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Let's Get 'Er Done: Becoming the World's Second Largest Bank

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Citi is no longer the world's largest bank in terms of market cap. When Asian markets closed yesterday the Industrial & Commercial Bank of China (ICBC) was $3 billion ahead of Citi's market cap of $251 billion.
The main reason for Citi's dethronement is ICBC's 15% share price surge this month, compared with Citi's relatively flat stock. Investor exuberance has propped the Chinese bank up despite that fact that state controlled ICBC generates less than a third of the income Citi does. Last year, ICBC posted net income of $24 billion last year compared to Citi's $90 billion. Investors value ICBC's stock at 28 times projected earnings per share, opposed to Citi's below market 11x P/E ratio. The global average for major banks is 16x P/E.
Will Citi regain its crown?
The Yeas (BusinessWeek) contend that Citi's M&A business is right up there these days with Goldman, Morgan Stanley and JPMorgan. Citi now commands 27% of global M&A business, in line with the white shoes on the Street.
The Nays (everyone else) maintain that the solidification in its M&A unit doesn't disguise the fact that Citi is a relatively bloated, poorly run (according to Jim Cramer) behemoth of an institution that dropped the ball on hedge funds, private equity and prop trading, three of the fastest growing sources of bank revenue. When it comes to enterprise market share, as calculated by the Competing for Customers and Capital blog, Citi has lost the vast majority of market share that other banks have gained in recent months.
Next stop, HSBC, in 3rd place with a $215 billion market cap.

ICBC tops Citigroup as largest bank
Citigroup Enterprise Marketing Expenses: The Middle Line [Competing for Customers and Capital]
How Citi Fixed Its M&A Business [BusinessWeek]