Sectors & IndustriesFinancial ServicesBanks - Regional

Best Bank Stocks to Buy Now (2025)

Top bank stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best bank stocks to buy now. Learn More.

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best bank stocks to buy right now are:

Bankwell Financial Group (NASDAQ:BWFG) is the #1 top bank stock out of 328 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Bankwell Financial Group (NASDAQ:BWFG) is: Value: B, Growth: B, Momentum: B, Sentiment: C, Safety: C, Financials: C, and AI: C.

Bankwell Financial Group (NASDAQ:BWFG) has a Due Diligence Score of 57, which is 21 points higher than the bank industry average of 36.

BWFG passed 20 out of 38 due diligence checks and has strong fundamentals. Bankwell Financial Group has seen its stock return 42.56% over the past year, overperforming other bank stocks by 17 percentage points.

Bankwell Financial Group has an average 1 year price target of $42.00, an upside of 15.13% from Bankwell Financial Group's current stock price of $36.48.

Bankwell Financial Group stock has a consensus Buy recommendation according to Wall Street analysts. Of the 1 analyst covering Bankwell Financial Group, 0% have issued a Strong Buy rating, 100% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Intercorp Financial Services (NYSE:IFS) is the #2 top bank stock out of 328 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Intercorp Financial Services (NYSE:IFS) is: Value: C, Growth: C, Momentum: A, Sentiment: B, Safety: C, Financials: C, and AI: A.

Intercorp Financial Services (NYSE:IFS) has a Due Diligence Score of 31, which is -5 points lower than the bank industry average of 36. Although this number is below the industry average, our proven quant model rates IFS as a "B".

IFS passed 13 out of 38 due diligence checks and has average fundamentals. Intercorp Financial Services has seen its stock return 68.28% over the past year, overperforming other bank stocks by 42 percentage points.

California Bancorp (NASDAQ:BCAL) is the #3 top bank stock out of 328 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for California Bancorp (NASDAQ:BCAL) is: Value: C, Growth: B, Momentum: C, Sentiment: A, Safety: C, Financials: C, and AI: D.

California Bancorp (NASDAQ:BCAL) has a Due Diligence Score of 40, which is 4 points higher than the bank industry average of 36.

BCAL passed 13 out of 33 due diligence checks and has average fundamentals. California Bancorp has seen its stock return 18.98% over the past year, underperforming other bank stocks by -7 percentage points.

California Bancorp has an average 1 year price target of $20.00, an upside of 23.69% from California Bancorp's current stock price of $16.17.

California Bancorp stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 1 analyst covering California Bancorp, 100% have issued a Strong Buy rating, 0% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 262 bank stocks that have issued dividends in the past year, the 3 bank stocks with the highest dividend yields are:

Bancolombia Sa (NYSE:CIB) has an annual dividend yield of 11.44%, which is 9 percentage points higher than the bank industry average of 2.75%. Bancolombia Sa's dividend payout is not stable, having dropped more than 10% five times in the last 10 years. Bancolombia Sa's dividend has shown consistent growth over the last 10 years.

Bancolombia Sa's dividend payout ratio of 55.2% indicates that its high dividend yield is sustainable for the long-term.

Tfs Financial (NASDAQ:TFSL) has an annual dividend yield of 8.63%, which is 6 percentage points higher than the bank industry average of 2.75%. Tfs Financial's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Tfs Financial's dividend has shown consistent growth over the last 10 years.

Tfs Financial's dividend payout ratio of 403.6% indicates that its high dividend yield might not be sustainable for the long-term.

Affinity Bancshares (NASDAQ:AFBI) has an annual dividend yield of 8.15%, which is 5 percentage points higher than the bank industry average of 2.75%.

Affinity Bancshares's dividend payout ratio of 161.3% indicates that its high dividend yield might not be sustainable for the long-term.

Bank stocks were up 3.02% in the last day, and up 4.74% over the last week.

We couldn't find a catalyst for why bank stocks are up.

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued bank stocks right now are:

Newtekone (NASDAQ:NEWT) is the most undervalued bank stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Newtekone has a valuation score of 71, which is 24 points higher than the bank industry average of 47. It passed 5 out of 7 valuation due diligence checks.

Newtekone's stock has dropped -6.63% in the past year. It has underperformed other stocks in the bank industry by -33 percentage points.

Meridian (NASDAQ:MRBK) is the second most undervalued bank stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Meridian has a valuation score of 43, which is -4 points higher than the bank industry average of 47. It passed 3 out of 7 valuation due diligence checks. Although this number is below the industry average, our proven quant model rates MRBK a Valuation Rating of "A".

Meridian's stock has gained 31.15% in the past year. It has overperformed other stocks in the bank industry by 5 percentage points.

Northeast Community Bancorp (NASDAQ:NECB) is the third most undervalued bank stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Northeast Community Bancorp has a valuation score of 43, which is -4 points higher than the bank industry average of 47. It passed 3 out of 7 valuation due diligence checks. Although this number is below the industry average, our proven quant model rates NECB a Valuation Rating of "A".

Northeast Community Bancorp's stock has gained 33.89% in the past year. It has overperformed other stocks in the bank industry by 8 percentage points.

40.48% of bank stocks rated by analysts are a buy right now. On average, analysts expect bank stocks to rise by 10.12% over the next year.

0% of bank stocks have a Zen Rating of A (Strong Buy), 3.87% of bank stocks are rated B (Buy), 70.42% are rated C (Hold), 22.54% are rated D (Sell), and 3.17% are rated F (Strong Sell).