Categories
Featured Financial Stocks Investing Stock Market Today Stocks to Watch

Top Bank Stocks To Buy According To These Analysts

Bank stocks held up steadily as the market continues to fall.

Should Investors Invest In Bank Stocks Now?

Bank stocks have held up on a brutal day for the stock market. Since most bank stocks, if not all, have taken a beating this year, investors have plenty to fear. With the federal funds rate to remain near zero through 2022, the banks suffered another blow. But most concerns have appeared to have subsided. This is after the banking industry surprised the market with its excellent second-quarter reports. 

As Matt O’Connor from Deutsche Bank puts it: “At this point, a further meaningful lag seems unlikely and there’s an argument to be made that bank stocks should catch up a bit versus the broader market,” He added that there’s a “good chance” the bulk of banks’ loan loss reserve building is done, and noted capital markets and mortgage revenue are both strong, while fees from service charges, card income, and investment and brokerage continue to rebound.

The banking sector has lost a lot of ground with most bank indexes falling more than 20% since the beginning of the year. Still, some top bank stocks to watch have managed to shrug off the uncertainty from the pandemic. They even manage to maintain their stock prices within a narrow range of the price at the start of the year. Here is a list of top quality bank stocks that could be worth the risks.

Read More

Top Bank Stocks To Buy Right Now [Or Avoid]: JP Morgan Chase & Co. 

The largest bank in the U.S. JP Morgan Chase (JPM Stock Report) tops the list when it comes to the best bank stocks to buy. JPM stock jumped 47% in 2019. Shares of JPM buck the broad market sell-off on Thursday after analyst Matt O’Connor turned bullish on the banking giant, citing “attractive valuation” given an improved outlook for the sector.

The banking giant also pushed ahead with a new credit card that focuses on travel and dining as Capital One (COF Stock Report) trims credit limits amid the coronavirus pandemic woes. And that’s not because Capital One doesn’t want to expand their lending business.

But it’s because the bank is exposed to a higher risk of not knowing its current employment and income status. JPM will now obtain that information as consumers apply for that new card. It is trying to appeal to potential customers who are able to spend money traveling after the pandemic.

Top Bank Stocks To Buy Right Now [Or Avoid]: Bank Of America Corp.

If there’s another sector to buy amid the astronomical valuation of tech stocks, it could be the banking stocks. Like JP Morgan, Bank of America Corp. (BAC Stock Report), also received a bullish rating from the same analyst. Not to forget Warren Buffet just increased his stake in BAC to 11.3% recently. Buffett’s higher bet on BAC stock signals he’s actively hunting for bargains again.

And he is willing to add to his existing holdings at the right price. So if the legendary investor thinks that BAC is now at a bargain, should investors follow suit? I guess it’s reasonable to assume that we will see an increase in trading activity for BAC stocks.

We know it has a strong balance sheet and the ability to generate solid profits even during the peak of the global health crisis. There’s a great chance BAC stock could bounce back strongly in no time. Many experts believe that BAC stock is trading at a huge discount considering the fact that the net payout yield is still a strong 12.5%. With all this in mind, would BAC stock be attractive enough for you to include in your portfolio?

[Read More] Best Biotech Stocks To Watch After World Health Organization Recommends Steroids As COVID-19 Treatment

Top Bank Stocks To Buy Right Now [Or Avoid]: Banco Bradesco SA

One of the most active bank stocks on Thursday, Banco Bradesco SA (BBD Stock Report) is one of the best bank stocks to trade this week. While it is not as famous as Goldman Sachs (GS Stock Report) or Morgan Stanley (MS Stock Report), it is definitely a leader in its own market. Banco Bradesco is Brazil’s fourth-largest bank, with about 15% of deposits. It is the largest insurance provider in Brazil, with roughly 25% market share. The bank provides services through a network of more than 4,600 branches, the largest footprint of all privately controlled banks in Brazil.

As some US banks continue to reduce their operations in Brazil, Banco Bradesco continues to increase its market share there. BBD stock is trading higher on Thursday along with shares of several Brazilian companies.

This came after the Brazilian government announced the extension of emergency aid. With the Brazilian government as their shareholders, many analysts have revised their ratings to “Stable” for BBD stock. With so much growth ahead in the post-pandemic world, would you invest in BBD stock today?

By Joe Samuel

Joe Samuel is a dedicated stock market researcher and financial contributor. His love for the stock market started at a young age learning from his grandfather. Joe earned a bachelor of science degree in corporate finance and business management. After finishing college, he went the route of an entrepreneur starting numerous businesses and eventually became a financial contributor to a number of outlets including Seeking Alpha, Invesitng.com, and actively contributes to FactSet. At StockMarket.com, Joe looks for emerging stories. One of his traits is identifying new trends before they become mainstream. Whether it’s a biopharmaceutical company debuting a novel treatment or the next technology start-up developing a new platform, Joe looks to be on the cutting edge of that trend.

After years of living in New York, he made the move to Miami, Florida where he’s become an active member of the finance community. Joe has worked with early-stage companies in marketing and consulting capacities, which has given him an opportunity to see what makes companies tick. His viewpoint is that while corporate news is vital to any investment, it’s what isn’t “right in front of you” that can make a good investment great. His approach to the markets is one that aims to deliver information that might not be well-known. But through deep research and diligence, Joe has written about and been able to uncover time-sensitive information when seconds matter in the stock market today.

Joe enjoys covering several stock market sectors. These include commodities, finance, biotechnology, and technology; specifically AI & machine learning. His no-nonsense approach to the market gives readers a cut and dry view of the news that matters most and topics beginning to emerge as new trends in the stock market. He was early to the table with calls on things like the last gold rush in 2019 and has been able to identify influential events and how they could impact certain industries.

During his free time, he enjoys spending time with his family and polishing up one new stock market trends. He’s also an avid car enthusiast with a passion for classic and muscle cars.

Subscribe
Notify of
0 Comments
Inline Feedbacks
View all comments