CIT Group Inc. (NYSE:CIT) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a note issued to investors on Wednesday. The brokerage currently has a $40.00 target price on the financial services provider’s stock. Zacks Investment Research’s price objective indicates a potential upside of 11.89% from the company’s current price.
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 research firms have also weighed in on CIT. BTIG Research reissued a “buy” rating and set a $52.00 price objective on shares of CIT Group in a research note on Wednesday, August 17th. TheStreet raised shares of CIT Group from a “hold” rating to a “buy” rating in a research note on Monday, August 8th. Nomura lifted their price objective on shares of CIT Group from $33.00 to $35.00 and gave the stock a “neutral” rating in a research note on Friday, July 29th. Barclays PLC reduced their price objective on shares of CIT Group from $37.00 to $35.00 and set an “equal weight” rating on the stock in a research note on Friday, July 29th. Finally, Credit Suisse Group AG reduced their price objective on shares of CIT Group from $42.00 to $34.55 and set a “neutral” rating on the stock in a research note on Monday, August 15th. One analyst has rated the stock with a sell rating, nine have assigned a hold rating and ten have given a buy rating to the company. CIT Group presently has a consensus rating of “Hold” and an average price target of $43.56.
CIT Group (NYSE:CIT) opened at 35.75 on Wednesday. CIT Group has a 52 week low of $25.19 and a 52 week high of $46.51. The stock’s 50 day moving average is $35.71 and its 200 day moving average is $33.65. The firm has a market cap of $7.22 billion, a price-to-earnings ratio of 7.14 and a beta of 1.52.
CIT Group (NYSE:CIT) last released its quarterly earnings data on Thursday, July 28th. The financial services provider reported $0.90 earnings per share for the quarter, topping the consensus estimate of $0.77 by $0.13. CIT Group had a net margin of 22.45% and a return on equity of 5.54%. The business had revenue of $645.10 million for the quarter, compared to analyst estimates of $620.33 million. During the same quarter last year, the firm earned $0.66 EPS. CIT Group’s quarterly revenue was up 58.7% compared to the same quarter last year. Equities research analysts expect that CIT Group will post $2.32 EPS for the current year.
Several institutional investors have recently added to or reduced their stakes in the stock. Geode Capital Management LLC increased its position in 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 valued at $37,100,000 after buying an additional 70,889 shares in the last quarter. Kingstown Capital Management L.P. bought a new position in CIT Group during the first quarter valued at approximately $62,060,000. Legal & General Group Plc increased its position in 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 valued at $25,720,000 after buying an additional 2,864 shares in the last quarter. Price Michael F increased its position in CIT Group by 11.8% in the first quarter. Price Michael F now owns 520,000 shares of the financial services provider’s stock valued at $16,136,000 after buying an additional 55,000 shares in the last quarter. Finally, Royal Bank of Canada increased its position in 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 valued at $21,136,000 after buying an additional 168,305 shares in the last quarter. Hedge funds and other institutional investors own 98.46% of the company’s stock.
About CIT Group
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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