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Whitney's Timing Killed the Goldman Trade

By Jim Cramer

 About this article:
 Meredith Whitney pretty much ruined the Goldman Sachs trade. I never counsel buying up 7 because it is so hard for any quarterly report to ignite a rally beyond that, especially when there's hair on the quarter, which in this case means higher compensation costs. I own Goldman for Action Alerts PLUS. You can make a case that it could earn $30 a share next year. You can make a case that it is selling at 5 times next year's earnings, which means that you ultimately can buy it, but today's a tough day to do so and there are lots of option bets that can keep it back. Suffice it to say that if it goes down today, the pundits will not say, "It went down because it was up a lot yesterday." They will say, "It went down because compensation costs were way up." I say...

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