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CIT Group Preferred Stock

: $525 Mil (As of Sep. 2021)
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Preferred stock is a special equity security that has properties of both equity and debt. CIT Group's preferred stock for the quarter that ended in Sep. 2021 was $525 Mil.

The market value of preferred stock needs to be added to the market value of common stocks in the calculation of Enterprise Value. CIT Group's Enterprise Value for the quarter that ended in Sep. 2021 was $147 Mil.

In the calculation of book value, the par value of preferred stocks needs to subtracted from total equity. CIT Group's Book Value per Share for the quarter that ended in Sep. 2021 was $56.97.

Dividends paid to preferred stocks need to be subtracted from net income in the calculation of Earnings per Share (Diluted). CIT Group's Earnings per Share (Diluted) for the three months ended in Sep. 2021 was $1.72.


CIT Group Preferred Stock Historical Data

The historical data trend for CIT Group's Preferred Stock can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

CIT Group Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Preferred Stock
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - 325.00 325.00 525.00 525.00

CIT Group Quarterly Data
Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21
Preferred Stock Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 525.00 525.00 525.00 525.00 525.00

CIT Group Preferred Stock Calculation

Preferred Stock is a special equity security that has properties of both equity and debt. It is generally considered a hybrid instrument. Preferred stock is senior to common stock, but is subordinate to bonds in terms of claim or rights to their share of the assets of the company.

Preferred stock has priority over common stock in the payment of dividends and any payments received when a company liquidates.

Preferred stock comes in many forms. It can be:


Convertible or Non-Convertible
Cumulative or Non-Cumulative
Voting or Non-Voting
Callable or Non-Callable
Maturity Date or No Maturity Date

A preferred stock without a maturity date is called a perpetual preferred stock. These are relatively rare. A good example of perpetual preferred stock is the many series of Public Storage (PSA) preferred shares that trade on the New York Stock Exchange.

Before investing in preferred stock, it is important to know which of the above groups the stock belongs to. Is it convertible or non-convertible? Are dividends cumulative or non-cumulative?

It is also critical that an investor knows what bonds the company has in front of the preferred stock. Bondholders get paid first. So the decision to buy a preferred stock can be similar to the decision to buy a bond. But, remember, the preferred stock of a company with bonds is junior to those bonds.

Unless a preferred stock is convertible, the upside in a preferred stock investment is more limited than in a common stock investment. If a company doubles its earnings, it is usually under no more obligation to double the dividends paid to preferred shareholders than it is to double the interest paid to its bankers and bondholders.So preferred stock is very different from common stock.


CIT Group  (NYSE:CIT) Preferred Stock Explanation

When a company needs capital but does not wish to issue debt, they may sell preferred stocks to investors.

For instance, during the financial crisis of 2008, Goldman Sachs (GS) issued a combination of preferred stock and common stock options for $5 billion of capital to Warren Buffett’s Berkshire Hathaway (BRK.A)(BRK.B). In this deal, Berkshire Hathaway paid $5 billion for 10% cumulative perpetual preferred stock and warrants to buy 43.5 million shares of Goldman Sachs at $115 a share. Goldman Sachs bought back the preferred in 2010. Guess how much money Warren Buffett made in this deal in two years? Read How Much Did Warren Buffett’s Berkshire Hathaway (BRK.B) Make on Its Goldman Sachs (GS) Preferred Stock?

1. The market value of Preferred Stocks needs to be added to the market value of common stocks in the calculation of enterprise value.

CIT Group's Enterprise Value for the quarter that ended in Sep. 2021 is calculated as

2. In the calculation of Book Value, the par value of Preferred Stocks needs to subtracted from total equity.

CIT Group's Book Value per Share for the quarter that ended in Sep. 2021 is calculated as

3. Dividends paid to Preferred Stocks need to be subtracted from net income in the calculation of earnings per share.

CIT Group's Earnings per Share (Diluted) (EPS) for the three months ended in Sep. 2021 is calculated as

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


CIT Group Preferred Stock Related Terms

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CIT Group Business Description

CIT Group logo
Industry
Financial Services » Banks NAICS : 522110 SIC : 6022
Traded in Other Exchanges
Address
11 West 42nd Street, New York, NY, USA, 10036
CIT Group Inc is a banking holding company and a financial holding company operating primarily in North America. It provides financing, leasing, and advisory services primarily to middle-market companies in a diverse group of industries. The company's banking subsidiary mostly operates in Southern California and offers both commercial and retail banking services. The company sources its commercial lending business through direct marketing to customers, vendors, and distributors, among other parties. The company generates revenue by earning interest on loans and investments, as well as commission, fees, and rental income on leased equipment and other financial services. The company also syndicates and sells finance receivables.
Executives
Alemany Ellen R director, officer: Chair & CEO ONE ADP BOULEVARD ROSELAND NJ 07068
Rosenfeld Gerald director C/O CIT GROUP INC. 1 CIT DRIVE, #3251-9 LIVINGSTON NJ 07039
Duffy James J officer: EVP & Chief HR Officer C/O CIT GROUP, 11 WEST 42ND ST. NEW YORK NY 10036
Solk Steve officer: President, Consumer Banking C/O CIT GROUP INC., ATTN GENERAL COUNSEL 1 CIT DRIVE LIVINGSTON NJ 07039
Fawcett John J. officer: EVP and Chief Financial Office C/O CIT GROUP INC. 1 CIT DRIVE LIVINGSTON NJ 07039
Sperling Edward K officer: EVP & Controller C/O CIT GROUP, 1 CIT DRIVE, #3251-9 LIVINGSTON NJ 07039
Menelly Denise M. officer: EVP, Head of Technology & Ops C/O CIT GROUP INC., 1 CIT DRIVE LIVINGSTON NJ 07039
Proia Gina M. officer: EVP & Head of Marketing C/O CIT GROUP INC., ATTN GENERAL COUNSEL 1 CIT DRIVE LIVINGSTON NJ 07039
Plummer Wahida officer: EVP & Chief Risk Officer C/O CIT GROUP INC. 1 CIT DRIVE, #3251-9 LIVINGSTON NJ 07039
Harney Marisa officer: EVP & Chief Credit Officer C/O CIT GROUP INC. 1 CIT DRIVE, #3251-9 LIVINGSTON NJ 07039
Harnisch David officer: Pres., Commercial Finance C/O CIT GROUP, 1 CIT DRIVE LIVINGSTON NJ 07039
Tran Khanh T director C/O CIT GROUP INC., 1 CIT DRIVE, #3521-9 LIVINGSTON NJ 07039
Freeman William M director C/O CIT GROUP INC. 1 CIT DRIVE, #3251-9 LIVINGSTON NJ 07039
Oates R. Brad director C/O CIT GROUP, 1 CIT DRIVE, #3251-9 LIVINGSTON NJ 07039
Frank Alan L director C/O CIT GROUP, 1 CIT DRIVE, #3251-9 LIVINGSTON NJ 07039

CIT Group Headlines

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