Top 5 Stock Picks of Mark Kleiman’s Factorial Partners

2. Citigroup Inc. (NYSE:C)

Factorial Partners’ Stake Value: $4,157,000

Percentage of Factorial Partners’ 13F portfolio: 3.37%

Number of Q2 Hedge Fund Holders: 86

Citigroup Inc. (NYSE:C), a diversified financial services holding company, offers a wide range of financial products and services to individuals, businesses, governments, and institutions in North America, Latin America, Asia, Europe, the Middle East, and Africa. As of the end of Q2, Factorial Partners owned 90,400 shares of Citigroup Inc. (NYSE:C) worth around $4.15 million, representing 3.37% of its total 13F holdings.

On July 18, Analyst Chris Kotowski at Oppenheimer raised the firm’s price target on Citigroup Inc. (NYSE:C) to $86 from $81 and maintained an ‘Outperform’ rating on the stock. The analyst noted that while Citigroup Inc.’s (NYSE:C) stock was up 13% on earnings day, it’s still trades at only at 62% of the firm’s $80 tangible book value, and this for a company with a clean balance sheet and non-accruals at 0.5% of loans. That, in his opinion, means that the book is “hard” and could be converted into cash and returned to shareholders over time, even if the returns remain subpar.

According to Insider Monkey’s data, 86 hedge funds were long Citigroup Inc. (NYSE:C) at the end of June 2022, down from 90 funds in the preceding quarter. Kahn Brothers is a leading stakeholder of the company, with roughly 1.11 million shares worth $51.2 billion.