Virtu Financial downgraded on slower retail activity at Citi

Citi analyst Christopher Allen downgraded Virtu Financial to Neutral from Buy with a price target of $22.50, down from $26. The analyst reduced estimates to reflect slower retail activity and lower spreads. Given his outlook for a "choppy" market in 2023, he does not expect Virtu will see a material pickup in retail activity at present. On-exchange market making should continue at healthy levels and Virtu continues to make progress on growth opportunities, but this will not be enough to offset lower retail activity, Allen tells investors in a research note.