Latest news with #CitigroupInc
Yahoo
3 hours ago
- Business
- Yahoo
Wells Fargo Reiterates a Buy Rating on Citigroup (C)
Citigroup Inc. (NYSE:C) is one of the most undervalued blue chip stocks to buy according to hedge funds. On July 23, Wells Fargo analyst Mike Mayo reiterated a Buy rating on Citigroup Inc. (NYSE:C) and set a price target of $115.00. Citigroup Inc. (NYSE:C) reported its Q2 2025 earnings on July 15, with net income for the quarter reaching $4.0 billion, or $1.96 per diluted share, on revenues of $21.7 billion. Revenues rose 8% from the prior-year period, on a reported basis, attributed to growth in each of Citi's five interconnected businesses. Revenues grew 9% excluding divestiture-related impacts in both periods. Headquartered in New York, Citigroup Inc. (NYSE:C) provides financial products and services. Its operations are divided into the following segments: Services, Markets, Banking, Wealth, US Personal Banking (USPB), and All Other. While we acknowledge the potential of C as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
The Star
3 days ago
- Business
- The Star
Citi announces research expansion into private industry, mostly tech firms
The Citigroup Inc (Citi) logo is seen at the SIBOS banking and financial conference in Toronto, Ontario, Canada October 19, 2017. Picture taken October 19, 2017. REUTERS/Chris Helgren/File Photo (Reuters) -Citigroup said on Tuesday it is expanding its research coverage to include private companies, with a focus on rapidly growing tech firms, mirroring a similar strategy by JPMorgan Chase, which has reportedly begun covering non-listed firms. The expansion will focus on about 100 of the most influential private companies, especially in key sectors like artificial intelligence, offering event-driven analysis on product launches, customer acquisitions and new business lines. However, the reports will not include price targets, buy/sell recommendations, or earnings forecasts, the bank said. This comes as several private companies, such as OpenAI, SpaceX and TikTok-parent Bytedance, command valuations that rival or surpass several major S&P 500 firms, blurring the distinction between public and private market influence. JPMorgan Chase has also been offering research coverage for private companies, many of which have high valuations or are delaying listings, a person familiar with the matter told Reuters on Friday. (Reporting by Sneha Kumar in Bengaluru; Editing by Sumana Nandy)
Mint
4 days ago
- Business
- Mint
Nordic Bank Leads Europe IPO Arrangers as Local Listings Boom
(Bloomberg) -- A regional investment bank has become Europe's most prolific underwriter of initial public offerings, tapping a rich vein of listings in the continent's northernmost corner. Nordic-focused DNB Carnegie worked on five IPOs so far this year that raised roughly $2 billion in proceeds, accounting for about a third of all European volumes for the period, according to data compiled by Bloomberg. The deals have catapulted the bank to the number one spot for European IPOs thus far in 2025, and number two for the wider Europe, Middle East and Africa region after Citigroup Inc. DNB Carnegie's dominance illustrates how Scandinavian bourses, particularly Stockholm, have been gaining traction since the second half of 2024. Meanwhile, financial centers like London, Milan and Paris have lagged behind. The trend reached a zenith with the roughly $1 billion listing by Stockholm's Asker Healthcare Group AB in March — the biggest European IPO so far in 2025. 