Thursday, May 30, 2013

Why Cracking the Citigroup Code Is So Hard

In the following video, Motley Fool financial analysts David Hanson and Matt Koppenheffer discuss Citigroup (NYSE: C  )  and what makes it such a difficult business for investors to understand.

David tells us why Citigroup's two entities, Citicorp and Citi Holdings, are wildly disparate in their performances, as well as why Citigroup's exposure to the foreign exchange market further complicates forming an investment thesis on this stock. Matt then tells us what type of investor might thrive looking at a complex business model like this one, and which types of investors might be better served elsewhere.

Citigroup's stock looks tantalizingly cheap. Yet the bank's balance sheet is still in need of more repair, and CEO Michael Corbat still needs to prove himself. Should investors be treading carefully, or jumping on an opportunity to buy? To help figure out whether Citigroup deserves a spot in your portfolio, I invite you to read our premium research report on the bank today. We'll fill you in on both reasons to buy and reasons to sell Citigroup, and what areas Citigroup investors need to watch going forward. Click here now for instant access to our best expert's take on Citigroup.

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