Citigroup posted its second quarter earnings that surpassed analysts’ expectations.
The banking behemoth's earnings for the three months ending in June came in at $2.19 per share, which is 16.7% lower from the year-ago quarter, but well above the Street expectations of $1.70 per share.
Group revenues climbed +10.6% year-over-year to $19.64 billion, also topping analysts' estimates of $18.22 billion.
The company’s revenue from investment banking segment fell -46% year-over-year, with new listings and merger deals weakening amid market volatility.
Markets revenues, however, grew +25% to $5.3 billion.
Revenues in Treasury and trade solutions increased +33%, on the back of 42% growth in net interest income, and 17% growth in non-interest revenue – reflective of solid growth with both mid and large corporate clients, as indicated in the company’s statement.
Citigroup set aside $375 million for loan loss provision, a much smaller amount compared to that of Wells Fargo and JPMorgan.
“In a challenging macro and geopolitical environment, our team delivered solid results and we are in a strong position to weather uncertain times, given our liquidity, credit quality and reserve levels," CEO Jane Fraser said. "We intend to generate significant capital for our investors, given our earnings power and the upcoming divestitures."
Moving lower for three straight days is viewed as a bearish sign. Keep an eye on this stock for future declines. Considering data from situations where C declined for three days, in of 299 cases, the price declined further within the following month. The odds of a continued downward trend are .
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 4 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where C's RSI Indicator exited the oversold zone, of 37 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on April 23, 2024. You may want to consider a long position or call options on C as a result. In of 86 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for C just turned positive on April 24, 2024. Looking at past instances where C's MACD turned positive, the stock continued to rise in of 46 cases over the following month. The odds of a continued upward trend are .
C moved above its 50-day moving average on April 17, 2024 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where C advanced for three days, in of 301 cases, the price rose further within the following month. The odds of a continued upward trend are .
C may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 240 cases where C Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.647) is normal, around the industry mean (0.945). C has a moderately high P/E Ratio (15.708) as compared to the industry average of (8.857). C's Projected Growth (PEG Ratio) (18.586) is very high in comparison to the industry average of (2.584). Dividend Yield (0.033) settles around the average of (0.100) among similar stocks. P/S Ratio (1.581) is also within normal values, averaging (2.430).
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. C’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. C’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 61, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a financial conglomerate
Industry MajorBanks