Last Men Standing

Lehman shares have been on a wild ride as investors debate whether the brokerage is going to be able to avoid the fate suffered by Bear Stearns.

In recent days, the investment bank has take steps to sell off some of its riskier assets and eliminate its proprietary trading. There also have been reports that the company is looking overseas for a strategic partner.

However, news that investment manager Loomis Sayles has been buying Lehman Brothers debt over the past several days--and a decision by Merrill Lynch to upgrade Lehman shares to buy--sparked a rally in Lehman shares.

"I think there’s a bear case for the investment banks, says Fox-Pitt, Kelton Securities Analyst David Trone on Fast Money. They seem to have troubled assets and there could be a scenario in the second half of the year where commercial credit rolls over. That’s the second shoe that could drop."

"However we think after extensive study of Lehman’s financials," he adds, “that they do not have a condition that would warrant a Bear Stearns-like outcome.

"If you're looking for a trade, Lehman stock looks like a buy on a fundamental basis," he says.

What do you think? Will Lehman be bought? Answer the Charles Schwab Question of the Day!

For more on David Trone’s analysis of Lehman please watch the video.

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Trader disclosure: On June 4, 2008, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Macke Owns (HAS), (INTC), (MSFT), (DIS); Adami Owns (BTU), (C), (AGU), (GS), (INTC), (MSFT), (NUE); Najarian Owns (AAPL), (ANR), (BHI), (CHK), (HPQ), (TSO), (XLF); Najarian Owns (LEH) Puts; Finerman Owns (GS); Finerman's Firm And Finerman Own (C) And (C) Leaps; Finerman's Firm And Finerman Own (FLS); Finerman's Firm Owns (AAPL), (MSFT), (NYX), (SUN), (TSO), (VLO), (UFS) Finerman's Firm Owns SPX Index Puts; Finerman's Firm Is Short (IYR), (IJR), (MDY), (IWM), (SPY)

FPK Or Its Affiliates May Seek Compensation For Investment Banking Services From (LEH), (MS), (GS), (BAC), (C ) (JPM), (MER), (BSC) During The Next 3 Months