Citigroup posted a sharp drop in earnings for the fourth quarter.
The banking giant’s earnings came in at $1.46 a share, compared to $1.38 expected by analysts polled by Refinitiv.
Revenue of $17 billion also was higher than analysts’ expectations of $16.75 billion expected
The company’s net income plunged -26% to $3.2 billion. Citigroup attributed that to an increase in expenses for a “pre-tax impact” of about $1.2 billion related to the sale of its consumer banking businesses in Asia.
Citi’s global consumer banking business segment experienced a revenue decline of -6% year over year to $6.94 billion. Revenue in the North America region fell by -6% as sales from Citi-branded cards and retail services decreased. Revenue in Asia decreased by -9%, while Latin America revenue declined by -4%. Expenses within the bank’s global banking division rose +33% year-over-year.
The company’ institutional clients group’s revenue increased by 4% to $9.9 billion, on the back of + 18% surge in investment banking. But its fixed income markets revenue fell -20% year over year to $2.5 billion.
For the full-year 2021, Citigroup net income nearly doubled from 2020 to $21.95 billion. However, its revenue decreased by -5% to $71.88 billion.
The RSI Indicator for C moved out of oversold territory on April 17, 2024. This could be a sign that the stock is shifting from a downward trend to an upward trend. Traders may want to buy the stock or call options. The A.I.dvisor looked at 35 similar instances when the indicator left oversold territory. In of the 35 cases the stock moved higher. This puts the odds of a move higher at .
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 58 cases where C's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that 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 300 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 Momentum Indicator moved below the 0 level on April 10, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on C as a result. In of 86 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for C turned negative on April 04, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 46 similar instances when the indicator turned negative. In of the 46 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where C declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend 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 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 59, 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