Company Update (NYSE:C): Allied Irish, Citigroup settle litigation over rogue trader

[Reuters – UK Focus] – Citigroup Inc (NYSE: C – news) has settled long-running litigation in which Allied Irish Banks Plc accused it of helping rogue currency trader John Rusnak rack up a $691 million loss. District Judge Deborah Batts in Manhattan (Hamburg: 32U.HM – news) on Thursday ordered the dismissal of the 12-1/2-year-old case, in which government-controlled AIB sought $500 million of compensatory damages plus punitive damages. Citigroup also resolved related claims against Buffalo, New (KOSDAQ: 160550.KQ – news) York’s M&T Bank Corp, which in 2003 bought a majority of AIB’s Allfirst Bank in Baltimore, where Rusnak worked. Read more on this. Citigroup Inc. (C) , with a current market cap of $135.19B, opened at $45.42. Today, shares have traded between $44.56 and $45.81 per share and has traded between $44.56 and $60.95 over the past 12 months. C shares are currently priced at 8.31x this year’s forecasted earnings, which makes them relatively inexpensive compared to the industry’s 16.02x earnings multiple for the same period. And for income investors, the company pays shareholders $0.20 per share annually in dividends, yielding 0.43%. In a review of the consensus earnings estimate this quarter, 25 sell-side analysts are looking at $1.05 per share, which would be $0.99 better than the year-ago quarter and a $0.17 sequential decrease. What we find to be interesting is that the full-year EPS estimate of $5.44 is a $3.24 improvement when compared to the previous year’s annual results. The quarterly earnings estimate is based on a consensus revenue forecast of the current quarter of $17.87 Billion. If realized, that would be a 0.39% increase over the year-ago quarter. In terms of ratings, Portales Partners upgraded C from Underperform to Sector Perform (Jan 7, 2016). Previously, Morgan Stanley downgraded C from Overweight to Equal-Weight. Given all the information above, we should disclose to readers that the average price target is $63.63, which is 40.09% above than it opened this morning. See more in (NYSE:C) Similar Articles: Company Update: Citigroup Inc (NYSE:C) – Ex-Citi trader points finger at bosses for culture that allowed breaches Stock Update: Citigroup Inc (NYSE:C) – Former Citi trader tells court information-sharing was common practice Market Update (NYSE:C): Citigroup to pay $180 mln to settle charges of defrauding fund investors