'The Nordic IPO market has been very busy the last three quarters compared to the rest of Europe, and we've been executing all the sizable IPOs,' Jens Plenov, DNB Carnegie's global head of equity capital markets, said in an interview. Verisure's planned Swedish listing could provide an even bigger boost in the coming months, as the alarm company and its backers are eyeing raising about €3 to €4 billion, people familiar with the matter have said. DNB Carnegie is acting as a global coordinator on the float, Bloomberg News has reported. Dealmakers credit the strength of the Nordic market to its local community of asset managers and pension funds that regularly invest in IPOs. Retail investors are also keen to participate directly in deals, making up around 10% of allocations on average, Plenov said. To mitigate risks, newly listed companies have generally opted for smaller free-floats and shorter offering periods, sounding out investors extensively before officially launching the IPO, Plenov said. For instance, serial acquirer Roko AB sold roughly 95% of its 5.3 billion Swedish krona ($560 million) offering to cornerstone investors before opening it to the public in March. But the region hasn't been completely immune to market volatility. Investment firm Greenbridge SA and NOBA Bank Group AB, a consumer lender backed by Nordic Capital, postponed plans to go public before the summer to hold out for calmer markets. DNB Carnegie was established in May, after Norway's DNB Bank ASA bought Carnegie Holding AB, a boutique investment bank with origins dating back to the early 19th century, for more than $1 billion from Altor Equity Partners. Carnegie was the sixth-biggest underwriter in all of EMEA during the IPO boom of 2021, but slumped in the rankings when the Nordic market slowed down. Its rise in the standings isn't just a factor of the tie-up — combined deal volumes for both banks last year would not have been in the top 20 firms, according to data compiled by Bloomberg. Asked if DNB Carnegie would lean on DNB's large balance sheet to win more mandates, Plenov said the bank wants 'to continue winning IPO mandates on merit.' However, 'the ability to apply our balance sheet to support our clients will be a great benefit.' More stories like this are available on
Business Insider
4 days ago
- Business
- Business Insider
African borrowers are regaining access to international capital markets
African governments and companies are beginning to regain access to international capital markets, offering a renewed chance to diversify funding sources. African countries are beginning to access international capital markets again after prolonged challenges. Decreasing rates and narrowing sovereign spreads have contributed to this market accessibility. European funds are increasingly flowing into Africa, surpassing U.S. investments in impact. African governments and companies are beginning to regain access to international capital markets, offering a renewed chance to diversify funding sources after years of being effectively shut out, according to Citigroup Inc. 'With rates coming down now, I think the markets are reopening to African issuers, namely the European markets,' said Miguel Azevedo, managing director and vice-chair of investment banking for the Middle East and Africa at Citigroup. Azevedo pointed to Guaranty Trust Holding Co. of Nigeria's international share sale earlier this month, its first ever, as a sign of renewed investor interest. In a separate development, the Ivory Coast raised 50 billion yen ($338 million) last week through its debut Samurai bond issuance, Bloomberg reported. The improving outlook for African borrowers is reflected in narrowing sovereign spreads. The premium investors demand to hold African dollar bonds over U.S. Treasuries has fallen to 429 basis points, its lowest since December, according to JPMorgan Chase & Co. indexes. The spread has tightened by more than 200 basis points since April, when U.S. President Donald Trump's tariff announcements triggered market volatility. Shift toward local trade Azevedo also highlighted the growing flow of European funds into Africa relative to U.S. investments, calling it a potential 'blessing in disguise.' The trend, he said, is supporting economic diversification and enhancing intra-African trade. 'Forcing local trade I think it will be good for Africa,' he said. 'The world is becoming less global and it may actually help Africa. When you look at trade in Africa, it's all about how much you can do domestically these days.'
