Banking, finance, and taxes

How The Major Banks Are Under Fire From Brexit

Chris Lange

Published: June 24, 2016 10:53 am

Last Updated: January 13, 2020 6:25 am

In a somewhat unexpected move, the United Kingdom has left the European Union causing significant fallout within global markets. At the same time, investors are piling into gold to hedge themselves as the British Pound is tumbling.

Although the vote to exit the EU has been established, the true results will not be seen for some time. Some might even call this initial reaction within the markets a little impulsive, potentially a buying opportunity.

Most of the bookies in the UK were favoring the “Remain” outcome but now are paying through the nose on this failed bet. However, they aren’t the only ones paying as this ripple across the pond has turned into a wave on this side. In the U.S. markets perhaps the worst performing sector in Friday’s session is the Financial Sector.

24/7 Wall St. has picked out some of the biggest losers in the financial sector, and included how the stock was performing on Friday, as well as a consensus analyst price target and 52-week trading range.

JPMorgan Chase & Co. (NYSE: JPM) saw its shares last trading down about 5% at $60.80, with a consensus analyst price target of $70.78 and a 52-week trading range of $50.07 to $70.61.

Bank of America Corp. (NYSE: BAC) was not hit as hard as the other major banks but still had a sizeable drop. Shares were recently trading down about 4% at $13.40. The stock has a consensus analyst price target of $17.40 and a 52-week trading range of $10.99 to $18.48.

Citigroup Inc. (NYSE: C) took the worst hit of this group with shares trading down 7.5% at $41.14. The stock has a consensus analyst price target of $55.84 and a 52-week trading range of $34.52 to $60.95.

Wells Fargo & Co. (NYSE: WFC) is the most hedged out of the major banks with most of its exposure being within the U.S. Shares of Wells Fargo were recently trading down nearly 3% at $46.44. The stock has a consensus analyst price target of $54.80 and a 52-week trading range of $44.50 to $58.77.

The Goldman Sachs Group, Inc. (NYSE: GS) saw its shares last trading down about 5.5% at $144.39, with a consensus analyst price target of $185.17 and a 52-week trading range of $139.05 to $214.61.