Pre-Market: 6:49AM EDT
|Bid||68.97 x 2200|
|Ask||70.18 x 1000|
|Day's Range||69.56 - 70.75|
|52 Week Range||48.42 - 75.24|
|Beta (3Y Monthly)||1.77|
|PE Ratio (TTM)||10.52|
|Earnings Date||Jul 15, 2019|
|Forward Dividend & Yield||1.80 (2.89%)|
|1y Target Est||79.12|
The Board of Directors of Citigroup Inc. today declared a quarterly dividend on Citigroup’s common stock of $0.45 per share, payable on May 24, 2019 to stockholders of record on May 6, 2019.
Trading of stocks, bonds, currencies and commodities is a volatile and tricky business, and Wall Street pros have to navigate markets by catering to client needs while also predicting the direction of prices. , the trading business is a major source of revenue that often represents the biggest and most unpredictable swing factor in each quarter's earnings.
Amid slump in investment banking and trading, Morgan Stanley's (MS) Q1 earnings beat estimates driven by loan growth and lower expenses.
JPMorgan (NYSE:JPM) reported its first-quarter results on Apr. 12. JPM stock gained almost 5% on the news. Source: Shutterstock InvestorPlace - Stock Market News, Stock Advice & Trading TipsCitigroup (NYSE:C) announced mixed results before the markets opened on Monday. Its share price barely moved. As far as large bank stocks, JPM stock appears to be in a league of its own. Can any other bank stock touch it? * 10 S&P 500 Stocks to Weather the Earnings Storm Let's consider a few different financial metrics to determine if Jamie Dimon's baby is the obvious choice among large bank stocks. What Is Large?Before we consider our options, it's essential that we come up with some definition of large.As I scan a list of bank ETFs, the Invesco KBW Bank ETF (NYSEARCA:KBWB) catches my attention because of its laser-like focus on 24 bank stocks. JPM stock is its number one holding, accounting for 8.56% of its value. KBWB tracks the performance of the KBW Nasdaq Bank Index, which in turn tracks the performance of the leading banks and thrifts that are publicly traded in the U.S. They are primarily sizable, national, money-center banks, with a few regional banks and thrift institutions thrown into the mix. The index uses a float-adjusted, market cap-weighting methodology. The stocks that are weighted lower generally have smaller market caps. Evaluating JPM's PerformanceThe easiest thing to do would be to compare JPMorgan's Q1 results to those of Citigroup.However, that wouldn't be any fun. So, instead, I'm going to compare JPM to my favorite U.S. bank, SVB Financial (NASDAQ:SIVB), where entrepreneurs and innovators go for their financial services needs, both business and personal. Unfortunately, SIVB doesn't report its first-quarter results until Apr. 25, so I'll use the banks' 2018 numbers to compare them. The NumbersFinancial Metric JPMorgan SVB Financial Net Interest Margin 2.51% 3.57% Return on Average Assets 1.24% 1.76% Efficiency Ratio 61.21% 45.50% Tier 1 Capital Ratio 13.7% 13.4% Return on Equity 13% 20.57 By looking at these five financial metrics, it's clear that SIVB stock is very attractive relative to JPM stock. However, there are a couple of caveats to these numbers.First, SVB Financial is much smaller than JPMorgan.In 2018, SIVB had $2.6 billion of revenue. That's about 2% of JPMorgan's total revenue. JPM had $2.6 trillion of total assets, compared to $55.2 billion for SIVB. The 0.52 percentage-point difference in the banks' return on average assets isn't a big deal, since JPM is so much bigger than SIVB. For example, if JPMorgan had SIVB's return on average assets in 2018, it would have generated $45.7 billion of net income, $13.3 billion more than it did. However, as it stands, JPMorgan's net income in 2018 of $32.5 billion was 59% of SVB Financial's entire asset base. I'm sure Jamie Dimon would love to have some of SIVB's superior numbers, but given JPM's size, that's not very realistic.The second caveat is that SIVB is geared toward commercial banking. In 2018, out of $27.5 billion of its average loans outstanding, 50.8% were worth $20 million or more. Consumer loans and mortgages accounted for just 10% of the bank's total loan portfolio. JPMorgan's total consumer-credit portfolio, including credit cards, was $1.2 trillion, or 46% of its total assets. It focuses much more on retail banking than SIVB. When economies turn south, that can work against JPM stock. But for now, with a relatively strong economy, JPM and JPM stock are sitting pretty. The Bottom Line on JPM StockIf you're interested in owning one of America's biggest and best banks, I don't think there's a better choice than JPMorgan stock.However, if you want to own a piece of one of America's best banks, period, SIVB is a desirable alternative, in my opinion. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks to Buy for Spring Season Growth * This Is How You Beat Back a Bear Market * 7 Dental Stocks to Buy That Will Make You Smile Compare Brokers The post Is JPMorgan Stock the Obvious Choice Among Large Banks? appeared first on InvestorPlace.
