Citigroup Inc. (NYSE:C) Declines After It Agrees To Pay $25 Million To Settle A Lawsuit
Citigroup Inc. (NYSE:C) has decided that it will pay approximately $25 million to resolve a lawsuit by investors. Investors are claiming that they were given wrong information regarding the quality of mortgage backed securities they purchased prior to the U.S. housing market crash, as reported in court papers filed yesterday in federal court.
According to the 2008 lawsuit, Citigroup was blamed for giving wrong information related to lenders’ deteriorating mortgage underwriting as well as appraisal standards at the time of the mortgage boom and understated the danger of default.
The settlement, worth $25 million, shows approximately $13.25 per $1,000 in first phase value of the 2 trusts named in the lawsuit which will be equivalent to approximately $1.88 billion, said in court documents submitted by lead class counsel Robbins Geller of Rudman & Dowd.
Citigroup Inc (NYSE:C) total value after the recent close was $87.07 billion. The previous 12 month price to sales ratio was 1.34. The company showed 14.19% as a profit margin in the last twelve months and an operating margin at 18.25%. Return on equity was 5.77% for the last twelve months. Return on assets was 0.56%.
Taking a look at some competitors, the total value of JPMorgan Chase & Co (NYSE:JPM) in the stock market was $141.43 billion. The last twelve month price to sales ratio for the company was 1.63. It had a 19.12% as profit margin in the last twelve months and an operating margin at 26.26%. Return on assets was 0.79%
The total value of Shinhan Financial Group Co., Ltd. (ADR) (NYSE:SHG) after the latest trading session was $15.45 billion. The prior 52 week price to sales ratio was2.00.
Banco Bradesco SA (ADR) (NYSE:BBD) market capitalization after the most recent trading session was $63.49 billion. Price to sales ratio for the prior 52 weeks 2.88.