Mark Holder
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Mark Holder in Out Fox The $treet,

Citigroup: No Respect

The earnings results for the banks and the reaction sum up the market climate for the banks. Citigroup (C) beat Q2 estimates handily reporting $1.24 versus expectations of $1.10. The market though only focused on the reduced results from the prior year that has sent the stock down from highs around $60.

Citigroup trades at only 8.5x forward EPS estimates despite the extremely low interest rate environment. Based on the below chart, the lows appear set at $40. Investors now get to buy alongside the $8.6 billion stock buyback plan and enjoy the enhanced dividend.

Disclosure: Long C