Exchange traded funds indexed to the U.S. financial sector lost ground Monday after Citigroup’s (NYSE: C) 1-for-10 reverse split although some Wall Street analysts are bullish on the stock.
Citi shares slipped nearly 2% at last check. The stock is a top holding in sector ETFs such as Financial Select Sector SPDR Fund (NYSEArca: XLF), which was fractionally lower.
Still, UBS says Citi shares are a buy after the reverse split. [Financial ETFs Prepare for Citigroup Reverse Split.]
Elsewhere, investment researcher Morningstar pegs the stock’s fair value at $64 a share adjusted for the reverse split.