crisis, CS has made some changes and it announced to cut the dividend and suspended share buybacks to protect its capital. Also, CS scrapped executive bonuses.

CS also announced that bank head Brian Chin and Chief Risk Officer Lara Warner will step down and the bank has launched an internal investigation as well.

Credit Suisse facing investigation

On April 3, 2021, Pomerantz LLP said that it is investigating claims on behalf of investors of Credit Suisse Group AG, whether Credit Suisse and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.

On March 29, 2021, Credit Suisse said that it is facing a huge loss due to Archegos failure to meet margin calls which results in the liquidation of more than $20 billionin holdings.

Conclusion: The coming days will be very tough for CS stock it may not lose value because it’s one of the major banks and has a strong financial background but it might not be able to gain significantly as well due to two recent huge losses.

Credit Suisse Group AG is a global wealth manager, investment bank, and financial services firm founded in 1856 and based in Switzerland.

Get The Best Stocks To Trade Every Day!

Join now to get the NewsHeater.com pre-market morning brief 100% free

Related Articles


Please enter your comment!
Please enter your name here

Latest Articles

Get The Best Stocks To Trade Every Day!

Join now to get the NewsHeater.com pre-market morning brief 100% free

Get Notified Of Insider Trades, Analyst Upgrades & Downgrades, Earnings Updates & Best Stocks To Trade Every Single Morning

100% free. stop anytime no spam

Get The Best Stocks To Trade Every Day!

Join now to get the Newsheater.com pre-market morning brief 100% free

We do not sell or share your information with anyone.