JPMorgan Backs Citigroup (C) as Russia Sale Lifts Capital Ratio

Core Viewpoint - Citigroup Inc. is recognized as one of the 20 Best Performing Dividend Stocks in 2025, indicating strong investor confidence and performance expectations for the company [1]. Group 1: Company Operations and Financial Performance - Citigroup plans to sell its remaining operations in Russia, anticipating a pre-tax loss of $1.2 billion in Q4 2025 due to this exit [2]. - JPMorgan maintains an Overweight rating on Citigroup, expecting a modest improvement in Citi's capital ratio post-sale, as it will reduce risk-weighted assets [2]. - In Q3 2025, Citigroup's revenue increased by 9% year-over-year, with earnings per share rising to $1.86 from $1.51 in Q3 2024 [3]. - Adjusted earnings, accounting for one-time items related to an asset divestiture, would have been $2.24 per share, highlighting significant year-over-year improvement [4]. - The return on average tangible common equity increased by one percentage point compared to the previous year, reflecting enhanced profitability [4]. Group 2: Company Profile - Citigroup operates as a global financial services firm, providing a range of services including banking, credit, investment, and wealth management to various clients including individuals, businesses, governments, and institutions [4].