Citigroup Has Seen Its Share Price Fall After Concerns Were Raised That It May Be Planning A Dividend Cut.
Analyst Meredith Whitney, of CIBC World Markets, downgraded Citigroup’s shares to Sector Underperformer, down from Sector Performer, on the basis that a dividend cut could be moving closer.
The move came because it is thought that Citigroup is looking to raise capital and as a result will cut its dividend payout.
The result of the change in status resulted in Citigroup’s shares dipping by 76 cents on Thursday, to finish at $40.60.