Watch List Stock News: CIT Group Inc. (NYSE:CIT)

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CIT Group Inc. (NYSE:CIT)  performed 0.27% to trade value at $51.97 in recent trading session and its total traded volume was 704957 shares versus to an average volume of 786.91K. The company has market cap of $5927.7 million. The stock has monthly performance of -4.57% while its yearly performance remained at 7.33%.

CIT Group Inc. (NYSE:CIT) declared that it completed the sale of NACCO, its European rail leasing business, for net proceeds of $1.1 billion based on current exchange rates. The sale was completed in two separate transactions and included approximately $1.2 billion in assets, which resulted in a modest pre-tax gain.

The operations, headquartered in Paris, and assets, including approximately 11,000 rail cars, were sold to German-based VTG Aktiengesellschaft (VTG). On Oct. 1, 2018, the operations and assets in Germany and Luxembourg, which included approximately 4,400 rail cars, were sold to a consortium of buyers consisting of WASCOSA AG and a subsidiary of Aves One AG.

A portion of the proceeds will be used to further optimize CIT’s funding profile, including redeeming the U.S. railcar securitization, terminating the total return swap facility, and repaying additional outstanding unsecured company debt. The balance of the proceeds will be used to return capital to shareholders as part of the previously announced $750 million return of common equity and for general corporate purposes. As a result of these collective actions, CIT expects to fund a greater portion of railcars in its CIT Bank, N.A. subsidiary, which offers a more efficient deposit-based funding structure.

“This marks another step forward on our strategic plan to simplify and strengthen the company as we focus on growing our core businesses,” said Chairwoman and Chief Executive Officer Ellen R. Alemany. “With the sale of NACCO completed, we have exited our last ongoing overseas operation, which allowed us to initiate a series of steps to further optimize our funding profile and focus on our core strengths in North America.”

The stock demonstrated move of 0.48% in previous 5 days graph. Its quarterly performance stands with the percentage of 0.64% while its year to date performance showed change of 5.57%.

The Company has an insider ownership of 0.30% and institutional ownership remained 8.01%. Its return on investment (ROI) for the last 12 month was 6.60% and its return on equity (ROE) of 5.00% while return on assets (ROA) is at 0.70%.

Cesar Melton is an author, journalist and CEO of mosttradedstocks.com, a leading stocks and markets website. He has more than 5 years of experience in institutional investment markets, including fixed income, equities, derivatives and real estate. He has a Bachelor in Business Administration with a major in Finance. He bought his first stocks in a private business at age 15 and made his first public stock trade at 23. Cesar has always been interested in the stock market and how it behaves.

As the dad of two children, he’s made saving money and investing for them a high priority. Over many years of investing, he has made some wise choices and he’s made many mistakes. But he’s learned from both. Mr. Cesar observations and experience give him the insight to stock market patterns and the investor behaviors that create them.

Email: Cesar@mosttradedstocks.com 

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