Goldman had earnings today - not losses. Don’t lose sight of that given the challenges in the financial markets. I keep telling myself that despite the realities of how many ways financial firms can play with their numbers.

On a more critical note, I am intrigued (and unimpressed) by Goldman’s share repurchases during the quarter. For people that are really good at trading - consider that they bought 11.6 million shares during the most recent quarter at an average price of $230.65 per share. HMMMM! GS is now priced at $201 or about 13% less than the average price they paid for their own stock. I trust they do better with other securities.  Goldman got criticized by Ben Stein and others for hedging and profiting from the mortgage mess.  Maybe they should hedge and profit from the decline in their stock after they do buybacks!?!   Now that would be a scandal, wouldn’t it?

So we know the buybacks were not good investments during the quarter.  How about longer term?  Over the past 12 months, Goldman repurchased 41.2 million shares at an average price of $217.29 per share.   That isn’t so hot.  But when you figure the need to manipulate EPS, it certainly helped out.  Good for them.  Investors love that kind of thing.  They also love hearing that the board increased the existing buyback plan by 60 million shares to now total 71.4 million shares for authorized repurchases.   It will be interesting to watch how much of the 71.4 million shares get used to prop up earnings going forward.

GS hit an all-time high on October 31, 2007 at $250.70.  Whenever I see share repurchases near all-time highs, I am not impressed.