From Yahoo Finance: 2025-05-04 11:18:00

US stocks surged on Friday, with the S&P 500, Dow Jones, and Nasdaq all posting gains. The S&P 500 rose nearly 1.5%, marking its longest winning streak since 2004. The Dow and Nasdaq also reported gains of 1.4% and 1.5% respectively. This rally was fueled by positive trade talk signals from China and a strong US jobs report.

China’s openness to trade talks and a better-than-expected US jobs report boosted investor confidence. The US added 177,000 nonfarm payrolls in April, surpassing economist expectations. The unemployment rate held steady at 4.2%, indicating labor market strength amid tariff concerns. Signs of easing trade tensions between the US and China further supported market optimism.

Citigroup Inc. (NYSE:C) is one of the most profitable cheap stocks to invest in, with a forward P/E of 9.38 and TTM net income of $12.15 billion. The company operates globally, serving individuals, corporations, institutions, and governments. Despite global market uncertainty, Citigroup remains confident in achieving its financial goals, focusing on revenue growth and expense management.

RBC Capital Markets lowered its price target on Citigroup Inc. (NYSE:C) to $78 but maintained an “Outperform” rating based on strong quarterly earnings. Citigroup aims for a return on tangible common equity of 10-11% by 2026, up from 9.1% in Q1 2025. The company’s performance in various segments indicates progress towards these goals, with a focus on steady growth and expense control.

Citigroup Inc. (NYSE:C) ranks 5th on the list of most profitable cheap stocks to buy now. While offering potential as an investment, other AI stocks may present greater returns in a shorter timeframe. Investors seeking promising AI stocks trading at less than 5 times earnings can explore alternatives for higher returns. Consider exploring options beyond C for optimal investment opportunities.

Read more: Is Citigroup Inc. (C) The Most Profitable Cheap Stock to Buy Now?