Citizens Financial Group
Citizens Financial Group (CFG), which is the 12th largest retail bank in the US, was among the S&P 500’s top losers on February 26. Citizens Financial Group consolidated last week and started this week on a weaker note. Despite opening higher on Monday, Citizens Financial Group declined to two-week low price levels.
Regulatory investigation speculations
The market sentiment was dented on Monday amid speculations about a possible regulatory investigation into Citizens Financial Group’s dealings with Paul Manafort. Manafort is President Trump’s former campaign chairman. Recently, federal charges were filed against Manafort. The charges highlighted fraudulent loans with phony documents from an unnamed bank. The charges triggered a sell-off on Monday, which declined the stock price more than 4%.
On Monday, amid the stock falling, Citizen Financial Group’s management released a statement and said that it isn’t aware of any regulatory investigations. Management also added that it has strong internal controls and regulatory compliance. The company reaffirmed its strong outlook for 2018. On February 26, Citizens Financial Group declined 4.1% and closed the day at $44.54—the lowest daily close in two weeks. Citizens Financial Group is part of the S&P 500 Financials, which gained 1.5% on Monday.