Citigroup, Bank of America, and GE all reported earnings this morning. They all performed well, though there are doubts over the long term prognosis for each.
First, an earnings briefing:
- Citigroup Inc. net income beat analysts’ estimates today, with profit dropping 38 per cent. The bank’s Q2 net income of this year was $2.73 billion, compared to $4.39 billion the same time last year.
- Bank of America also exceeded analysts expectation, with profits nearly unchanged in comparison to last year. Its Q2 net income fell to $3.12 billion from the $3.22 billion of a year ago.
- GE, with its GE Capital division, beat analyst estimates and posted double digit earnings growth of 16%.
The result has seen each stock move down in early trading, so obviously investors aren’t very impressed with the long term outlook.
- GE, down 3.87%
- Bank of America, down 6.37%
- Citigroup, down 3.61%
Just look at Bank of America, getting hammered in early trading: