Seeking Alpha

C
Citigroup Inc. - NYSE

7/10/2014, 1:11 AM ET
Quote & Analysis Breaking News StockTalk
c chart
Today 5d 1m 3m 1y 5y 10y
52wk high:  
52wk low:  
EPS:  
PE (ttm):  
Div Rate:  
Yield:  
Market Cap:  
Volume:  
FOCUS  |  RELATED  |  TRANSCRIPTS  |  OTHER NEWS & PR
  • Citigroup Prepares To Write Obama A $7 Billion Check; Investors Should Steer Clear
    Don Dion Yesterday, 2:30 PM 55 Comments

    Summary

    • It’s estimated that Citibank will pay a $7 billion dollar fine for its shoddy mortgage practices before the financial crisis.
    • While Citi likely has enough to cover this fine, it will be hampered in competing with innovative peer institutions and rewarding shareholders with increased dividends.
    • We anticipate that Bank of America will be next to write a HUGE check to Attorney General Holder.
    • We reiterate our stance that investors should steer clear of Citibank and Bank of America in the coming quarters at least.
  • A Less Urbane Outlook For Citigroup Investors In Q3 2014
    Don Dion Mon, Jul. 7 49 Comments

    Summary

    • Discussions recently stalled between Citigroup and the Justice Department regarding a settlement for the bank's marketing of subprime mortgage investments.
    • Unfortunately, Citigroup may have little-to-no leverage in negotiating with Justice to settle for a lesser amount than $10 billion.
    • Shareholders, who must carry the costs of any punitive settlement and attorneys' fees, could be alienated in this process.
    • We suggest investors consider taking profits in Citigroup now, as the outlook looks bleak in the second half of 2014.
  • Citigroup: The Cheapest U.S. Bank To Buy
    Bilal Liaqat Wed, Jul. 2 13 Comments

    Summary

    • Hard hit by the subprime mortgage meltdown and the financial crisis, Citigroup stock has declined nearly 90% over the past five years.
    • The company needs better quality controls to mitigate damage similar to the fraud that happened at Banamex a couple of months ago.
    • The Justice Department is seeking more than $10 billion in fines from the company in connection to the government's investigation into the bank's sale of mortgage-backed bonds.
    • Citigroup does not excel on certain financial measures relative to its competitors, Citigroup completed repurchase of common stock for 2014, but expect more debt reduction with the excess cash.
  • Citigroup: Has It Become Too Big To Manage?
    Balanced Investing Tue, Jul. 1 5 Comments

    Summary

    • Argentina’s expected default will be recovered from the pockets of Citigroup and JP Morgan, the CDS writers.
    • If the U.S. court’s ruling is fully enacted upon by the Argentinean government, a series of default will begin.
    • Citigroup failed the stress test of Fed; a red flag for the current and prospective shareholders.
    • Flawed mortgage securities issued in the past continue to teach a lesson to the big banks like Citigroup, Bank of America etc.
    • Risk management continues to be a serious issue for the group and requires urgent attention.
  • Citigroup Is Just Too Large To Manage
    Abba's Aces Mon, Jun. 30 12 Comments

    Summary

    • The stock is inexpensively valued on next year's earnings estimates, but those estimates continue to decrease.
    • The company needs better quality controls to mitigate damage similar to the fraud that happened at Banamex a couple months ago.
    • The company feels a bit too risky right now to keep purchasing batches of the stock.
  • Citigroup: Bad Play For The Current Trends
    Oguz Erkol Mon, Jun. 23 15 Comments

    Summary

    • The Justice Department is seeking more than $10 billion in fines from the company in connection to the government's investigation into the bank's sale of mortgage-backed bonds.
    • Emerging markets continue to be headache for the bank.
    • Decreasing trading revenues and flat net interest margin outlook also build a negative case.
    • Developments to improve efficiency, such as lowering compensation expenses and job cuts, may help the bank to lower costs.
    • Despite being undervalued compared to peers, Citi still do not offer a good return.
  • Citigroup: Qingdao Whale Engulfs 17 Banks, $2.2B
    Shock Exchange Wed, Jun. 18 9 Comments

    Summary

    • Qingdao Whale exposure has spread to 17 banks and $2.2 billion.
    • Financing the Whale's carry trade is not without risk for commodities lenders.
    • Banks have pulled commodities lending in China, driving down copper prices and collateral values.
  • Citigroup: Too Much Risk For Too Little Return
    Michael Grogan Tue, Jun. 17 10 Comments

    Summary

    • I argue that the firm's average daily return of 0.02% from 2011 to the present is too low to justify a three-year beta of 1.93.
    • Citigroup does not excel on certain financial measures relative to its competitors.
    • Overall, investing in Citigroup holds much greater risk relative to market returns, and especially so for income-oriented investors.
  • Are Bank Of America's DOJ Troubles Rubbing Off On Citigroup?
    Achilles Research Mon, Jun. 16 15 Comments

