Citigroup (C) closed at $78.76 in the latest trading session, marking a -0.87% move from the prior day. This change lagged the S&P 500's daily loss of 0.28%. Meanwhile, the Dow lost 0.42%, and the Nasdaq, a tech-heavy index, lost 0.03%.
Coming into today, shares of the U.S. bank had gained 5.47% in the past month. In that same time, the Finance sector gained 2.29%, while the S&P 500 gained 3.31%.
C will be looking to display strength as it nears its next earnings release, which is expected to be January 14, 2020. On that day, C is projected to report earnings of $1.84 per share, which would represent year-over-year growth of 14.29%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $17.84 billion, up 4.16% from the year-ago period.
Investors should also note any recent changes to analyst estimates for C. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.84% lower within the past month. C is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, C is holding a Forward P/E ratio of 9.38. Its industry sports an average Forward P/E of 12.35, so we one might conclude that C is trading at a discount comparatively.
It is also worth noting that C currently has a PEG ratio of 0.81. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Banks - Major Regional industry currently had an average PEG ratio of 1.45 as of yesterday's close.
The Banks - Major Regional industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 62, which puts it in the top 25% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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