Citi Stock Hits Highest Levels Since 2008: What Are The Factors At Play?

• Multiple brokerages, including JPMorgan, have issued bullish commentary on Citi.
• Last week, a financial regulatory authority lifted part of a long-standing enforcement action tied to the bank’s compliance failures.
• The stock appears set for its biggest monthly advance in more than five years.

Citigroup shares rose 2.4% on Wednesday, extending a relentless rally that has delivered gains in 21 of the past 23 sessions and has lifted the stock to its highest level since November 2008.

Citi's stock appears set for its biggest monthly advance in more than five years, after rising in six of the past seven months.

Here’s a look at some of the recent developments that have contributed to the rally.

Brokerages Are Bullish

Multiple brokerages have issued positive assessments about the stock over the past month. JPMorgan upgraded Citi to ‘Overweight’ from ‘Neutral’ while raising the price target to $107 from $124. The firm added that large-cap banks should benefit from a solid economy, strong markets, and a more favorable regulatory backdrop in 2026, helping offset uncertainty. 

JPMorgan expects Citi to outperform peers as its transformation advances, consent orders ease, and profitability improves with returns rising above peers.

Truist analyst John McDonald raised Citi’s price target to $123 from $112 and maintained a ‘Buy’ rating. The firm also raised its FY27 earnings per share (EPS) outlook to $12.30 from $12.00, reflecting Citi’s improving efficiency ratio and lower annual expenses.

Piper Sandler raised Citi’s price target to $120 from $110 and kept an ‘Overweight’ rating, adding that consumer and corporate customers remain resilient.

Clearing Regulatory Hurdles

Last week, the Office of the Comptroller of the Currency lifted part of a long-standing enforcement action tied to the bank’s compliance failures. The move eases restrictions that could have limited Citi’s ability to return capital while it fixes operational and risk management issues. The bank was first hit with a $400 million fine in 2020 for long-running operational failures, and regulators later imposed an additional $136 million penalty in 2024.

Citi’s Structural Changes

In November, Citi announced that CFO Mark Mason will step down in March 2026, with U.S. retail banking head Gonzalo Luchetti named as his successor.

As part of the reshuffle, Citigroup will integrate retail banking and Citigold into its Wealth division, while the U.S. consumer cards business will be spun off as a standalone unit.

How Did Stocktwits Users React?

Retail sentiment on Stocktwits turned ‘extremely bullish’ from ‘bullish’ a day earlier, amid ‘extremely high’ message volumes. Citi was among the top trending tickers on the platform.

One bullish user expects the stock to reach $150 next month.

However, one bearish user believes that the stock is overbought.

Year-to-date, Citi stock has gained around 73%, outperforming peers JPMorgan (+37%), Wells Fargo (36%), Goldman Sachs (+56%), and Bank of America (+28%).

Read also: Omeros Stock Garners High Retail Attention Ahead Of FDA Verdict For Life-Saving Drug

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