'Fast Money' Recap: A Disappointing Development for Citi Investors - TheStreet

NEW YORK (TheStreet) -- Citigroup (C) - Get Report was the center of attention for CNBC's "Fast Money" trading panel after the company announced on Thursday its third-quarter earnings needed to be restated, with net income falling to $2.84 billion from $3.44 billion. 

"Citigroup continues to disappoint investors," said Tim Seymour, managing partner of Triogem Asset Management, who is long the stock. However, because of the stock's very low valuation, investors should consider the recent pullback a buying opportunity. 

Watch the video below for more on Citigroup's adjusted third quarter results:

The stock has rallied some 10% in the past two weeks, so there's no reason to step in and buy the stock now, according Dan Nathan, co-founder and editor of riskreversal.com. Allow the stock some more time to decline. 

Instead of buying Citigroup, "why not buy a company like Wells Fargo (WFC) - Get Report?" asked Steve Grasso, director of institutional sales at Stuart Frankel. The company doesn't have international exposure and the strength of the U.S. dollar will not hurt its earnings results. 

Are you long Citigroup? Brian Kelly, founder of Brian Kelly Capital, says you shouldn't "panic out of your position" if that's the case. Wait for a pop to get out. He added that he does not like the financial sector because of the low interest rates.

The $600 million loss is larger than what was expected, said Charles Bobrinskoy, vice chairman of Ariel Investments. No one expected the company to restate its third-quarter earnings but they were expecting a forex loss to be in the range of $100 million to $300 million. He prefers to be long companies like Goldman Sachs (GS) - Get Report and Morgan Stanley (MS) - Get Report .

Wedbush Securities' managing director Michael Pachter discussed GoPro's (GPRO) - Get Report top- and bottom-line earnings beat. He has an outperform rating on GoPro with an $81 price target. The company's cameras are no longer just for action sports, he said. Now it has a "broad addressable market," and the new cameras will attract many new customers this holiday season. Media content is unlikely to drive revenue for the stock for three to four years. 

The barriers to entry seem low in this market, Grasso said, adding that competition in the space could really impede GoPro's growth story. Seymour said that at 60 times 2015 earnings, the stock is overvalued. But Kelly argued that GoPro provided better-than-expected guidance and had a good report. Investors can buy the stock headed into the holiday season, he said. 

The trading panel took a look at several earnings results from Thursday: 

Starbucks (SBUX) - Get Report slipped 4% in the after-hours session. Nathan called the stock slightly overvalued and a good buy in the "low $70s." Seymour added the company's international growth would help propel the stock higher in 2015, but admitted that its recent results were somewhat disappointing. 

Shares of LinkedIn (LNKD) climbed 2% in the after-hours session after beating on revenue and earnings. Nathan and Seymour both like the business, but said the valuation is too steep and to wait for a pullback.

After his company beat on EPS and revenue expectations, Taser International's (TASR) CEO Rick Smith said the terrible events in Ferguson, Mo., led to immense interest in the company's products. Aside from tasers, the company sells attachable cameras and record-keeping services, where the footage from the camera is automatically uploaded to the cloud. 

This makes it easy for customers and creates recurring revenue for Taser, he said. Because of the increased demand and stronger economy, sales should be strong for the next six to nine months, Smith concluded.

This could equate to several strong quarters of sales growth, Grasso said. Nathan added the stock certainly looks interesting on the long side, with the product being in such high demand.

For their final trades, Seymour is buying Citigroup and Grasso said to buy Mobileye (MBLY) . Kelly said to buy the iShares 20+ Year Treasury Bond ETF (TLT) - Get Report and Nathan is selling LinkedIn.

-- Written by Bret Kenwell 

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Bret Kenwell currently writes, blogs and also contributes to Robert Weinstein's Weekly Options Newsletter.