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Last post 03-06-2008, 8:37 PM by SkiBum510. 11 replies.
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  •  09-02-2007, 11:12 AM 11600

    Citigroup

    Reply Quote

    Hi, I'm pretty new with investing my funds and am currently trying to put a portfolio together, and was wondering if anyone thinks Citigroup would be a good addition as of a longer term stock to hold.

    More I was looking at were stocks like MSFT, JNJ, BBX, FTO,  CSCO, LEND, THDS ( heard it may explode soon, only $50.00  for me), and URBN.

     

    Let me know what you think, thanks!


    Brian
  •  09-02-2007, 10:58 PM 11610 in reply to 11600

    Re: Citigroup

    Reply Quote

    Some of these seem good. Don't trade on tips. It's poor practice.

     

    C looks good. NIce dividends. It hasn't moved in years though. I'd rather see you in some stocks that are moving.

     

  •  11-07-2007, 5:03 PM 17648 in reply to 11610

    Re: Citigroup

    Reply Quote
    Is that the only reason to hold Citi (C)?   The dividend?
  •  11-07-2007, 10:10 PM 17668 in reply to 11600

    Re: Citigroup

    Reply Quote

    I own a very small position in C myself. It helps round out my portfolio and it's a value play bet that financials will turn (eventually). However, my position is smalllllll becuase I also bet that it would continue to drop (it has). I DCA to average down. I disagree with the other post that C has not moved in years. It most certainly has - down. That's why I picked up a few. Dividend plus value was my reason. I'm not confident that the dividend yield will stay constant at over $2 a share though. If it does, all the better. It is one of 3 dividend stocks I have for income in my portfolio. I use my dividends plus interest in my linked high-interest account to buy shares of other stocks such as FTO (in at $40ish), NFLX (in at $19ish), and NVT (in at $70ish) for growth.

    I do have two trading accounts, though. One for active trading and this one for long-term. I really have to focus and go against my experience of wanting to buy and sell quickly. But I picked my stocks, including C, and I'll try to stick to my plan.

    IMO C will climb back to $45-$50  in the next 36 or so months. That's rough math of 10% or so annual growth at todays closing price without calculating divs. I'm ok with that, too. C may go bankrupt and be in the history books like Enron, but my money is on the fact that this will prove to be a value play at this level. Looking at it right now, $45 + is selling territory for me. It'll be months before that happens, though.

    I do agree that there are better stocks to purchased if you have limited cash and shorter time frame expectations. For me, it was to add a value/income play in my otherwise heavily weighted growth portfolio. I have a set amount of money that I will add to my portfolio over the next 12 monts and I wanted some income to help add shares steadily over time.

    Some of my other stocks are MKL, WFMI, ERF (ETF). I had BQI at <$5 and stopped out at $5.56. +10% or so in a couple of weeks.

  •  11-08-2007, 4:36 AM 17675 in reply to 17668

    Re: Citigroup

    Reply Quote
    Yeah. I meant; and presumed you to read through, it has not moved up significantly in a long time. It's moved either sideways or down during that time, which is not a good indication of growth, until it turns at the bottom.

    Put a different way, it has nowhere to go but up once it  craters.

    twobrosflyin:

    ...I disagree with the other post that C has not moved in years. It most certainly has - down. That's why I picked up a few.

  •  02-25-2008, 12:46 PM 24102 in reply to 11600

    Re: Citigroup

    Reply Quote

    I like Citigroup because it does business all over the world.  Most of these businesses seem to be doing ok.  I think citi is moving more money to loss reserve then needed because they can do it now.

    DJ 

  •  02-25-2008, 3:28 PM 24108 in reply to 24102

    Re: Citigroup

    Reply Quote
    I wouldn't touch C yet.  There's a lot of talk it could go as low as $15 or $16.  See for example:
    http://www.247wallst.com/
  •  02-25-2008, 9:43 PM 24129 in reply to 24108

    Re: Citigroup

    Reply Quote
    I picked up another 30 + shares last week.  I now have a total of 100; but I still like the dividend, even though it was cut in half.  I also plan on holding on to this long term, even though I can't seem to disclipline myself to go long on anything.
  •  03-06-2008, 12:15 PM 24682 in reply to 24129

    Re: Citigroup

    Reply Quote
    normjaso:
    I picked up another 30 + shares last week.  I now have a total of 100; but I still like the dividend, even though it was cut in half.  I also plan on holding on to this long term, even though I can't seem to disclipline myself to go long on anything.


    It sure looks to be heading that way bnor24. Another 3% down today, a new 52 week low, and closing in on the $20 mark now. I'm glad I got out late last year (at a loss already). I'm still holding my financials ETF (VFH) though, which is not thriving either...


  •  03-06-2008, 3:36 PM 24691 in reply to 17648

    Re: Citigroup

    Reply Quote
    Dividends are a good reason to hold any stock, especially in a bad and declining market.  I would avoid Citigroup or any stocks with mortgage exposure for at least several months.  The longer this crisis goes, the bigger the losses.  Q4 losses were even worse than Q3, not to mention things will only get harder this year for those companies.  Citi was a good company and probably will be again in a couple years.
  •  03-06-2008, 6:00 PM 24722 in reply to 24691

    Re: Citigroup

    Reply Quote
    Well the good news for Citi  (if you can call it that) is that the current decline is now their worst ever.  Yep, even worse than '90, '98, and '02!  As I pointed out in a different thread, there seems to be something seriously wrong with this company to be experiencing these massive declines every 5-8 years.  But hey, they came back from the last 3 major declines...  hopefully this is just a repeat episode.

    http://bespokeinvest.typepad.com/
  •  03-06-2008, 8:37 PM 24756 in reply to 11600

    Re: Citigroup

    Reply Quote
    Here's a interesting post for those thinking about Citigroup for it's dividend:

    Is Citigroup's Dividend Safe?

    I'm also glad I sold my shares of C earlier.
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