Analysts see huge discount Citigroup

According the consensus estimates over the past book year the revenue will at 75,66 billion dollars. This is hugely more then the 2014's revenue of 61,68 billion dollars. For 2015 most of the analysts expect a net profit of 16,43 billion dollars.

Over the past bookyear the consensus of the result per share equals 5,43 dollars. So based on these estimates the price/earnings-ratio equals 8,64.

2009 worst year for Citigroup


The matrix above shows Citigroup's historical returns expressed in the different entry years in the left axis.

The year 2009 was with a price loss of 75 percent the worst year (as from 2008). 2014 was with a return of 49 percent by far the best year since 2008. Who bought the share in 2008 (price at that time 289,00 dollars) now has a price loss of 84 percent.

The stock now trades at 46,90 dollars. This equals 21 times the 2014's earnings per share.


The graph above shows the developments of Citigroup's stock price (blue) and revenue (red) for the period 2008 till 2015 (the analyst's expectations. It seems that the bank's revenue hardly is connected with the stock price: the correlation equals -0,67.

Highlights banking sector


Citigroup's book value versus per stock price equals 1,48. The bank's CAPE equals 1.27. The stock now trades at 46,90 dollars. This equals 21 times the 2014's earnings per share.

Per share the analysts expact a dividend of 15 cents. On average the stocks in this sector yield a dividend return of around 1,05 percent.

The Citigroup stock is covered by 9 analysts (based on fundamental analysis). The average target price for Citigroup is at 63,50 dollars. This is 35,41 percent more then the current stock price of 46,90 dollars. The stocks Van Lanschot NV, JP Morgan Chase and Bank of America have the highest consensus by analysts.

Oppenheimer & Co, Nomura Securities en Barclays recently provided recommendations for the stock.