Core Viewpoint - Citigroup has shown strong stock performance recently, with a return of +14.6% over the past month, significantly outperforming the S&P 500 and the Zacks Financial - Investment Bank industry, which gained +1.2% and +9.9% respectively [1] Earnings Estimates - For the current quarter, Citigroup is expected to report earnings of $1.82 per share, reflecting a year-over-year increase of +15.2% [4] - The consensus earnings estimate for the current fiscal year is $7.51, indicating a +26.2% change from the previous year, with a recent upward revision of +4.2% [4] - For the next fiscal year, the earnings estimate is $9.34, which represents a +24.4% increase from the prior year, with a recent change of +5.8% [5] Revenue Growth - The consensus sales estimate for the current quarter is $21.17 billion, showing a year-over-year change of +0.3% [8] - For the current fiscal year, the revenue estimate is $83.91 billion, indicating a +3.4% change, while the next fiscal year's estimate is $87.23 billion, reflecting a +4% change [8] Recent Performance - In the last reported quarter, Citigroup achieved revenues of $19.58 billion, a +12.3% increase year-over-year, and an EPS of $1.34 compared to $0.84 a year ago [9] - The company exceeded the Zacks Consensus Estimate for revenues by +0.14% and had an EPS surprise of +7.2% [10] - Citigroup has consistently beaten consensus EPS and revenue estimates over the past four quarters [10] Valuation - Citigroup is graded D on the Zacks Value Style Score, indicating it is trading at a premium compared to its peers [14] - Valuation multiples such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF) are essential for assessing whether the stock is overvalued, fairly valued, or undervalued [12][13] Conclusion - The strong Zacks Rank 1 suggests that Citigroup may outperform the broader market in the near term, despite its current premium valuation [15]

Company Performance - Citigroup has made significant progress toward its multiyear turnaround goals, with a credible chance of achieving double-digit ROTCE (Return on Tangible Common Equity) in the future [1] Analyst Position - The analyst holds a beneficial long position in shares of JPM and TFC through stock ownership, options, or other derivatives [1] Disclosure - The article reflects the analyst's personal opinions and is not influenced by compensation or business relationships with mentioned companies [1]

Core Viewpoint - The content emphasizes the importance of conducting personal due diligence and consulting competent advisors before making any financial decisions, particularly in the context of investments and trading [1]. Group 1 - The website provides general news, personal analysis, and third-party content intended for educational and research purposes [1]. - It explicitly states that the information should not be interpreted as recommendations or advice for any financial actions [1]. - The content is not tailored to individual financial situations or needs, highlighting the necessity for users to apply their own discretion [1]. Group 2 - The website includes information about complex financial instruments such as cryptocurrencies and contracts for difference (CFDs), which carry a high risk of losing money [1]. - Users are encouraged to perform their own research and understand the risks involved before investing in any financial instruments [1].

Core Viewpoint - The article highlights three stocks with strong income characteristics and a buy rank, suggesting they are favorable investment opportunities for investors as of January 22nd. Group 1: Company Performance - JPMorgan Chase & Co. (JPM) has seen a 5.8% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [1] - Citigroup Inc. (C) has experienced a 4.5% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] - The Goldman Sachs Group, Inc. (GS) has recorded an 8.8% increase in the Zacks Consensus Estimate for its current year earnings over the last 60 days [2] Group 2: Dividend Yield - JPMorgan Chase & Co. (JPM) offers a dividend yield of 1.9%, which is higher than the industry average of 0.9% [1][3] - Citigroup Inc. (C) provides a dividend yield of 2.8%, significantly above the industry average of 0.9% [2] - The article does not provide specific dividend yield information for The Goldman Sachs Group, Inc. (GS) [2]

Lawsuit Overview - Citibank faces a New York state lawsuit for allegedly failing to protect and reimburse fraud victims [1] - A federal judge rejected Citibank's request to dismiss the lawsuit, ruling that the Electronic Fund Transfer Act (EFTA) applies to unauthorized wire transfers through Citibank's consumer accounts [1][2] Allegations Against Citibank - Citibank allegedly lacked protections against account takeovers and misled customers about their rights during account hacks [3] - The bank is accused of unlawfully denying reimbursements to fraud victims [3] - The lawsuit claims Citibank must reimburse fraud victims under the EFTA due to offering wire transfers online and through mobile apps [4] Citibank's Response - Citibank expressed disappointment with the court's decision, stating its industry-standard practices have long been recognized as compliant with applicable law [3] - The bank emphasized its adherence to wire transfer laws, fraud prevention efforts, and assistance in client loss recovery [4] - Citibank highlighted proactive measures to safeguard accounts, including security protocols, fraud prevention tools, and client education [5] Industry Context - The lawsuit highlights the broader issue of wire fraud, which has surged industry-wide in recent years [5] - Citibank's case underscores the importance of robust fraud prevention and customer protection measures in the banking sector [3][5]

