Citigroup Inc.C
▼ NegativeCapitalrelevance
Despite beating Q2 estimates, management's cautious outlook and warning of expense growth outpacing revenue growth drove the stock down.
Impact on stocks 1
Digital Finance & Tokenization
Citigroup Inc.Citigroup stock sank 7% after the bank reported second-quarter earnings that crushed estimates, as investors reacted to a tepid outlook. Revenue rose 14% year over year to $24.8 billion, beating the $23.7 billion consensus, while net income surged 45% to $5.8 billion, or $3.15 per share, well above the $2.73 estimate. Despite the strong results, management maintained its previous guidance and warned that expense growth could outpace revenue growth in some upcoming quarters as it pulls forward investments originally planned for 2027. CEO Jane Fraser emphasized the bank is playing the long game, and analysts remain largely bullish with a median price target of $156 per share, implying 18% upside from current levels.
Citigroup Inc.Despite beating Q2 estimates, management's cautious outlook and warning of expense growth outpacing revenue growth drove the stock down.