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US Equities · Finance research note

C — Citigroup

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Evidence and analysis

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2. Company Fundamentals

2.1 Competitiveness

Metric Value
Operating Margins 34.08%
Profit Margins 20.36%
Return on Equity 7.65%
Return on Assets 0.61%
Free Float 1.7B
Dividend Yield 1.66%
Short Int % Utilisation 0.04%

2.2 Growth

Metric Value
Revenue Growth 15.9%
EBITDA N/A (Ratio)
Enterprise Value 17.66B
EV/Revenue 0.22

Revenue growth of 15.9% indicates steady, moderate expansion.

2.3 Management

Role Metric
Consensus Rating N/A

2.4 Return

Metric Value
Expected Return (Ann.)* 58.89%
Risk / Std Dev (Ann.)* 29.03%
1-Year Price Return* 51.86%

Latest Market Data (as of 2026-08-14, US Eastern time):

Metric Value
Last Price $139.33
52-Week Range $90.68 – $147.96
Observation Count 251 trading days

The return and risk statistics use daily adjusted closes from the retrieved one-year series and annualise daily moments using 252 trading days. The last price is the latest regular-market price reported for the stated date. Source: Yahoo Finance market data.

DuPont Model Analysis

The DuPont model decomposes return on equity (ROE) into three operating and capital-structure drivers:

ROE = Net Margin × Asset Turnover × Equity Multiplier

The comparison uses the latest two comparable annual periods available for the issuer, with reported statement amounts shown in US$. Revenue and net income are income-statement flows; total assets and shareholders’ equity are year-end balance-sheet figures. This is a simplified year-end-balance DuPont comparison rather than an average-balance ROE calculation.

DuPont component Calculation FY2025 FY2024
Revenue Reported revenue $85.21B $80.67B
Net income Reported net income $13.02B $11.46B
Total assets Year-end reported balance $2,657.20B $2,352.95B
Shareholders’ equity Year-end reported balance $212.29B $208.60B
Net margin Net income ÷ revenue 15.28% 14.20%
Asset turnover Revenue ÷ total assets 0.0321x 0.0343x
Equity multiplier Total assets ÷ shareholders’ equity 12.5168x 11.2798x
ROE Net margin × asset turnover × equity multiplier 6.13% 5.49%

Source: Yahoo Finance annual statements. Values are based on the two latest comparable annual periods returned by the source; fiscal period labels use the statement period-end year.

2.5 FCFF DCF Valuation

FCFF DCF exception: FCFF DCF is not the primary valuation method for financial institutions or REITs. This post deliberately does not publish a mechanical enterprise value or implied per-share value on an unsuitable basis.

Available valuation input Value
Last market price $137.41
Market capitalisation $230.50B
Revenue $85.21B
EBIT NM
Reported free cash flow -$74.15B
FCF yield -32.17%
Net debt / EBITDA NM

2.6 Investor-Style Research Screen

Educational screen Result
Buffett-inspired cash-quality checks not rated — FCFF DCF suitability or data-integrity condition not met
Lynch-inspired balance-and-growth checks not rated — FCFF DCF suitability or data-integrity condition not met

Data lineage: Yahoo Finance public market and reported-statement data; retrieval timestamp: 2026-08-18 17:25:28.457489 UTC; latest reported fiscal period: 2025-12-31 00:00:00. Financial institutions and REITs require sector-specific methods rather than a mechanical FCFF DCF. This is research and analysis only, not personalized financial advice.

2.7 Quantitative Factor Diagnostics

Model basis: Daily issuer USD excess returns are regressed in-sample using ordinary least squares on matching regional Fama–French factors. FF3 estimates market, size, and value loadings; FF5 adds profitability and investment. Coefficients are descriptive historical exposures, not predictions.

Estimation input Value
Regional factor set US
Factor-return currency USD
Issuer-return basis USD adjusted total return
Estimation window 2025-08-19 to 2026-06-30
Aligned daily observations 217
Minimum observation requirement 120
Currency conversion for HK listings not required

Fama–French Three-Factor and Five-Factor Results

Diagnostic FF3 FF5
Annualised alpha 9.61% 6.91%
Adjusted R² 0.45 0.45
Annualised residual volatility 21.24% 21.10%
Factor loading (t-statistic) FF3 FF5
Market excess return (Mkt-RF) 1.50 (11.97) 1.43 (10.00)
Size (SMB) 0.18 (1.04) 0.26 (1.45)
Value (HML) 0.74 (5.07) 0.91 (5.10)
Profitability (RMW) NM 0.00 (0.01)
Investment (CMA) NM -0.43 (-1.64)

Definitions: Mkt-RF is the market return less the risk-free rate; SMB is small minus big; HML is high minus low book-to-market; RMW is robust minus weak profitability; CMA is conservative minus aggressive investment. Factor returns are sourced from the Kenneth R. French Data Library; issuer adjusted-return history is sourced from Yahoo Finance. For Hong Kong listings, adjusted HKD prices are converted into USD with daily USD/HKD closes before return calculation to match the USD regional factor basis. This is an in-sample historical regression; coefficients and t-statistics do not establish causation or predict future returns. This is research and analysis only, not personalized financial advice.

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