- CIT Group Inc. CIT shares have declined 41.11 percent over the past six months, down to its 52-week low on February 2, at $27.70.
- Citi’s Donald Fandetti has downgraded the rating on the company from Buy to Neutral, while lowering the price target to $30.
- Fandetti explained he was moving to the sidelines due to the company’s “weak core business” and energy related risks.
Analyst Donald Fandetti explained that the downgrade was based on expectations that “1) energy will remain a headwind, 2) core business fundamentals are soft and 3) we see risk of further negative earnings revisions.”
“CIT’s overall energy risk is modest, but it’s enough to keep pressure on the net finance margin and credit metrics into 2016,” Fandetti said.
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Posted In: Analyst ColorLong IdeasShort IdeasDowngradesPrice TargetAnalyst RatingsTrading IdeasCitiDonald Fandetti
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