Citi Ignores FXCM Buyout Rumors, Says Challenges Ahead
FXCM Inc (NYSE: FXCM) on Friday detailed some company metrics to assuage the market, while also expressing an intention to sell its non-core assets. However, Citi on Monday reiterated its $0.75 per share price target and Sell rating. That price target represents a 68 percent decline from Friday’s close.
Citi specifically noted that it expects FXCM’s share price to first bounce, before noting that all positive benefits are destined for Leucadia. Specifically, Citi argues that any sale of non-core assets will go first to Leucadia as part of its emergency bailout on January 16.
Citi failed to address rumors in the market of an ultimate buyout, specifically, last week it was rumored that Charles Schwab Corp would offer $5.25 per share for the troubled broker.
FXCM is up nearly 10 percent on Monday.
Image credit: BruceG1001, Flickr
Latest Ratings for FXCM
|May 2015||Keefe Bruyette & Woods||Maintains||Underperform|
|Mar 2015||Keefe Bruyette & Woods||Downgrades||Market Perform||Underperform|
© 2017 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.