Citigroup: The Path To A Double

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About: Citigroup Inc. (C)
by: FIG Ideas
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FIG Ideas
Long-term horizon, Long/Short Equity, Long Only
Summary

Citigroup is cheap, with a low 2022 P/E vs. peers.

Many of the comparisons with peers look good for Citi: Capital and efficiency score well vs. Bank of America, for example.

The P/E discount is due to a lack of revenue growth.

Citi's new CEO, due in February 2021, takes over a capital rich business with strong operating margins.

The search for growth will define her time in the role and drive the market's valuation of the stock.

Citigroup (C) will have a new CEO in February next year, when Jane Fraser will take over from Mike Corbat. This is a good time to take a look at the bank. The