15 Small Cap Financial Stocks Hedge Funds Are Buying

4. Citizens Financial Group, Inc. (NYSE:CFG)

Market Capitalization: $15.515 Billion

Number of Hedge Fund Holders: 43

Citizens Financial Group, Inc. (NYSE:CFG) is an American bank holding company that operates through two main business segments including Consumer Banking and Commercial Banking. While Consumer Banking serves individuals and small businesses, Commercial Banking deals with middle market and larger corporations.

On April 17, RBC Capital analyst Gerard Cassidy maintained a Buy rating on the stock with a price target of $44. During the fiscal first quarter of 2025, Citizens Financial Group, Inc. (NYSE:CFG) demonstrated its financial strength. The company grew its Net Interest Income by 3 basis points to reach 2.90%. Moreover, the core loan also grew by 1% during the same time. As a major strategic initiative, the company expanded into Florida, Southern California, and New Jersey, which resulted in the Private Bank segment reaching $8.7 billion in deposits and $5.2 billion in assets under management.

Looking ahead, management has reaffirmed its full-year EPS guidance. It expects volatility during the first half due to the macroeconomic environment but improved business activity in the later half on the bank of a favorable policy environment. Citizens Financial Group, Inc. (NYSE:CFG) is one of the small-cap financial stocks hedge funds are buying.