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Sectors & IndustriesFinancial ServicesBanks - Diversified
Best Diversified Bank Stocks to Buy Now (2023)
Top diversified bank stocks in 2023 ranked by overall Zen Score. See the best diversified bank stocks to buy now, according to analyst forecasts for the banks - diversified industry.

Industry: Banks - Diversified
Ticker
Company
Exchange
Industry
Zen Score
Market Cap
Price
1d %
EBITDA
P/E
D/E
EWBC
EAST WEST BANCORP INC
NASDAQ
Banks - Diversified
$7.77B$55.13-8.57%$1.57B6.91x9.71
NTB
BANK OF NT BUTTERFIELD & SON LTD
NYSE
Banks - Diversified
$1.41B$27.95-4.05%$257.88M6.47x15.54
NWG
NATWEST GROUP PLC
NYSE
Banks - Diversified
$31.90B$6.52-2.25%$6.56B8.01x18.73
BAC
BANK OF AMERICA CORP
NYSE
Banks - Diversified
$221.23B$27.64-3.32%$32.95B8.61x10.17
BMO
BANK OF MONTREAL
NYSE
Banks - Diversified
$60.78B$85.65-1.17%$11.94B7.26x14.29
HSBC
HSBC HOLDINGS PLC
NYSE
Banks - Diversified
$139.21B$34.301.09%$20.77B9.15x14.78
JPM
JPMORGAN CHASE & CO
NYSE
Banks - Diversified
$374.34B$127.18-2.58%$51.43B10.51x11.54
C
CITIGROUP INC
NYSE
Banks - Diversified
$84.96B$43.71-3.02%$22.75B6.21x11.01
WFC
WELLS FARGO & COMPANY
NYSE
Banks - Diversified
$141.13B$37.20-3.33%$22.10B11.74x9.45
BCS
BARCLAYS PLC
NYSE
Banks - Diversified
$27.22B$6.86-1.01%$9.69B4.51x21.15
BNS
BANK OF NOVA SCOTIA
NYSE
Banks - Diversified
$57.73B$48.44-0.29%$10.04B9.00x17.51
NU
NU HOLDINGS LTD
NYSE
Banks - Diversified
$20.24B$4.32-2.48%-$143.26M-93.91x4.47
INTR
INTER & CO INC
NASDAQ
Banks - Diversified
$606.72M$1.510.67%-$2.25M-302.00x5.61
RY
ROYAL BANK OF CANADA
NYSE
Banks - Diversified
$128.96B$93.26-1.49%$15.79B11.96x16.95
SMFG
SUMITOMO MITSUI FINANCIAL GROUP INC
NYSE
Banks - Diversified
$54.22B$7.89-1.13%$7.21B14.75x19.69
TD
TORONTO DOMINION BANK
NYSE
Banks - Diversified
$103.86B$56.79-0.73%$15.55B9.26x16.24
UBS
UBS GROUP AG
NYSE
Banks - Diversified
$71.90B$20.40-3.09%$12.51B8.11x18.41
CM
CANADIAN IMPERIAL BANK OF COMMERCE
NYSE
Banks - Diversified
$38.12B$41.81-0.59%$5.77B11.13x17.55
CS
CREDIT SUISSE GROUP AG
NYSE
Banks - Diversified
$3.61B$0.92-5.48%-$3.49B-0.33x10.77
MUFG
MITSUBISHI UFJ FINANCIAL GROUP INC
NYSE
Banks - Diversified
$84.21B$6.34-0.78%$1.81B-132.08x22.52

Diversified Bank Stocks FAQ

What are the best diversified bank stocks to buy right now in Mar 2023?

According to Zen Score, the 3 best diversified bank stocks to buy right now are:

1. East West Bancorp (NASDAQ:EWBC)


East West Bancorp (NASDAQ:EWBC) is the top diversified bank stock with a Zen Score of 55, which is 24 points higher than the diversified bank industry average of 31. It passed 20 out of 38 due diligence checks and has strong fundamentals. East West Bancorp has seen its stock lose -34.12% over the past year, underperforming other diversified bank stocks by -9 percentage points.

East West Bancorp has an average 1 year price target of $86.00, an upside of 55.99% from East West Bancorp's current stock price of $55.13.

East West Bancorp stock has a consensus Buy recommendation according to Wall Street analysts. Of the 4 analysts covering East West Bancorp, 50% have issued a Strong Buy rating, 0% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

2. Bank Of Nt Butterfield & Son (NYSE:NTB)


Bank Of Nt Butterfield & Son (NYSE:NTB) is the second best diversified bank stock with a Zen Score of 50, which is 19 points higher than the diversified bank industry average of 31. It passed 17 out of 38 due diligence checks and has strong fundamentals. Bank Of Nt Butterfield & Son has seen its stock lose -24.76% over the past year.

