NEW YORK (TheStreet) -- Shares of Citigroup (C) are down 2.36% to 55.04 after it was reported that the U.S. bank will take about $3.5 billion in legal and restructuring charges in the fourth quarter, as it prepares to settle allegations of wrongdoing in rate-setting and anti-money laundering and make more redundancies, the Financial Times reports.
CEO Mike Corbat announced the charges on Tuesday at a banking conference held by Goldman Sachs, the FT said.
They will come close to wiping out Citigroup's expected profit for the quarter, according to analysts' estimates. Citigroup, though, expects to be marginally profitable, the FT added.
Separately, TheStreet Ratings team rates CITIGROUP INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate CITIGROUP INC (C) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels, expanding profit margins and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income."