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1][2]. Company Overview: Citigroup (C) - Citigroup currently holds a Momentum Style Score of A and a Zacks Rank of 2 (Buy), indicating strong potential for outperformance in the market [3][4]. - Over the past week, Citigroup shares have increased by 12.03%, outperforming the Zacks Financial - Investment Bank industry, which rose by 7.51% [6]. - In a longer timeframe, Citigroup's monthly price change is 14.65%, significantly higher than the industry's 5.6% [6]. - Over the past quarter, Citigroup shares have risen by 24.67%, and over the last year, they have increased by 51.38%, while the S&P 500 has only moved 2.54% and 25.42%, respectively [7]. Trading Volume - Citigroup's average 20-day trading volume is 12,203,888 shares, which serves as a bullish indicator when combined with rising stock prices [8]. Earnings Outlook - In the past two months, 7 earnings estimates for Citigroup have been revised upwards, while only 1 has been revised downwards, leading to an increase in the consensus estimate from $7.17 to $7.49 [10]. - For the next fiscal year, 4 estimates have moved upwards, with 1 downward revision during the same period [10]. Conclusion - Considering the positive momentum indicators and earnings outlook, Citigroup is positioned as a strong buy candidate with a Momentum Score of A, making it a noteworthy option for investors seeking short-term gains [12].

Core Viewpoint - The new regulatory regime under the Trump administration is prompting U.S. companies to seek overseas deals, reflecting a post-election enthusiasm for a revival in dealmaking [1][2]. Group 1: Regulatory Environment - The anticipated rollback of regulations by the Trump administration is influencing U.S. companies to explore international opportunities [2][5]. - The previous administration implemented significantly more regulations, which created extensive paperwork and hindered economic momentum [6]. Group 2: Mergers and Acquisitions Activity - Mergers and acquisitions (M&A) value increased by 11% in 2024, contrasting with 2022 when dealmaking fell below the $3 trillion mark for the first time in a decade [4]. - Megadeals, defined as those worth over $5 billion, surged by 19%, despite a decline in the total number of deals [4]. - There is a growing interest from U.S. companies and private equity in acquiring undervalued international firms, referred to as "gems" [3].

Core Insights - Momentum investors focus on "buying high and selling higher" rather than traditional strategies of buying low and waiting for recovery [1] - Investing in fast-moving stocks can be risky if valuations exceed future growth potential, leading to potential losses [2] Group 1: Momentum Investing Strategy - The Zacks Momentum Style Score is effective in identifying strong momentum stocks, while the 'Fast-Paced Momentum at a Bargain' screen helps find attractively priced stocks [3] - Citigroup (C) has shown a price increase of 14.7% over the past four weeks, indicating growing investor interest [4] - Over the past 12 weeks, Citigroup's stock gained 24.7%, with a beta of 1.43, suggesting it moves 43% more than the market [5] Group 2: Citigroup's Performance Metrics - Citigroup has a Momentum Score of A, indicating a favorable entry point for investors [6] - The stock has a Zacks Rank 2 (Buy) due to upward revisions in earnings estimates, which attract more investors [7] - Citigroup is trading at a Price-to-Sales ratio of 0.89, suggesting it is undervalued at 89 cents for each dollar of sales [7] Group 3: Additional Investment Opportunities - Besides Citigroup, there are other stocks that meet the 'Fast-Paced Momentum at a Bargain' criteria, presenting further investment opportunities [8] - Zacks offers over 45 Premium Screens tailored to different investing styles to help identify winning stock picks [9]

Citigroup, Inc. (C) shares have gained 8.8% compared with the industry’s growth of 5.8% since the release of its fourth-quarter 2024 results. The company registered top and bottom-line growth in the reported quarter, mainly attributable to a rise in non-interest revenues (NIR), driven by strength in the investment banking (IB) business.Price Performance Image Source: Zacks Investment Research Citigroup’s close peers Bank of America (BAC) and Wells Fargo (WFC) registered strong growth in their quarterly non- ...

Group 1: Brokerage Recommendations - Citigroup has an average brokerage recommendation (ABR) of 1.67, indicating a consensus between Strong Buy and Buy based on 21 brokerage firms' recommendations [2] - Of the 21 recommendations, 13 are Strong Buy and 2 are Buy, accounting for 61.9% and 9.5% of all recommendations respectively [2] - Despite the positive ABR, reliance solely on brokerage recommendations may not be wise, as studies show limited success in guiding investors to stocks with the best price increase potential [4][5] Group 2: Analyst Bias and Zacks Rank - Brokerage analysts often exhibit a strong positive bias due to vested interests, leading to a disproportionate number of Strong Buy recommendations compared to Strong Sell [5][9] - The Zacks Rank, a proprietary stock rating tool, categorizes stocks based on earnings estimate revisions and is considered a more effective indicator of near-term stock price performance [7][10] - The Zacks Rank is timely and reflects current earnings estimates, unlike the ABR, which may not be up-to-date [11] Group 3: Earnings Estimates for Citigroup - The Zacks Consensus Estimate for Citigroup's current year earnings has increased by 3.9% over the past month to $7.49, indicating growing optimism among analysts [12] - The recent change in consensus estimates, along with other factors, has resulted in a Zacks Rank 2 (Buy) for Citigroup, suggesting a positive outlook for the stock [13]