Everyone seems to be looking for good stocks to buy these days.
I am often asked about about CitiGroup / Citibank (C) and my response has changed.

In today’s market you should buy stock in companies that can SURVIVE, not just be profitable.
What better way to survive through these times than to have the government own 36%?
My concern for most stocks and companies is that they will simply disappear at some point in this turmoil.

Now I prefer stocks that are undervalued due to market conditions and have a chance to rebound.
See our stock pick of the week for the “sleeper” that will make a BIG move over the next 6 – 12 months.

See our stock pick of the month HERE

CITI continued…
Some say the stock has been diluted, but I really could care less. It is a bargain these days and it’s kind of like buying government backed t-bills in my opinion. The company will be around for any years even though it will never return to its “glory days” of the very high dollars.

This stock is a BUY and HOLD for about 2 years. I see the stock SHOOTING over $10 again when a public announcement is made about the government getting out, or a partnership announced with another bank. It will happen someday, but it will not come soon.

Do NOT put a huge amount of your portfolio in this stock. Buy a small amount and hold.

Be ready.

UPDATE: News Release

NEW YORK/MEXICO CITY, March 4 (Reuters) – The recent purchase of shares in Citigroup by its top executives in Mexico is a show of confidence in the troubled bank’s eventual recovery, a spokesman for the group’s Mexican unit said on Wednesday.

Citigroup Inc’s (C) Roberto Hernandez, chairman of its Mexican Banamex unit, bought 6 million shares of Citi and Manuel Medina-Mora, in charge of the group’s Latin American business, bought 1.5 million shares, according to an SEC filing.

Both executives have denied market speculation in recent weeks that they were planning to buy Citigroup’s Mexican bank Banamex.

“They (the share purchases) are a show of confidence in the company’s future and its return to profitability,” Banamex spokesman Paulo Carreno said in a statement to Reuters.

Mexico’s bank regulator said on Friday it is analyzing the legal implications of the U.S. government’s plan to boost its equity stake in Citigroup Inc.

Analysts say Citi might have to sell Banamex because of a Mexican law prohibiting foreign governments from owning Mexican banks.

Hernandez resigned from Citigroup’s board last month, stirring speculation that he might be preparing a bid. Hernandez also has a stake in a Mexican mutual fund that owns 14.6 million shares of Citigroup, according to the filing.

Hernandez bought his shares at $1.25 each, while Medina Mora paid $1.24, according to the filing.

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