Citizens Financial Group (CFG.N): 2Q26 Preview – Steady Realization of NIM Tailwinds; Raise TP to $78

Research evidence excerpt

Citizens Financial Group (CFG.N): 2Q26 Preview – Steady Realization of NIM Tailwinds; Raise TP to $78

Action |

22 Jun 2026 16:05:00 ET │ 15 pages

Citizens Financial Group (CFG.N)

2Q26 Preview – Steady Realization of NIM Tailwinds; Raise TP to $78

CITI’S TAKE

Conference updates broadly reaffirmed 2Q and full-year guidance, with

Buy sentiment moving slightly bearish heading into a late in the quarter

Price (18 Jun 26 16:00) US$67.08 industry peer conference, but continuing to screen as a consensus long

over the past month (Figure 3). Our 2Q estimates are broadly in-line with Target price US$78.00↑

cons, and while we don’t expect a breakout quarter, we do expect another from US$75.00

solid print supported by the continued realization of mechanical/time- Expected share price return 16.3%

based NIM tailwinds. We continue to see upside to 2026 cons PPNR with Expected dividend yield 3.0%

our estimates at/near the upper-end of mgmt’s full year guidance ranges Expected total return 19.2%

with our NII estimates moving higher after removing fed funds cuts from

Market Cap US$28,367M our base case rates scenario and driving our 4Q26 exit NIM to the high end

of mgmt’s 3.22-3.28% range. We raise our TP to $78 on a lower assumed

cost-of-equity given confidence in earnings outlook.

Benjamin GerlingerAC

Estimate Changes — Our 2026E EPS increases 5c to $5.30 (vs. FactSet consensus of +1-212-816-3538

$5.20), 2027E EPS increases 10c to $6.45 (vs. FactSet consensus of $6.41), and benjamin.gerlinger@citi.com

2028E EPS increases 30c to $7.35 (see Figure 1 for more detail on estimate changes).

Mikhail MrotchekCFG reports 2Q26 earnings on July 16, 2026.

+1-212-816-2345

misha.mrotchek@citi.com

Kaili Wang, CFA

+1-716-730-7408

kaili.wang@citi.com

EPS (US$) Q1 Q2 Q3 Q4 FY FC Cons VA Cons