#3 - Citigroup (NYSE:C)
Citigroup Inc. (NYSE: C) is the last of the “big banks” on this list. It's the only bank on this list without a Buy rating (it has a consensus Hold rating). That’s likely because there is some concern about the bank’s profitability metrics.
Citigroup scores lower than the sector average in profit margin, return on assets, and return on equity. The bank is also supposed to show tepid earnings growth of 0.95% over the next five years. And it has one of the higher debt-to-equity ratios in the sector.
However, the bank also trades at 7.4x forward earnings and a price-to-book (P/B) ratio of just 0.47. Combined with a dividend that looks very sutainable and has an attractive 4.61% yield and there are reasons to consider Citigroup.
Plus, prior to a March selloff in the entire banking sector, C stock was up approximately 15% in 2023. And analysts believe the stock will get beyond that level. They’ve assigned the stock a consensus price target of $56.47 which is a 27% gain from current levels.
About Citigroup
Citigroup Inc, a diversified financial service holding company, provides various financial product and services to consumers, corporations, governments, and institutions worldwide. It operates through five segments: Services, Markets, Banking, U.S. Personal Banking, and Wealth. The Services segment includes Treasury and Trade Solutions, which provides cash management, trade, and working capital solutions to multinational corporations, financial institutions, and public sector organizations; and Securities Services, such as cross-border support for clients, local market expertise, post-trade technologies, data solutions, and various securities services solutions.
Read More - Current Price
- $73.63
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 12 Buy Ratings, 3 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $80.13 (8.8% Upside)
