This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Big Four Bank Earnings: What to Expect

Citigroup

Shares of Citigroup are up 7.4% year-to-date and 16% over a one year period, versus the KBW Bank Index returns of 6.6% and 9.9% respectively over the same period. C Total Return Price Chart C Total Return Price data by YCharts

Analysts polled by Thomson Reuters expect the third largest bank to report an earnings per share of $1.18, up from $1.11 a year ago, on revenues of $20.13 billion.

Citi is another restructuring play for bank investors. Under new CEO Mike Corbat, the bank has a razor sharp focus on expenses and is laying off 11,000 employees, shutting branches and exiting or winding down its presence in several unprofitable markets.

In a recent investor presentation, Corbat unveiled new performance targets for Citi, including a plan to achieve a return on tangible common equity of 10% by 2015, rising from an adjusted return of 7.9% in 2012. Analysts will be monitoring the bank's progress against those measures, though it is still early days.

Citigroup fared well in the Federal Reserve's March stress test, posting among the highest capital ratios in the regulator's hypothetical severely adverse scenario. Analysts saw this as a sign that the bank had made progress in de-risking its balance sheet


The bank requested permission to buy back $1.2 billion in stock in 2013, a lowball number, as it sought to avoid the embarrassment of a rejection from the regulator. However, analysts expect Citi to return significant capital starting in 2014.

Shares trade at 0.83 times tangible book value.

Citigroup reports April 15.

4 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
BAC $16.50 -1.50%
C $54.24 -1.30%
JPM $65.42 -1.60%
WFC $55.66 -0.61%
AAPL $130.56 -1.50%

Markets

DOW 18,052.01 -180.01 -0.99%
S&P 500 2,106.33 -19.73 -0.93%
NASDAQ 5,033.6760 -55.6860 -1.09%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs