Zacks Investment Research upgraded shares of CIT Group Inc. (NYSE:CIT) from a hold rating to a buy rating in a research note released on Wednesday. The firm currently has $40.00 price objective on the financial services provider’s stock.
According to Zacks, “Estimates have been going up ahead of CIT Group’s third-quarter 2016 earnings release. The company's access to low-cost debt and steady capital deployment activities will continue to impress shareholders. Also, the persistent streamlining initiatives will help the company focusing more on the U.S. operations, which in turn will help to improve profitability. In addition, the company has been aggressively restructuring its balance sheet which continues to aid net finance margin growth. However, deteriorating asset quality, due to persistent increase in provision for credit losses, along with mounting costs and stringent regulations remain matters of concern.”
Several other equities research analysts also recently issued reports on CIT. Barclays PLC cut their price target on CIT Group from $37.00 to $35.00 and set an equal weight rating for the company in a report on Friday, July 29th. Deutsche Bank AG reaffirmed a hold rating on shares of CIT Group in a report on Wednesday, June 15th. Nomura raised their price target on CIT Group from $33.00 to $35.00 and gave the company a neutral rating in a report on Friday, July 29th. BTIG Research reaffirmed a buy rating and set a $52.00 price target on shares of CIT Group in a report on Tuesday, July 19th. Finally, TheStreet raised CIT Group from a hold rating to a buy rating in a report on Monday, August 8th. One research analyst has rated the stock with a sell rating, nine have assigned a hold rating and ten have assigned a buy rating to the stock. The stock presently has a consensus rating of Hold and an average target price of $43.56.
CIT Group (NYSE:CIT) opened at 36.30 on Wednesday. The firm has a market cap of $7.33 billion, a P/E ratio of 7.25 and a beta of 1.52. CIT Group has a 12 month low of $25.19 and a 12 month high of $46.51. The company’s 50-day moving average is $35.77 and its 200 day moving average is $33.67.
CIT Group (NYSE:CIT) last announced its quarterly earnings results on Thursday, July 28th. The financial services provider reported $0.90 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.77 by $0.13. CIT Group had a return on equity of 5.54% and a net margin of 22.45%. The business earned $645.10 million during the quarter, compared to the consensus estimate of $620.33 million. During the same quarter last year, the firm posted $0.66 EPS. The company’s quarterly revenue was up 58.7% on a year-over-year basis. Equities research analysts expect that CIT Group will post $2.33 EPS for the current fiscal year.
A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Geode Capital Management LLC raised its stake in shares of CIT Group by 6.3% in the first quarter. Geode Capital Management LLC now owns 1,196,226 shares of the financial services provider’s stock worth $37,100,000 after buying an additional 70,889 shares during the last quarter. Kingstown Capital Management L.P. purchased a new stake in shares of CIT Group during the first quarter worth approximately $62,060,000. Legal & General Group Plc raised its stake in shares of CIT Group by 0.3% in the first quarter. Legal & General Group Plc now owns 828,832 shares of the financial services provider’s stock worth $25,720,000 after buying an additional 2,864 shares during the last quarter. Price Michael F raised its stake in shares of CIT Group by 11.8% in the first quarter. Price Michael F now owns 520,000 shares of the financial services provider’s stock worth $16,136,000 after buying an additional 55,000 shares during the last quarter. Finally, Royal Bank of Canada raised its stake in shares of CIT Group by 32.8% in the first quarter. Royal Bank of Canada now owns 681,112 shares of the financial services provider’s stock worth $21,136,000 after buying an additional 168,305 shares during the last quarter. Hedge funds and other institutional investors own 98.46% of the company’s stock.
CIT Group Company Profile
CIT Group Inc (CIT) is a bank holding company. The Company, together with its subsidiaries, provides financing, leasing and advisory services to middle market companies in a range of industries in North America, and equipment financing and leasing solutions to the transportation industry around the world.
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