- Citigroup’s 2Q banking revenue exceeded expectations, reaching $1.63 billion against the estimated $1.55 billion.
- Investment banking revenue slightly missed projections, reporting $853 million compared to the $870.4 million estimate.
- Total loans surpassed predictions, amounting to $687.7 billion, while the estimate was $680.54 billion.
- Services revenue came in slightly below expectations at $4.68 billion, with estimates at $4.82 billion.
- Wealth revenue beat forecasts, totaling $1.81 billion against the $1.73 billion estimate.
- Analysts hold a positive outlook with 14 buys, 11 holds, and 0 sells on Citigroup shares.
Citigroup Inc on Smartkarma
Analyzing Citigroup Inc on Smartkarma, renowned analyst Daniel Tabbush has shared a bearish sentiment. In his report titled “Citigroup – Impairment Costs Far Higher than Any Recent Quarter & Net Interest Income near Halting“, Tabbush highlights significant concerns. Citigroup is witnessing a surge in impairment costs, particularly from unfunded commitments, reaching up to USD3.5bn in 4Q23 compared to previous quarters. Moreover, the net interest income of Citigroup is showing signs of stagnation, indicating challenges ahead due to the impact of funding in a rising rate environment. Tabbush underlines that the implications of Citigroup’s results, amidst geopolitical risks, signal a negative outlook for large global banks, major US banks, and specifically HSBC Holdings.
A look at Citigroup Inc Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 5 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Citigroup Inc. shows strong performance in various aspects. With a top score in value and a solid score in dividend, Citigroup is well-positioned to provide long-term stability and returns for investors. The company’s momentum score also indicates positive traction, reflecting a promising outlook for future growth. Despite lower scores in growth and resilience, Citigroup’s overall performance remains positive, showcasing its potential for continued success in the financial services sector.
Citigroup Inc. is a global financial services company that offers a wide range of products and services to both individual and corporate clients. With a focus on investment banking, retail brokerage, corporate banking, and cash management, Citigroup caters to the diverse needs of customers worldwide. The Smartkarma Smart Scores highlight Citigroup’s strengths in value and dividend, underscoring its solid foundation for long-term success in the financial industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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