(VIANEWS) – The NYSE opens in less than five hours and Credit Suisse Group‘s pre-market value is already 7.29% down.
The last session, NYSE finished with Credit Suisse Group (CS) dropping 1.73% to $3.98. NYSE fell 0.28% to $13,541.76, after five consecutive sessions in a row of losses, on what was a somewhat down trend trading session.
Why is Credit Suisse Group Stock Going Down?
The recent weak operating performance and reputation of Credit Suisse have hurt the company’s share price, but the firm is now in the process of restructuring its business. The bank plans to reduce its exposure to investment banking and lower its overall risk profile. However, most of its problems are already priced in, so investors may want to wait for a new strategic presentation before they get too excited about the stock.
The company has many issues to deal with, ranging from weak fundamentals to a depressed valuation of 0.23x book value. Moreover, it’s likely that the bank will carry out a capital increase in the near future, which will decrease the book value per share. Investors should not be fooled by the low valuation; it’s crucial to consider the multiple adjusted for a possible capital increase.
Another issue that has weighed on the company’s share price is the recent scandals. Credit Suisse’s share price has dropped by nearly 11% in one week, underperforming the S&P 500 index. In addition, a Reuters report suggested that the firm is trying to raise fresh capital, as well as considering exiting the U.S. market. Credit Suisse, however, denied this report and reiterated that its business strategy is unchanged.
Credit Suisse Group’s market capitalization is at $10.9 billion. This puts it in the 90th percentile of the Banks industry. Using these metrics, investors can determine whether the company is an investment candidate. The underlying financial statements, SEC reports, and other factors are important in evaluating any stock.
About Credit Suisse Group
Credit Suisse Group AG and its affiliates offer a variety of financial services throughout Europe, Asia Pacific, Africa, Americas, Europe, Middle East, Africa, Asia, and the Americas. It offers wealth management solutions including discretionary asset management and investment advice; risk management solutions such as managed investments products; wealth planning and succession planning; and trust services. The company also offers financing and lending options, including real estate mortgage lending and consumer credit, ship financing, aviation financing for UHNWI, and aircraft financing. It also offers standard and structured hedge, lombard lending services, collateral trading, and global securities trading, execution, capital raising and other services. The company also offers banking services, including payments, accounts and debit cards and product bundles. It also provides equity and debt management products and advisory services. Cash equities and equity derivatives as well as prime service; fixed income products such as credit and structured credit. It also offers HOLT (a framework to assess the performance of around 20,000 businesses) and equity- and fixed income research. It serves institutional and private clients as well as ultra-high-net worth individuals and high-net wealth individuals. It had 311 branches and offices as of December 31, 2021.
Earnings Per Share
As for profitability, Credit Suisse Group has a trailing twelve months EPS of $0.49.
Credit Suisse Group has a trailing twelve months price to earnings ratio of 8.11. Meaning,
the purchaser of the share is investing $8.11 for every dollar of annual earnings.
Return on Equity (TTM)
Credit Suisse Group’s ROE is -7.81%.
Today’s last reported volume for Credit Suisse Group is 24612429, 79.41% above its average volume of 13718306.
Credit Suisse Group’s last close was $3.98, 63.95% under its 52-week high of $11.04.
Credit Suisse Group’s Revenue
Year-on-year quarterly revenue growth declined by 29.7%, now sitting on 18.08B for the twelve trailing months.
Credit Suisse Group’s last day, last week, and last month’s current intraday variation average was 1.76%, 4.35%, and 3.18%, respectively.
Credit Suisse Group’s highest amplitude of average volatility was 4.22% (day), 6.27% (last week), and 4.37% (last month), respectively.
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