The Star
5 days ago
- Business
- The Star
Global money chases hot S. Korean stock market
SOUTH KOREAN stocks, already this year's best performers among the world's major markets, are becoming a magnet for foreign investors as bold regulatory reforms to lift valuations and empower minority shareholders gain traction. Just this month, policymakers voted in favour of pivotal law changes to make board members legally accountable to all shareholders. They are now focusing on the next wave of reforms – including improvements to the voting system for selection of board members, and reducing treasury stock holdings – all with the goal of reining in the nation's many family-run conglomerates, or chaebols. From Wall Street to London, investors are taking notice. Overseas funds, which dumped South Korean stocks for nine straight months through April, are piling back into the market. Strategists at global banks including Goldman Sachs Group Inc, JPMorgan Chase & Co, Citigroup Inc and Morgan Stanley are among those who have upgraded South Korea since the start of June. The benchmark Kospi has surged 33% in 2025, helping propel the equity market's value above US$2 trillion for the first time in three years. Culture shift Reforms 'will contribute to the continuation of a culture shift already underway and will reduce the ability of controlling shareholders to compel restructurings that benefit them at the expense of minority shareholders,' said Jonathan Pines of Federated Hermes, whose US$4.5bil Asia Ex-Japan equity fund has beaten 92% of its peers over one year. 'We remain very significantly 'overweight' on South Korean stocks.' South Korean authorities have been seeking to replicate the success seen in Japan, where a push for corporate reforms helped boost valuations and spur a world-beating equity rally. Optimism that the nation is serious about tackling the so-called 'South Korea discount' has grown since newly elected President Lee Jae Myung made raising governance standards and improving stock-market returns one of his top priorities. Net inflows from foreign funds have crossed US$3bil in July alone. That's more than their combined purchases in the previous two months. 'We're seeing a big change in the corporate governance,' said Joshua Crabb, head of Asia Pacific equities at Robeco Hong Kong Ltd, noting more capital discipline, buybacks and dividends. 'This does not require a great global environment. 'These are things that are almost like a bit of self-help.' After having discussed the latest round of commercial code revisions earlier this month, lawmakers plan on voting for them on Aug 4. During this round, they will be pushing to mandate a cumulative voting system for listed firms in an effort to promote board diversity. Cumulative voting has become a cornerstone of the ruling Democratic Party's corporate governance agenda. In such a system, a shareholder typically receives votes equal to the number of shares they hold multiplied by the number of board seats up for election. This would enable minority shareholders to pool votes and elect at least one board member aligned with their interest – such as advocating for more share buybacks or dividends. Another proposal that will be considered for this round would be to cap the number of audit committee members that major shareholders can nominate. Treasury stock Then there is the issue of treasury shares, which have become a flashpoint in South Korea. Such stock can be transferred by companies to friendly parties, such as family members or affiliates – who then can vote with them to give the controlling family more power without increasing actual ownership. While not directly part of the agenda for this round of corporate code revisions, a proposal to mandate the cancellation of treasury stock remains a key focus for Lee and his allies as they pursue their ambitious goal of 'Kospi 5000.' The proposal has drawn strong opposition from conglomerates. It should be phased in 'to avoid instability,' Lee Han-joo, a senior aide to Lee and the head of the State Affairs Planning Committee, told Bloomberg in a recent interview. At a minimum, companies may push to preserve existing treasury shares while agreeing to cancel those acquired going forward, said Seokkeun Ha, chief investment officer at Eugene Asset Management. 'That would disappoint the market,' he said. Authorities are discussing various options in this regard, according to a person familiar with the matter. Options range from creating a model similar to that of Germany's to using a more stringent approach that requires all existing treasury shares to be retired within six months, the person said, asking not to be identified as negotiations are ongoing. The German model requires companies to sell treasury shares that exceed 10% of the capital stock within three years of purchase, according to information on a government website. 'If we're aiming for Kospi 5,000, I believe treasury share cancellation is essential,' Ha said. 'That's how return-on-equity increases and higher return of equity drives up the price-to-book ratio.' Lee's crusade to protect minority shareholders' rights relies on lawmakers delivering substantive changes at a credible pace while resisting pushback from entrenched interests. With markets having rallied so hard on expectations, the bar for disappointment is low. In a recent survey of 300 listed companies released by the South Korea Chamber of Commerce and Industry, about 77% said further commercial code revisions could have 'negative impact on business growth.' 'Big bang gains were quite a bit driven by sentiment, and that's gone,' said Xin-Yao Ng, investment director at Aberdeen Investments. 'Going forward, we'll need better delivery of legislation to incentivise value-up and companies themselves delivering actual changes.' — Bloomberg Sangmi Cha and John Cheng write for Bloomberg. The views expressed here are the writers' own.
