Goldman Sachs Group Inc. and Morgan Stanley had their earnings estimates cut Monday by three analysts, who cited a slowdown in investment banking and additional writedowns at the New York firms.

Susan Roth Katzke, a Credit Suisse Group analyst, wrote in a note to clients Goldman may report a fourth-quarter loss of $4 a share. She had been predicting a profit of $2.47. Mike Mayo, a Deutsche Bank AG analyst, now expects a fourth-quarter loss of 65 cents, versus a profit of 33 cents. Richard Bove of Ladenberg Thalmann Inc.'s cut his full-year profit estimate by $1.53, to $8.58.

Analysts have been cutting profit estimates for banking and brokerage firms as mortgage-asset values have continued to drop. Financial companies worldwide have posted more than $965 billion of writedowns and losses since the credit markets froze last year.

"October was a difficult month," Ms. Katzke wrote. "November — though we were hopeful — was really no better with asset prices — equities, credit and real estate — only coming under more pressure." She now expects Morgan Stanley to report a loss of 35 cents a share for the quarter, versus a profit of 67 cents. Mr. Mayo lowered his profit estimate by 35 cents, to 5 cents. Mr. Bove cut his full-year estimate by 57 cents, to $3.54.

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