Why Bank of America’s Q1 Results Didn't Lift Its StockWhat restricted the upside in stock? On April 16, Bank of America (BAC) announced mixed first-quarter results. The YoY (year-over-year) improvement in the net interest due to continued growth in
Though Hancock Whitney's (HWC) Q1 performance reflects increase in revenues, as well as robust loan and deposit growth, higher expenses remain a concern.
Citi has issued nine structured green bonds. The proceeds will be allocated exclusively to finance loans or investments made by Citi for assets or projects that meet Citi’s green bond eligibility criteria, which Citi developed to identify projects that contribute to climate change mitigation or promote sustainable infrastructure.
Morgan Stanley’s Q1 Earnings Fell 4%, Beat the EstimatesMorgan Stanley’s first-quarter results Morgan Stanley (MS) reported its first-quarter results on April 17. The company reported an EPS of $1.39, which beat the consensus estimates of $1.17
Investing.com - Shares in Morgan Stanley (NYSE:MS) rose to their highest level in seven months after the bank appeared to navigate volatility in global markets in the first quarter slightly better than the market had expected.
At JPMorgan Chase and Bank of America, bank deposits and loans grew and lending margins widened. Retail net interest income rose 11 per cent at Chase and 10 per cent at BofA, to $9.4bn and $7.1bn, respectively. “Look at the banks’ different businesses — corporate and investment banking is not a source of growth, and asset management is not [either].
Citigroup has continued its real estate acquisition drive by buying its office building in Belfast, which is also another indication of the US bank’s commitment to the UK despite the uncertainties of Brexit. The Northern Irish deal follows Citi’s £1bn purchase of its London Canary Wharf skyscraper earlier this year and the acquisition of its New York global headquarters in Tribeca for $2bn in 2016.
Sponsors and their units should hold their stakes for at least 24 months, the Shanghai Stock Exchange said in a statement late Tuesday, an arrangement virtually unheard of in global markets. The rules may be an attempt to ensure investors are protected on the so-called tech board, which will have a lighter regulatory regime than the rest of China’s equity markets, according to Roy Smith, emeritus professor of finance at New York University. “The idea is to make sponsors/underwriters more conservative in promoting IPOs that seem hot, with ‘skin in the game,”’ he said by email.
In the first quarter, coordinated production curbs by the Organization of Petroleum Exporting Countries and its allies helped oil rally the most in almost a decade, restoring prices to over $70 a barrel. Saudi Arabia, the group’s most powerful member, has made clear that it’s determined to keep supplies tight. OPEC and its partners launched a new round of output cuts at the beginning of the year when it looked like booming U.S. shale-oil production and fragile global demand growth would lead to a supply surplus.
State-run oil company Petroleo Brasileiro SA has hired nine banks to manage an offering of shares in its fuel distribution unit Petrobras Distribuidora SA, three sources with knowledge of the matter said. The offering will be led by the investment banking units of JPMorgan Chase & Co and Citigroup Inc, along with the investment banks owned by Itau Unibanco Holding SA , Banco Bradesco SA, Bank of America Corp , Credit Suisse Group AG, Banco do Brasil SA , Banco Santander Brasil SA and HSBC Holdings Plc.
A year ago, the New York bank began requiring business customers to prohibit the sale of firearms to customers who are younger than 21 years of age.
Citi has expanded its ETF custody and fund services capabilities to include EMEA domiciled ETFs, following the successful buildout of its ETF Services platform in the US, Latin America and Asia.