Bank Of Nt Butterfield & Son has an average 1 year price target of $41.50, an upside of 48.48% from Bank Of Nt Butterfield & Son's current stock price of $27.95.

Bank Of Nt Butterfield & Son stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 4 analysts covering Bank Of Nt Butterfield & Son, 75% have issued a Strong Buy rating, 25% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

3. Natwest Group (NYSE:NWG)


Natwest Group (NYSE:NWG) is the third best diversified bank stock with a Zen Score of 45, which is 14 points higher than the diversified bank industry average of 31. It passed 16 out of 38 due diligence checks and has strong fundamentals. Natwest Group has seen its stock return 2.27% over the past year, overperforming other diversified bank stocks by 27 percentage points.

Natwest Group stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 1 analyst covering Natwest Group, 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.

What are the diversified bank stocks with highest dividends?

Out of 16 diversified bank stocks that have issued dividends in the past year, the 3 diversified bank stocks with the highest dividend yields are:

1. Bank Of Nt Butterfield & Son (NYSE:NTB)


Bank Of Nt Butterfield & Son (NYSE:NTB) has an annual dividend yield of 7.87%, which is 3 percentage points higher than the diversified bank industry average of 4.69%. Bank Of Nt Butterfield & Son's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Bank Of Nt Butterfield & Son's dividend has shown consistent growth over the last 10 years.

Bank Of Nt Butterfield & Son's dividend payout ratio of 40.7% indicates that its high dividend yield is sustainable for the long-term.

2. Canadian Imperial Bank Of Commerce (NYSE:CM)


Canadian Imperial Bank Of Commerce (NYSE:CM) has an annual dividend yield of 7.55%, which is 3 percentage points higher than the diversified bank industry average of 4.69%. Canadian Imperial Bank Of Commerce's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Canadian Imperial Bank Of Commerce's dividend has not shown consistent growth over the last 10 years.

Canadian Imperial Bank Of Commerce's dividend payout ratio of 67% indicates that its high dividend yield is sustainable for the long-term.

3. Bank Of Nova Scotia (NYSE:BNS)


Bank Of Nova Scotia (NYSE:BNS) has an annual dividend yield of 6.41%, which is 2 percentage points higher than the diversified bank industry average of 4.69%. Bank Of Nova Scotia's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Bank Of Nova Scotia's dividend has shown consistent growth over the last 10 years.

Bank Of Nova Scotia's dividend payout ratio of 57.6% indicates that its high dividend yield is sustainable for the long-term.

Why are diversified bank stocks down?

Diversified bank stocks were down -2.31% in the last day, and down -0.99% over the last week. East West Bancorp was the among the top losers in the banks - diversified industry, dropping -8.57% yesterday.

Shares of banks and financial services companies are trading lower amid overall market volatility following the Fed's rate decision as well as continued banking uncertainty.

What are the most undervalued diversified bank stocks?

Based on WallStreetZen's Valuation Score, the 3 most undervalued diversified bank stocks right now are:

1. East West Bancorp (NASDAQ:EWBC)


East West Bancorp (NASDAQ:EWBC) is the most undervalued diversified bank stock based on WallStreetZen's Valuation Score. East West Bancorp has a valuation score of 71, which is 39 points higher than the diversified bank industry average of 32. It passed 5 out of 7 valuation due diligence checks.

East West Bancorp's stock has dropped -34.12% in the past year. It has underperformed other stocks in the diversified bank industry by -9 percentage points.

2. Sumitomo Mitsui Financial Group (NYSE:SMFG)


Sumitomo Mitsui Financial Group (NYSE:SMFG) is the second most undervalued diversified bank stock based on WallStreetZen's Valuation Score. Sumitomo Mitsui Financial Group has a valuation score of 57, which is 25 points higher than the diversified bank industry average of 32. It passed 4 out of 7 valuation due diligence checks.

Sumitomo Mitsui Financial Group's stock has gained 13.04% in the past year. It has overperformed other stocks in the diversified bank industry by 38 percentage points.

3. Hsbc Holdings (NYSE:HSBC)


Hsbc Holdings (NYSE:HSBC) is the third most undervalued diversified bank stock based on WallStreetZen's Valuation Score. Hsbc Holdings has a valuation score of 57, which is 25 points higher than the diversified bank industry average of 32. It passed 4 out of 7 valuation due diligence checks.

Hsbc Holdings's stock has gained 0.56% in the past year. It has overperformed other stocks in the diversified bank industry by 25 percentage points.

Are diversified bank stocks a good buy now?

40% of diversified bank stocks rated by analysts are a strong buy right now. On average, analysts expect diversified bank stocks to rise by 40.22% over the next year.

What is the average p/e ratio of the banks - diversified industry?

The average P/E ratio of the banks - diversified industry is 1.09x.
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Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.