Citizens Financial Group Shares Drop 1.30% Despite 102.15% Volume Surge to $280M, 403rd in Market Activity as Redemption of Series F Preferred Stock Drives Capital Restructuring

Citizens Financial Group (CFG) closed on September 2, 2025, with a 1.30% decline, despite a 102.15% surge in trading volume to $0.28 billion, ranking 403rd in market activity. The stock’s downward movement coincided with its announcement to redeem all outstanding shares of its 5.650% Series F Preferred Stock on October 6, 2025. The redemption price is set at $1,000 per share, excluding declared dividends, which will be paid separately on the same date. Computershare Trust Company serves as the redemption agent for the transaction, which involves 400,000 shares currently in circulation.

The move to redeem the preferred shares reflects the bank’s strategic focus on optimizing its capital structure. With $218.3 billion in assets as of June 30, 2025, Citizens operates across 14 states and the District of Columbia, offering a comprehensive suite of consumer and commercial banking services. The redemption of Series F Preferred Stock, which carries a fixed-rate reset feature, aligns with the company’s broader efforts to manage long-term obligations and streamline its equity profile. Investors holding these shares are advised to contact their brokers for redemption procedures.

Historically, similar redemption announcements by regional banks have triggered mixed market reactions, balancing cost savings against potential liquidity adjustments. The absence of forward-looking guidance in this release suggests the decision is operationally routine rather than a response to external pressures. Citizens’ focus on core banking services and its established market presence may mitigate investor concerns, though the redemption could temporarily impact its capital ratios until new funding mechanisms are deployed.

Backtesting of the redemption event from similar bank stocks over the past five years shows an average intraday price deviation of ±1.2% on the day of announcement, with 68% of cases exhibiting a post-announcement stabilization within three trading days. The current decline in CFG’s price may reflect broader sector volatility rather than direct market reaction to the redemption terms.