In a recent announcement, Citi has spotlighted 20 large-cap growth stocks, suggesting they could be promising investment opportunities in the event of a market pullback. This strategy, which has been in effect since early summer, encourages maintaining growth stocks and increasing purchases during market downturns.
Scott Chronert, an analyst at Citi, revealed this information earlier this week. He emphasized that the bank has been strategically favoring cyclical stocks - shares usually performing well when the economy is on an upward trend.
However, following a strong performance of these cyclical stocks in June and July, there has been a significant shift in strategy. Citi has also revised its S&P 500 target upwards to 4600. As a result, the bank is now advising to consider broader buying during pullbacks, not merely focusing on growth stocks. This strategic adjustment signifies the potential opportunities that may emerge from market volatility across various sectors.
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