First Trust Direct Indexing L.P. Increases Stake in Citizens Financial Group

On November 3rd, 2024, it was reported that First Trust Direct Indexing L.P. has increased its stake in Citizens Financial Group, Inc. (NYSE:CFG) by 20.7% during the third quarter of the year. According to its latest 13F filing with the Securities and Exchange Commission (SEC), the institutional investor now holds 15,010 shares of the bank's stock after acquiring an additional 2,579 shares in that period. The current value of First Trust Direct Indexing L.P.'s holdings in Citizens Financial Group is approximately $616,000.

Other hedge funds have also been active with Citizens Financial Group recently. For instance, Norden Group LLC made a new investment worth about $786,000 during the first quarter. Additionally, BNP Paribas Financial Markets increased its holdings by 2.8% during the same quarter and now has 510,183 shares valued at roughly $18.5 million after purchasing an extra 14,105 shares. Similarly, Janney Montgomery Scott LLC has added to its position by acquiring 2,003 shares, bringing its total to 127,285 shares worth $4.6 million. Fidelis Capital Partners LLC and Nordea Investment Management AB also made notable changes to their investments, with the latter increasing its stake by 15.3% and now holding 3,625,128 shares valued at about $130.7 million. Currently, approximately 94.90% of Citizens Financial Group's stock is held by hedge funds and other institutional investors.

Market Performance of CFG

As of Friday, shares of Citizens Financial Group (CFG) traded at $41.82, reflecting a market capitalization of $18.61 billion. The stock has a price-to-earnings (P/E) ratio of 16.46 and a price-to-earnings-growth (PEG) ratio of 1.63, with a beta value of 1.07. The company maintains a quick ratio of 0.86, a current ratio of 0.87, and a debt-to-equity ratio of 0.61. Citizens Financial Group's stock price has fluctuated between a low of $23.50 and a high of $44.39 in the past year. Its 50-day moving average stands at $41.52, while the 200-day moving average is at $38.63.

Recent Earnings Announcement

Citizens Financial Group recently reported its quarterly earnings on October 16th. The bank's earnings per share (EPS) for the quarter were $0.79, matching analysts' expectations. The bank recorded a revenue of $1.90 billion, which fell slightly short of the anticipated $1.94 billion. The company demonstrated a net margin of 10.37% and a return on equity of 5.73%. In comparison to the same quarter last year, revenue decreased by 5.6%, and the previous year's EPS was $0.85. Analysts project that Citizens Financial Group will post an EPS of 3.19 for the current fiscal year.

Dividend Announcement

Recently, Citizens Financial Group declared a quarterly dividend set to be paid on November 13th. Shareholders who were recorded by October 30th will receive a dividend of $0.42 per share, translating to an annualized dividend of $1.68 and a yield of 4.02%. The company's dividend payout ratio is at 66.14%.

Analyst Feedback

Equities research analysts have shared their insights on Citizens Financial Group's stock recently. Morgan Stanley upgraded its price target from $41.00 to $50.00, maintaining an “equal weight” rating. DA Davidson and Stephens also raised their price targets to between $42.00 and $48.00 while issuing positive ratings. Additionally, UBS Group increased its target from $42.00 to $46.00, classifying the stock as a “buy.” Meanwhile, Evercore ISI made a minor adjustment, reducing its price target from $47.00 to $46.00. According to MarketBeat.com, a total of nine analysts currently rate the stock as a hold, while eight have issued a buy recommendation. The consensus target price for Citizens Financial Group stands at approximately $43.80.

About Citizens Financial Group

Company Overview

Citizens Financial Group, Inc. operates as a bank holding company providing a range of retail and commercial banking products and services aimed at individuals, small businesses, middle-market companies, corporations, and institutions across the United States. The company operates through two primary segments: Consumer Banking and Commercial Banking.

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