Another big bank, Citigroup (NYSE: C) announced better-than-expected Q2 results today even as the bank’s earnings declined by 39% year-over-year to $1.33 per share and surpassing analysts’ estimates of $1.31 per share.
The bank’s revenues fell 1% year-over-year to $19.4 billion but were still above Street estimates of $19.34 billion.
Citigroup’s bank CET1 ratio (the ratio of the bank’s capital to its assets) was 13.3% at the end of Q2 which was “100 basis points above its new regulatory requirement.” The bank’s services business saw its revenues rise by 15% year-over-year to $4.7 billion while the banking business continued to disappoint. Citi’s investment banking business has not rebounded as expected and banking revenues dropped by 44% year-over-year to $1.2 billion.
Analysts remain sidelined about Citigroup stock with a Hold consensus rating based on five Buys, 10 Holds, and one Sell.