Citi price target lowered to $41 from $45 at Morgan Stanley

Morgan Stanley analyst Betsy Graseck lowered the firm’s price target on Citi to $41 from $45 and keeps an Underweight rating on the shares. In her Q4 preview for the large-cap banks, Graseck said she expects above-consensus expense guidance to likely weigh on bank stocks and she forecasts a "provision-led consensus miss" for the banks as a group as they bake a higher probability of a tougher economy into reserves. For Citi, she is lowering her Q4 EPS forecast 19% to $1.14 on higher expenses and higher provisions and lowering her 2023 EPS view by 11% on higher expenses.