Contrasting Citigroup (C) & Its Competitors

Citigroup (NYSE:C – Get Free Report) is one of 925 publicly-traded companies in the “Banks” industry, but how does it contrast to its peers? We will compare Citigroup to similar businesses based on the strength of its dividends, analyst recommendations, institutional ownership, valuation, risk, profitability and earnings.

Dividends

Citigroup pays an annual dividend of $2.68 per share and has a dividend yield of 1.9%. Citigroup pays out 28.9% of its earnings in the form of a dividend. As a group, “Banks” companies pay a dividend yield of 8.9% and pay out 29.0% of their earnings in the form of a dividend. Citigroup has raised its dividend for 2 consecutive years.

Profitability

This table compares Citigroup and its peers’ net margins, return on equity and return on assets.

Earnings and Valuation

This table compares Citigroup and its peers revenue, earnings per share and valuation.

Citigroup has higher revenue and earnings than its peers. Citigroup is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Insider and Institutional Ownership

71.7% of Citigroup shares are held by institutional investors. Comparatively, 47.5% of shares of all “Banks” companies are held by institutional investors. 0.1% of Citigroup shares are held by insiders. Comparatively, 9.8% of shares of all “Banks” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Volatility and Risk

Citigroup has a beta of 1.12, indicating that its stock price is 12% more volatile than the S&P 500. Comparatively, Citigroup’s peers have a beta of 0.59, indicating that their average stock price is 41% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings for Citigroup and its peers, as provided by MarketBeat.

Citigroup presently has a consensus price target of $145.22, indicating a potential upside of 4.92%. As a group, “Banks” companies have a potential upside of 10.78%. Given Citigroup’s peers higher possible upside, analysts plainly believe Citigroup has less favorable growth aspects than its peers.

Summary

Citigroup beats its peers on 9 of the 15 factors compared.

About Citigroup

(Get Free Report)

Citigroup Inc., a diversified financial service holding company, provides various financial product and services to consumers, corporations, governments, and institutions worldwide. It operates through five segments: Services, Markets, Banking, U.S. Personal Banking, and Wealth. The Services segment includes Treasury and Trade Solutions, which provides cash management, trade, and working capital solutions to multinational corporations, financial institutions, and public sector organizations; and Securities Services, such as cross-border support for clients, local market expertise, post-trade technologies, data solutions, and various securities services solutions. The Markets segment offers sales and trading services for equities, foreign exchange, rates, spread products, and commodities to corporate, institutional, and public sector clients; and market-making services, including asset classes, risk management solutions, financing, prime brokerage, research, securities clearing, and settlement. The banking segment includes investment banking; advisory services related to mergers and acquisitions, divestitures, restructurings, and corporate defense activities; and corporate lending, which includes corporate and commercial banking. The U.S. Personal Banking segment provides co-branded cards and retail banking services. The Wealth segment provides financial services to high-net-worth clients through banking, lending, mortgages, investment, custody, and trust product offerings; and to professional industries, including law firms, consulting groups, accounting, and asset management. The company was founded in 1812 and is headquartered in New York, New York.