Diversify Advisory Services LLC Purchases 17,982 Shares of Citigroup Inc. $C

Key Points

• Diversify Advisory Services nearly doubled its Citigroup stake, purchasing 17,982 additional shares to own 36,197 shares valued at approximately $4.8 million. Institutional investors collectively hold 71.72% of the bank’s stock.
• Citigroup reported quarterly EPS of $3.15, surpassing estimates of $2.74, while revenue rose 14.5% year over year to $24.77 billion. The company also increased its quarterly dividend to $0.67 per share and authorized a $30 billion share-repurchase program.
• Analysts maintain a generally positive view, with Citigroup carrying a “Moderate Buy” consensus rating and a $145.22 average price target. Citi is also preparing institutional Bitcoin custody services and launched its Custody+ platform, though it faces regulatory risks from an $86.4 million bond-market settlement involving several banks.

Diversify Advisory Services LLC raised its position in shares of Citigroup Inc. (NYSE:C - Free Report) by 98.7% during the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 36,197 shares of the company's stock after purchasing an additional 17,982 shares during the period. Diversify Advisory Services LLC's holdings in Citigroup were worth $4,818,000 at the end of the most recent reporting period.

Several other hedge funds have also recently added to or reduced their stakes in the company. Foster & Motley Inc. purchased a new position in shares of Citigroup during the 2nd quarter valued at about $504,000. Paladin Partners LLC bought a new position in Citigroup during the second quarter valued at approximately $27,000. Commerzbank Aktiengesellschaft FI bought a new stake in shares of Citigroup in the 2nd quarter worth approximately $3,636,000. Trust Co. of Vermont purchased a new stake in shares of Citigroup in the 2nd quarter valued at $316,000. Finally, Plato Investment Management Ltd purchased a new stake in shares of Citigroup in the 2nd quarter valued at $11,949,000. Institutional investors own 71.72% of the company's stock.

Citigroup Price Performance

Shares of Citigroup stock opened at $137.66 on Wednesday. The company's fifty day simple moving average is $137.54 and its two-hundred day simple moving average is $126.02. Citigroup Inc. has a 12-month low of $90.68 and a 12-month high of $147.96. The firm has a market cap of $234.79 billion, a PE ratio of 14.87, a price-to-earnings-growth ratio of 0.63 and a beta of 1.12. 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, July 14th. The company reported $3.15 EPS for the quarter, beating the consensus estimate of $2.74 by $0.41. The firm had revenue of $24.77 billion during the quarter, compared to the consensus estimate of $23.74 billion. Citigroup had a net margin of 10.23% and a return on equity of 10.15%. The company's quarterly revenue was up 14.5% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.96 earnings per share. As a group, equities analysts expect that Citigroup Inc. will post 11.2 EPS for the current year.

Citigroup Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Monday, August 3rd will be issued a dividend of $0.67 per share. This is a boost from Citigroup's previous quarterly dividend of $0.60. This represents a $2.68 dividend on an annualized basis and a dividend yield of 1.9%. The ex-dividend date is Monday, August 3rd. Citigroup's dividend payout ratio is currently 28.94%.

Citigroup announced that its board has authorized a stock repurchase plan on Thursday, May 7th that authorizes the company to repurchase $30.00 billion in outstanding shares. This repurchase authorization authorizes the company to buy up to 13.7% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company's leadership believes its stock is undervalued.

Key Citigroup News

Here are the key news stories impacting Citigroup this week:

• Positive Sentiment: Citigroup plans to launch institutional Bitcoin custody services later this year, allowing clients to hold digital and traditional assets under one framework. The offering could create new fee revenue, strengthen Citi’s institutional-asset franchise and help the bank compete with major Wall Street rivals in digital-asset infrastructure. Bitcoin Custody for Institutional Clients Is Coming to Citi Later This Year
• Positive Sentiment: Citi also introduced its Custody+ platform, featuring continuous settlement, artificial-intelligence tools and an in-house tokenization rail through Citi Token Services. The platform supports the bank’s strategy of modernizing custody and transaction services, although the immediate earnings contribution remains uncertain. Citigroup Rolls Out Custody+ Platform With Bitcoin Services and Continuous Settlement
• Neutral Sentiment: Citi’s research team said prediction markets point toward a divided U.S. government after the midterm elections and outlined potential trading implications. The analysis may influence views on regulation, fiscal policy and bank-sector conditions, but it does not represent a direct change to Citigroup’s fundamentals. Prediction Markets See a Divided Government After Midterm Elections
• Negative Sentiment: Citigroup and five other banks agreed to an $86.4 million settlement resolving allegations of manipulation in Mexico’s bond market. Citi’s share of the payment was not specified, but the resolution creates a modest cost and reinforces regulatory and litigation risks for the bank. Major US Banks Agree to $86.4M Settlement in Mexican Bond-Rigging Case

Wall Street Analyst Weigh In

Several research firms have weighed in on C. Wells Fargo & Company boosted their price target on shares of Citigroup from $162.00 to $165.00 and gave the stock an "overweight" rating in a research note on Thursday, June 18th. Wall Street Zen cut Citigroup from a "buy" rating to a "hold" rating in a research note on Saturday, August 8th. Argus set a $150.00 price objective on Citigroup in a report on Wednesday, July 15th. Bank of America raised their price target on Citigroup from $170.00 to $176.00 and gave the stock a "buy" rating in a research report on Tuesday, July 7th. Finally, Zacks Research raised Citigroup from a "hold" rating to a "strong-buy" rating in a research note on Thursday, July 16th. Two investment analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and four have given a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $145.22.

About Citigroup

Citigroup Inc is a global financial services company headquartered in New York City with roots tracing back to the City Bank of New York, founded in 1812. The modern Citigroup was created through the 1998 merger of Citicorp and Travelers Group and has since operated as a diversified bank holding company that provides a broad range of banking and financial products and services to consumers, corporations, governments and institutions worldwide.

Citi's principal businesses include retail and commercial banking, credit card and consumer lending products, wealth management and private banking, and a full suite of institutional services.

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