Good Friday isn't an official bank holiday, so branches are typically open ahead of Easter. Find out if your bank is likely to be open or closed on other holidays in 2019 including Memorial Day, Independence Day and Labor Day.
Lower Q1 Revenue Drags Goldman Sachs Stock DownKey takeaways from Q1 Goldman Sachs (GS) posted mixed first-quarter results yesterday, with its revenue missing analysts’ estimate. It fell 13% YoY (year-over-year) due to lower revenue from equity
Bank executives were before Congress April 10, testifying about how sorry they were for past sins and how they've learned their lesson.Source: Shutterstock They haven't. They won't. They're bankers. Bankers will always go for the green, because to do otherwise is to lose out to a banker who will.Thus, banking is ta heavily regulated industry. In its way, banking is a form of gambling. Without some restraint on their natural instincts, they'll lay the mortgage down at the dog track.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe first quarter of 2019 was very, very good for the big banks. Citigroup (NYSE:C), Bank of America (NYSE:BAC) and Goldman Sachs (NYSE:GS) all beat the S&P 500 average gain of 11% (though that last one is having a rough go after earnings). Most are still trading at price to earnings multiples at single digits or in the low teens, even after beating analyst estimates. Earnings as ExpectedGood news was expected. The big banks featured "whisper numbers" that were ahead of official estimates -- and those numbers were largely justified.Citigroup, which got hit hardest of all the big banks for the 2008 collapse, was expected to earn about $4.1 billion, $1.78 per share, although its "whisper number" is for earnings of $1.84. (It earned $1.87.) That was on $18.57 billion of revenue (a slight miss), meaning almost 22 cents on every dollar that came in hit the net income line. This is nice work if you can get it. * 7 Stocks That Can Outperform for Years Bank of America expected earnings of about $6.5 billion, 67 cents per share, on revenue of $23.29 billion. Again, they were hoping for 69 cents, and taking almost 28 cents of every dollar to the net income line. Final earnings of 68 cents put them right in the ballpark.For Goldman Sachs, analysts expected $5.05 per share, got $5.71, but the stock fell after revenue of $8.81 billion fell short of the estimated $8.97 billionThese are good times, evidenced by Bank of America raising its minimum wage for employees to $20 per hour. How much better might things be if regulations "holding them back" were loosened. The Trump Federal Reserve, and Republicans, all agree.Thus, the strategy last week was to play the victim before Congress. The harsher Democratic attacks on their past action, the more loudly they insisted they learned lessons and won't do it again. Like the Runyonesque gangsters at the Mission prayer meeting in Guys and Dolls. "Sit down, you're rocking the boat." The Real Threat for Bank StocksOther than deregulation, the big threat to big banks lies in fintech, which can replace nearly all banking jobs with computers. Square (NYSE:SQ) is just one fintech going into small business lending, once the banks' primary means of support. The biggest mortgage lender is no longer Wells Fargo (NYSE:WFC) but Quicken Loans, a fintech company. Small banks are partnering with fintechs to go after deposits against big banks on a level playing field. Since the bull market's start 10 years ago, the gains at all the big banks have been dwarfed by those at Charles Schwab (NYSE:SCHW), an online broker.In most industries, like technology, big players buy up the challengers and get even bigger. But the banks, most notably Wells Fargo, are still having their growth constrained by regulators. In Goldman Sachs' recent deal with Apple (NASDAQ:AAPL) to handle credit cards, it's the tech company, not the bank, that's doing the heavy lifting. The Bottom LineBig banks are still where the money is. They're still the safest place to keep cash when a crisis hits, because if things get bad, they will be bailed out. They're still your best defensive play in an uncertain market.Banks hate that and, facing the technology future, they have reason to.Dana Blankenhorn is a financial and technology journalist. He is the author of a new mystery thriller, The Reluctant Detective Finds Her Family, available now at the Amazon Kindle store. Write him at email@example.com or follow him on Twitter at @danablankenhorn. As of this writing he owned shares in JPM, SCHW, and AAPL. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Internet Stocks to Watch * 7 AI Stocks to Watch with Strong Long-Term Narratives * 10 Dow Jones Stocks Holding the Blue Chip Index Back Compare Brokers The post After Bank Earnings, Is It Time to Buy? appeared first on InvestorPlace.