    Summary

    • Bank of America and Citigroup are both in for serious trouble with the Department of Justice.
    • Associate Attorney General Tony West is increasingly playing hardball with the banks.
    • It now looks as if the DOJ escalates its approach to dealing with the banks by preparing lawsuits.
    • Would you put billions of dollars on the table if you had a clean slate?
  • Breaking: Citibank's Metal-Backed Loans
    Don Dion Mon, Jun. 16 3 Comments

    Summary

    • An alleged Chinese third-party company has committed fraud with respect to Citibank’s metal-backed loans.
    • Citibank is one of two major banks that issue copper and other metal-backed loans.
    • This recent breach and President Obama's possible Justice Department lawsuit gives us pause on Citibank as a solid investment in 2014.
  • Citigroup: Exposure To China's 'Qingdao Whale' Unknown
    Shock Exchange Sat, Jun. 14 12 Comments

    Summary

    • Citigroup suspects it is a victim of fraud in commodity-backed loans in China.
    • Such commodity-backed loans circumvent China's efforts to avoid a credit bubble.
    • The reward from such non-traditional loans may not be worth the risk involved.
  • Citigroup Faces A $10B Fine From DOJ
    Shock Exchange Fri, Jun. 13 9 Comments

    Summary

    • Citigroup faces a $10B fine from the DOJ for the sale of soured mortgages.
    • Citigroup may be "too big to manage".
    • With flat earnings and recurring lapses in risk management, investors should avoid Citigroup.
  • Citigroup Is In Trouble Again
    Josh Arnold Thu, Jun. 12 21 Comments

    Summary

    • The NYT is reporting Citigroup may be the victim of another fraud.
    • What is the financial impact?
    • What is the larger impact in the context of other recent events?
  • Citigroup Looking To Raise Billions In Additional Capital
    Josh Arnold Tue, Jun. 3 5 Comments

    Summary

    • Citi's OneMain unit is apparently up for sale.
    • The unit competes directly with Springleaf in the high-risk, high-reward personal loan space.
    • How much is OneMain worth to Citi?
  • Citigroup Is Getting Stronger Each Quarter, Expect Stock Appreciation In 2015
    Tom Dorsey Tue, Jun. 3 8 Comments

    Summary

    • Citigroup's strong first-quarterly report was stymied by Banamex.
    • Citigroup completed repurchase of common stock for 2014, but expect more debt reduction with the excess cash.
    • Citigroup to continue applying DTAs to enhance quarterly reports.
    • Citigroup is a buy and hold recommendation for a two to five year gain.
  • Will Decreased Trading Volumes Take Citi Even Lower
    Abba's Aces Sun, Jun. 1 9 Comments

    Summary

    • Earnings estimates for 2015 have been slashed again.
    • There appears to be strong resistance at $48.
    • The dividend is miniscule at best to be hiding out in this name.
  • Citigroup Is Overly Favored By The Analysts
    Paul Boland Fri, May. 30 7 Comments

    Summary

    • The consensus analyst price target for Citigroup is $58.68 while the stock currently trades at around $47.
    • Through a regression analysis of over 130 price targets set for Citigroup, we show that the overall outlook of the analysts has historically been on the bullish side.
    • We discuss the implications of this finding, and we also make our data analysis available for download in Excel.
  • 5 Compelling Reasons To Buy Citigroup
    Achilles Research Thu, May. 29 13 Comments

    Summary

    • Citigroup presented a solid earnings beat with respect to first quarter results.
    • Despite strong operating results and Citigroup's already low valuation, shares are down 10% YTD.
    • Citigroup is a low-risk equity investment with substantial upside potential. Double possible.
  • Citigroup Mired In Mexico - Sell This Megabank
    Don Dion Mon, May. 19 12 Comments

    Summary

    • Citigroup's Mexican unit, Banamex, is facing potential criminal charges over $400 million in alleged fraudulent loans.
    • Hard-hit by the subprime mortgage meltdown and the financial crisis, Citigroup stock has declined nearly 90% over the past five years.
    • We recommend investors sell Citigroup, given its apparent difficulty to manage, along with irresponsible leadership.
  • Citigroup Inc.: Default Risk Is Up, But Bonds Are Still Good Value
    Donald van Deventer Tue, May. 6 14 Comments

    Summary

    • Default probabilities for Citigroup have risen since our December 6 report.
    • The credit spread-to-default probability ratio for Citigroup, while lower than it has been, is still well above the median for bonds traded on May 2.
    • Only 53 of 287 bond issues heavily traded on May 2 offered a better reward-to-risk ratio than Citigroup's best bond.
C vs. ETF Alternatives
Company Description

Citigroup Inc is a financial services holding company. It provides financial products and services, including consumer banking, credit cards, corporate and investment banking, securities brokerage and wealth management.

Sector: Financial
Country: United States