Goldman Sachs moved Citigroup to its Conviction List.
Goldman Sachs analyst Richard Ramsden mentioned adding Citigroup to the Americas conviction list, on what the analyst perceives as a “realistic path" to a 12.4% return on tangible common equity in 2020 – which places the estimate 70 basis points ahead of market expectations (according to Ramsden ). Ramsden said Citigroup can achieve this “without aid from either higher interest rates or strengthening global growth trends."
Ramsden also hiked his price target on Citigroup to $88 from $84. Goldman cited Citi’s ability to control costs and achieve strong loan growth.