Deutsche Bank Issues Citigroup Alert
Analysts at Deutsche Bank issued an alert that Citigroup Inc (NYSE: C) may take a $2 billion-plus hit to its book value as a result of the U.S. dollar strength. However, the analysts said that it will not materially impact net income, EPS or Citi's capital. Therefore, Deutsche reiterated its Buy rating and $56 price target on the stock, which closed at $52.43 on Friday.
In 2014, the strong dollar impacted Citi's book value by $3.8 billion, with half of that impact coming in the fourth quarter, according to the Deutsche note. Net income fell a more modest $400 million pre tax, while capital requirements under Basel 3 Tier 1 were negligible.
Year-to-date, Citigroup has declined 3.1 percent. Over the past 52 weeks, Citi gained nearly 15 percent.
Latest Ratings for C
|Oct 2016||Compass Point||Initiates Coverage On||Sell|
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