Richard Bove, an analyst at Rochdale Securities, talks with Bloomberg's Lisa Murphy about Citigroup Inc.'s third-quarter results and the outlook for the bank, which is 12 percent-owned by U.S. taxpayers. Citi said said profit surged, beating analysts estimates as the company reduced loan-loss reserves by $1.99 billion. Net income was $2.17 billion or 7 cents a share.
Bove says that Citigroup’s stock is cheap on valuation terms: the market cap is around $130 billion and yet the company has $175 billion cash sitting on its balance sheet.
Bove sees Citi stock double from today’s level in a “couple of years”. In the next 12 months, he sees the stock go up 60%.
He does not see the Foreclosure Gate that has tripped the banking stocks for the past couple of days a big deal.
(Source: Bloomberg)
Bove says that Citigroup’s stock is cheap on valuation terms: the market cap is around $130 billion and yet the company has $175 billion cash sitting on its balance sheet.
Bove sees Citi stock double from today’s level in a “couple of years”. In the next 12 months, he sees the stock go up 60%.
He does not see the Foreclosure Gate that has tripped the banking stocks for the past couple of days a big deal.
