Contrarian defensive investor Steven Romick (Trades, Portfolio) slashed 2,027,020 shares of Citigroup Inc. (C, Financial) from his portfolio during the fourth quarter. The trade had a -1.03% impact on his portfolio. Romick now holds 8,308,010 shares.
Citigroup has a market cap of $158 billion, a price-earnings (P/E) ratio of 12.05, an enterprise value of $254.66 billion and a price-book (P/B) ratio of 0.77.
Citigroup is a financial services holding company whose businesses provide consumers, corporations, governments and institutions with a range of financial products and services.Â
According to GuruFocus, Citigroup has a 6 out of 10 financial strength rating with a cash-debt ratio of 0.68 and an equity-asset ratio of 0.13. The Piotroski F-Score of 4 indicates the company’s financial situation is typical for a stable company.
Citigroup has an 5 out of 10 profitability and growth rating with an operating margin of 30.74%, a net margin of 21.34%, a return on equity (ROE) of 6.16%, three-year revenue growth of -1.40% and three-year EBITDA growth of -0.70%.
Romick purchased his original stake in Citigroup during the fourth quarter of 2011 for an average price of $27.83 per share. Since then, the stock price has risen by an estimated 22%. The stock price has gained an estimated 6% since his reduction.
GuruFocus has detected one severe warning sign that investors must pay attention to.
- Citigroup’s revenue per share growth rate has been in decline over the previous three years. It is declining at an average rate of -1.40% per year.
The Peter Lynch chart below shows Citigroup is trading slightly below its intrinsic value.
Disclosure: Author does not own any shares of this company.
Start a free 7-day trial of Premium Membership to GuruFocus.
