10 Best Holding Company Stocks To Buy Now

5. Citigroup Inc. (NYSE:C)

Number of Hedge Fund Holders: 85

Citigroup Inc. (NYSE:C) is one of the best holding company stocks to buy now. The investment banking giant is based in New York and engages in the provision of asset management services, risk management services, investment management services, mortgage loans, credit cards, and other banking commodities. Some of its subsidiaries include Citibank, Banamex, and Citicorp LLC, to name a few.

Citigroup Inc. (NYSE:C) has an on-ground presence in 90 countries, issues currencies in 144 countries, and has trading floors in 77 countries. Despite having such an extravagant network, the company is strongly inclined to expand. Not only did Citigroup Inc. (NYSE:C) launch commercial banking services in Japan, but it also collaborated with Emirates NBD, allowing corporate and retail clients in the Middle East, North Africa, and Turkiye to make USD payments anytime they want.

In the second quarter of 2024, the company logged $20.1 billion in revenue and $3.2 billion in net income, up from $19.4 billion in revenue and $2.9 billion in net income from Q2 2023. Of this, its investment banking segment showed promising results and increased revenue by 38%.

Overall, Citigroup Inc. (NYSE:C) is one of the most important names in the banking sector because of its expansive network and strong ecosystem. The company continues to enhance its position by initiating strategic partnerships with entities from across the globe.

Analysts are also bullish on C and their 12-month median price target of $71 points to a 16% upside from current levels. In Q2 2024, there were 85 hedge funds that held positions in the stock with total stakes amounting to $10.64 billion. As of June 30, Berkshire Hathaway was the largest shareholder with a position worth $3.51 billion.

Patient Capital Management stated the following regarding Citigroup Inc. (NYSE:C) in its first quarter 2024 investor letter:

“Citigroup Inc. (NYSE:C) gained 24.1% in the quarter continuing its uptrend from 4Q. The company is on a multi-year journey to reorganize the business and reach return on tangible common equity of 11-12% by 2026 (and higher further out). Citigroup is finally taking the hard actions necessary, cutting unprofitable departments, taking out middle management layers, and reducing overall headcount. As of early March, the company was 70% done with its business exits and had reduced management layers by 1/4th. We have high confidence Citi will hit its targets. In the meantime, the company is returning cash to shareholders, which could meaningfully increase if the Basel III capital proposal is changed.”