Good Morning. This is the Investor Lookout with the daily digest.

Here’s what we got today:

• 📈 Citigroup Announces $20 Billion Share Repurchase Strategy

• 💰 Blackrock Posts Outstanding Q4 Results

• 🧑‍💼 Viral Rednote CEO Turns Out To Not Be the CEO

Citigroup Announces $20 Billion Share Repurchase Strategy

Citi refinances shareholders' holiday spending. Citigroup ($CITI) announced a $20 billion stock buyback plan. The surplus capital is now used by the bank to provide additional value to shareholders. The bank posted impressive Q4 results and now expects revenue to rise between $83.5 billion and $84.5 billion in 2025, stronger than analysts predicted. CEO Jane Fraser informed investors in 2022 that she would need five years to accomplish the overhaul of the company after Citi had the worst performance of the major US banks in the last 5 years. 

• Shares increased 6.49% to $78.27, the highest in the last 3 years. 

• Competitor JPMorgan ($JPM) had a return on tangible common equity of 22% in 2024, compared to Citi's 7%.

Blackrock Posts Outstanding Q4 Results

If you think your wallet’s looking good after the holidays, BlackRock ($BLK) just posted a 21% profit jump. The world’s largest asset manager earned $1.67 billion in net income for the fourth quarter, though that came in slightly below analysts’ $1.73 billion estimate. Adjusted earnings per share of $11.93 topped forecasts of $11.24, and revenue rose to $5.68 billion—more than the $5.57 billion expected by Wall Street. Shares rose 3% in premarket trading and have climbed 22% over the past year, roughly matching the broader market. They remain about 10% below their December record high.

• BlackRock is widely recognized for its iShares brand of exchange-traded funds, which hold a leading market share in the ETF industry.

• Founded in 1988, the firm manages a diverse range of assets, including equities, fixed income, and alternative investments.

Viral Rednote CEO Turns Out To Not Be the CEO

Everybody dreams to be a CEO one day. A Vancouver resident named Jerry posted a video welcoming new US users to RedNote, also known as Xiaohongshu, in light of a possible TikTok ban. Viewers mistook him for the platform’s CEO, causing his message to go viral. The rumor spread on TikTok and even appeared on a Fox 5 New York news segment, with reports suggesting that the “CEO of RedNote” had encouraged incoming users. Jerry clarified in a later video that he’s not the CEO—just a regular user sharing tips. The real chief executive is Charlwin Mao, who co-founded RedNote with Miranda Qu in Shanghai back in 2013.

• Jerry and his girlfriend Dani said they enjoyed seeing Chinese and American cultures merge on the platform.

• Jerry and Dani posted their original “welcome” video on January 13, gaining traction almost immediately.

#1

This buyback returns excess capital to shareholders and underscores the bank’s attempt to reshape its financial strategy.

#2

Strong quarterly results highlight consistent demand for asset management services and indicate a robust market for diversified financial products.

#3

The viral confusion illustrates the power of social media influence and underscores the importance of verifying information before making financial decisions.

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