Royal Bank Of Canada Issues Pessimistic Forecast for Citigroup (NYSE:C) Stock Price

Key Points

• Royal Bank of Canada cut Citigroup’s price target from $150 to $135 while maintaining an “outperform” rating, implying roughly 9.9% upside from the $122.84 share price.
• Despite the downgrade, Citigroup reported quarterly earnings of $2.85 per share, beating the $2.65 estimate, while revenue rose 7.9% year over year to $23.84 billion.
• Analyst sentiment remains broadly positive, with a “Moderate Buy” consensus rating and an average price target of $150.68, though weaker technical momentum and cautious guidance pose risks.

Citigroup (NYSE:C - Get Free Report) had its price target decreased by research analysts at Royal Bank Of Canada from $150.00 to $135.00 in a report released on Wednesday, Benzinga reports. The firm presently has an "outperform" rating on the stock. Royal Bank Of Canada's price objective suggests a potential upside of 9.90% from the company's current price.

Other equities research analysts also recently issued reports about the company. Argus set a $150.00 price target on Citigroup in a research note on Wednesday, July 15th. UBS Group cut their price target on Citigroup from $142.00 to $139.00 and set a "neutral" rating for the company in a report on Monday, October 5th. Evercore set a $140.00 price objective on Citigroup in a research note on Thursday, October 1st. Truist Financial decreased their price objective on Citigroup from $158.00 to $154.00 and set a "buy" rating on the stock in a report on Wednesday, July 15th. Finally, Bank of America upped their price objective on Citigroup from $170.00 to $176.00 and gave the stock a "buy" rating in a report on Tuesday, July 7th. One research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $150.68.

Citigroup Stock Down 1.4%

Shares of C stock opened at $122.84 on Wednesday. The company's fifty day simple moving average is $133.46 and its two-hundred day simple moving average is $131.64. Citigroup has a 52 week low of $95.00 and a 52 week high of $147.96. The stock has a market cap of $209.51 billion, a P/E ratio of 13.20, a PEG ratio of 0.58 and a beta of 1.13. The company has a quick ratio of 0.99, a current ratio of 0.99 and a debt-to-equity ratio of 1.71.

Citigroup (NYSE:C - Get Free Report) last issued its quarterly earnings data on Tuesday, October 13th. The company reported $2.85 earnings per share for the quarter, beating analysts' consensus estimates of $2.65 by $0.20. The firm had revenue of $23.84 billion during the quarter, compared to analyst estimates of $23.72 billion. Citigroup had a return on equity of 10.15% and a net margin of 10.23%. The business's quarterly revenue was up 7.9% compared to the same quarter last year. During the same quarter last year, the business posted $1.86 earnings per share. Analysts predict that Citigroup will post 11.19 EPS for the current fiscal year.

Institutional Investors Weigh In On Citigroup

Large investors have recently added to or reduced their stakes in the stock. Compass Financial Management LLC purchased a new position in Citigroup in the 2nd quarter worth $898,000. Andra AP fonden increased its holdings in shares of Citigroup by 22.3% in the second quarter. Andra AP fonden now owns 274,600 shares of the company's stock valued at $38,433,000 after purchasing an additional 50,100 shares during the period. Saudi Central Bank increased its holdings in shares of Citigroup by 80.8% in the second quarter. Saudi Central Bank now owns 119,392 shares of the company's stock valued at $16,710,000 after purchasing an additional 53,348 shares during the period. Vestor Capital LLC raised its stake in shares of Citigroup by 4,918,233.3% in the first quarter. Vestor Capital LLC now owns 295,100 shares of the company's stock worth $33,467,000 after purchasing an additional 295,094 shares during the last quarter. Finally, Raiffeisen Bank International AG raised its stake in shares of Citigroup by 12.9% in the second quarter. Raiffeisen Bank International AG now owns 103,220 shares of the company's stock worth $14,708,000 after purchasing an additional 11,812 shares during the last quarter. 71.72% of the stock is owned by institutional investors.

Citigroup News Roundup

Here are the key news stories impacting Citigroup this week:

• Positive Sentiment: Q3 earnings beat expectations. Citigroup reported $2.85 in earnings per share versus approximately $2.65 expected, while revenue reached about $23.85 billion, up 7.9% year over year and the bank’s highest third-quarter level in more than a decade. Net income rose 40% to $5.2 billion. Citi profit jumps 40% with higher investment banking, services and wealth revenue
• Positive Sentiment: Services, Wealth and Markets provided momentum. Services and Wealth revenue each increased 15%, Markets revenue grew 6%, and investment banking revenue rose 9%. Net interest income excluding Markets also increased 7% to $13.71 billion. Management raised its full-year 2026 net interest income growth outlook to the mid-to-high single digits. C Q3 Deep Dive: Services and Wealth Drive Growth Amid Market Caution
• Positive Sentiment: Capital returns and credit quality remain supportive. Citigroup returned approximately $4.1 billion to common shareholders through dividends and repurchases, while preliminary common equity Tier 1 capital was 12.8%. Banks broadly reported limited evidence of immediate credit deterioration.
• Neutral Sentiment: Higher Treasury yields are creating mixed effects. Rising rates can support net interest income, but a flattening yield curve and higher funding costs may pressure lending growth, margins and future credit performance. Investors are therefore scrutinizing bank guidance for evidence that rate benefits will persist.
• Negative Sentiment: Fourth-quarter revenue guidance disappointed. CFO Gonzalo Luchetti said fourth-quarter Markets revenue could decline about 20% from Q3, or potentially more. That outlook overshadowed the strong trading results and raised concern that the next quarter will be materially weaker.
• Negative Sentiment: Sequential profitability trends weakened. Compared with Q2, revenue fell about 4% and net income declined roughly 10%. Credit-loss provisions increased to approximately $2.6 billion, while U.S. Consumer Cards revenue was flat and card profitability faced higher costs and provisions. Why Citigroup Stock Is Trading Lower Today
• Negative Sentiment: Technical momentum has deteriorated. The shares are trading below their 50-day moving average and near the 200-day moving average, leaving investors concerned that cautious guidance could keep the stock under pressure despite the earnings beat.

Citigroup Company Profile

Citigroup Inc is a global financial services company headquartered in New York City and listed on the New York Stock Exchange under the symbol C. Through its subsidiaries and businesses, Citi provides banking, lending, investment, payments, wealth management and other financial services to consumers, businesses, governments and institutional clients.

Citi's principal businesses include Services, which supports institutional clients with treasury, trade, securities services and related solutions; Markets, which provides sales, trading, research and financing services; Banking, which offers investment banking and corporate banking; and Wealth, which provides private banking and wealth management.

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