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Citigroup Inc

Citigroup Inc

C
$138.14USD↑+2.83%+3.80 today

MARKET CAP

231.7B

P/E (TTM)

19.8x

FWD P/E

—

DAY RANGE

$135 – $139

52W RANGE

$94
$148

AI Summary

Stalk
Sell NowMedium

Citigroup remains under bearish control as short-term EMAs have turned down and price closed below the 50-day SMA after a Bearish Pivot Point, supporting a medium-term bearish posture. Short-term momentum and price location below declining short-term EMAs favor sell-side execution now on rallies into the 9/20 EMA zone (≈133–134). Longer-term uptrend remains intact above the rising 200-day SMA but is not actionable in the current sell bias.

  • ↑Q2 revenue $24.77B (+4.7%) and EPS $3.15 (+15.4%) beat consensus.
  • ↑Acquisition of Kard Financial deepens commerce media capabilities.
  • ↓Guidance for higher investment spending could constrain margins.
Full analysis →

The case for & against

Bull & Bear analysis

Bullish

Citigroup Inc. (NYSE:C) is a leading global bank with a diverse range of financial services, including investment banking, consumer banking, and treasury and trade solutions. The company operates through multiple segments and has a strong presence in both developed and emerging markets. Citigroup’s recent initiatives, such as the acquisition of Kard Financial and involvement in the Japan-U.S. Strategic Investment Initiative, illustrate its commitment to leveraging technology and enhancing customer engagement, positioning itself to capitalize on the ongoing digital transformation and geopolitical investments.

Bull says

  • ↑Q2 revenue $24.77B (+4.7%) and EPS $3.15 (+15.4%) beat consensus.
  • ↑Acquisition of Kard Financial deepens commerce media capabilities.
  • ↑$4B share buyback authorized; board weighing 12% dividend hike.
  • ↑Secured $380B Aegon Asset Mgmt deal; strong institutional backing.
  • ↑Favorable interest-rate sensitivity and infrastructure financing boost NII.
  • ↑High earnings yield and strong momentum indicate undervaluation.

Bear says

  • ↓Guidance for higher investment spending could constrain margins.
  • ↓Operational efficiency concerns reflected in weak profitability factors.
  • ↓Negative liquidity factors signal short-term funding risks.
  • ↓Book-to-price near peers suggests limited valuation upside.
  • ↓Muted analyst revisions raise growth sustainability doubts.
  • ↓Weak quality and dividend factors limit shareholder return prospects.

Investment themes with C

High Dividend Yield↑ +0.32%

Companies paying above-average dividends

AVGO · JPM · XOM
Buybacks↑ +0.48%

Companies repurchasing their own shares

C · JCI · WFC
Large Banks↑ +0.50%

MS · GS · BAC

Earnings Call · Q3 2023 · Mgmt. Guidance

Updated 12-03-2024neutral

Transcript signals

Bull points

  • We did see an uptick in the reserves. That was really driven by some country rating adjustments that were made.
  • In the third quarter, we reported net income of approximately $3.5 billion, EPS of $1.63, and an RoTCE of 7.7% on $20.1 billion of revenues. Excluding divestiture-related impacts, EPS was $1.52, with an RoTCE of 7.2%.
  • total revenues increased by 9% on a reported basis and 10% excluding divestiture-related impacts, driven by strength across services, cards and markets as well as modest growth in banking

Bear points

  • Average deposits were down 2%, largely driven by Services, as we saw non-operational deposit outflows as expected in light of quantitative tightening.
  • Cost of credit was $196 million, including $51 million of net credit loss.
  • Our expectation is that as we go into '24, to the point that you've made, depending on the macro environment, we're likely to see this tick up above those pre-COVID normalized rates.
Read full transcript analysis ›