CIT Group Inc. operates as the holding company for CIT Bank, N.A.
Flawless balance sheet and undervalued.
Share Price & News
How has CIT Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CIT has not had significant price volatility in the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: CIT underperformed the US Banks industry which returned 10.3% over the past year.
Return vs Market: CIT underperformed the US Market which returned 18% over the past year.
Price Volatility Vs. Market
How volatile is CIT Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall StIs It Time To Consider Buying CIT Group Inc. (NYSE:CIT)?
3 weeks ago | Simply Wall StThere's A Lot To Like About CIT Group Inc.'s (NYSE:CIT) Upcoming US$0.35 Dividend
3 weeks ago | Simply Wall StThe CIT Group (NYSE:CIT) Share Price Is Up 19% And Shareholders Are Holding On
Is CIT Group undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CIT ($47) is trading below our estimate of fair value ($67.88)
Significantly Below Fair Value: CIT is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: CIT is good value based on its PE Ratio (8.9x) compared to the Banks industry average (12.6x).
PE vs Market: CIT is good value based on its PE Ratio (8.9x) compared to the US market (18.2x).
Price to Earnings Growth Ratio
PEG Ratio: CIT is poor value based on its PEG Ratio (1.5x)
Price to Book Ratio
PB vs Industry: CIT is good value based on its PB Ratio (0.8x) compared to the US Banks industry average (1.2x).
How is CIT Group forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CIT's forecast earnings growth (6.1% per year) is above the savings rate (1.7%).
Earnings vs Market: CIT's earnings (6.1% per year) are forecast to grow slower than the US market (14.2% per year).
High Growth Earnings: CIT's earnings are forecast to grow, but not significantly.
Revenue vs Market: CIT's revenue (0.2% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: CIT's revenue (0.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CIT's Return on Equity is forecast to be low in 3 years time (9.5%).
How has CIT Group performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CIT has high quality earnings.
Growing Profit Margin: CIT's current net profit margins (22.9%) are higher than last year (19.8%).
Past Earnings Growth Analysis
Earnings Trend: CIT's earnings have declined by -20.7% per year over the past 5 years.
Accelerating Growth: CIT's earnings growth over the past year (12.6%) exceeds its 5-year average (-20.7% per year).
Earnings vs Industry: CIT earnings growth over the past year (12.6%) exceeded the Banks industry 12.1%.
Return on Equity
High ROE: CIT's Return on Equity (8.4%) is considered low.
Return on Assets
Return on Capital Employed
How is CIT Group's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Inventory Level: CIT has a low level of unsold assets or inventory.
Debt Coverage by Assets: CIT's debt is not covered by short term assets (assets are 0.5x debt).
Financial Institutions Analysis
Asset Level: CIT's level of assets compared to its equity is low.
Allowance for Bad Loans: CIT has a sufficient allowance for bad loans.
Low Risk Liabilities: CIT's liabilities are made up of primarily low risk sources of funding.
Loan Level: CIT has an acceptable proportion of non-loan assets held.
Low Risk Deposits: CIT's loans are broadly funded by customer deposits.
Level of Bad Loans: CIT has an appropriate level of bad loans (1.05%)
What is CIT Group's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: CIT's dividend (2.98%) is higher than the bottom 25% of dividend payers in the US market (1.45%).
High Dividend: CIT's dividend (2.98%) is low compared to the top 25% of dividend payers in the US market (3.73%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, CIT has been paying a dividend for less than 10 years.
Growing Dividend: CIT's dividend payments have increased, but the company has only paid a dividend for 6 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (26.5%), CIT's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: CIT's dividends in 3 years are forecast to be well covered by earnings (29.9% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Ellen Alemany (63yo)
Ms. Ellen R. Alemany has been the Chief Executive Officer of CIT Group Inc. since April 1, 2016, and has been its Chairwoman since May 10, 2016. Ms. Alemany also has been the Chief Executive Officer of CIT ...
CEO Compensation Analysis
Compensation vs Market: Ellen's total compensation ($USD8.96M) is above average for companies of similar size in the US market ($USD4.87M).
Compensation vs Earnings: Ellen's compensation has increased by more than 20% in the past year.
|Chairwoman & CEO||3.8yrs||US$8.96m||0.30% $13.8m|
|Executive VP & CFO||2.8yrs||US$3.51m||0.019% $866.2k|
|Executive VP & Head of Technology and Operations||3.7yrs||US$2.20m||0.033% $1.5m|
|President of Consumer Banking||3.3yrs||US$2.05m||0.019% $861.1k|
|Chief Technology Officer||1.3yrs||no data||no data|
|Senior VP & Head of Investor Relations||0yrs||no data||no data|
|Executive VP||0.9yrs||no data||no data|
|Chief Marketing & Communications Officer and Executive VP||3.2yrs||no data||0.020% $910.0k|
|Chief Human Resources Officer & Executive VP||3.5yrs||US$1.73m||0.019% $855.6k|
|Co-Leader of Real Estate Advisory Practice and Senior MD of Real Estate Advisory Practice||14.5yrs||no data||no data|
Experienced Management: CIT's management team is considered experienced (3.3 years average tenure).
|Chairwoman & CEO||3.8yrs||US$8.96m||0.30% $13.8m|
|Independent Director||3.8yrs||US$197.00k||0.0059% $273.2k|
|Independent Director||16.6yrs||US$205.00k||0.012% $541.4k|
|Independent Director||10.1yrs||US$202.50k||0.018% $811.4k|
|Independent Director||10.1yrs||US$197.50k||0.0071% $328.5k|
|Lead Director||11.8yrs||US$215.00k||0.012% $569.5k|
|Independent Director||10.2yrs||US$236.25k||0.014% $636.3k|
|Chairman of Direct Capital Corporation||0yrs||no data||no data|
|Independent Director||6yrs||US$197.50k||0.0063% $290.3k|
|Independent Director||4.5yrs||US$212.50k||0.026% $1.2m|
Experienced Board: CIT's board of directors are seasoned and experienced ( 10.1 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
CIT Group Inc.'s company bio, employee growth, exchange listings and data sources
- Name: CIT Group Inc.
- Ticker: CIT
- Exchange: NYSE
- Founded: 1908
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$4.607b
- Shares outstanding: 98.03m
- Website: https://www.cit.com
Number of Employees
- CIT Group Inc.
- 11 West 42nd Street
- New York
- New York
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|CIT||NYSE (New York Stock Exchange)||Yes||New Common Stock||US||USD||Dec 2009|
|QIT1||DB (Deutsche Boerse AG)||Yes||New Common Stock||DE||EUR||Dec 2009|
|CITU.P||OTCPK (Pink Sheets LLC)||5.625 PFD SER B||US||USD||Nov 2019|
CIT Group Inc. operates as the holding company for CIT Bank, N.A. that provides banking and related services to commercial and individual customers. The company operates through Commercial Banking and Consumer Banking segments. The Commercial Banking segment offers lending, leasing, and other financial and advisory services primarily to small and middle-market companies; factoring, receivables management products, and secured supply chain financing; equipment leasing and secured financing to railroads and non-rail companies; equipment financing to small businesses. The Consumer Banking segment provides deposits, including checking and savings accounts, money market, and individual retirement accounts; time deposits and certificates of deposit; and offers residential mortgage and small business administration loans, as well as fiduciary services. The company also offers leasing and advisory, and online banking services. It operates through a network of 60 branches located in southern California. CIT Group Inc. was founded in 1908 and is based in New York, New York.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/22 02:00|
|End of Day Share Price||2020/02/21 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.