Sectors & IndustriesFinancial ServicesBanks - Diversified
Best Diversified Bank Stocks to Buy Now (2026)
Top diversified bank stocks in 2026 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best diversified bank stocks to buy now. Learn More.

Industry: Banks - Diversified
C
Banks - Diversified is Zen Rated C and is the 61st ranked industry out of 145 stock market industries
Learn how the Zen Ratings work
Ticker
Company
Market Cap
Dividend Yield
Payout Ratio
Last Dividend
Annual Dividend
Dividend Percentile
Dividend Dropped Count (L10Y)
Ex-dividend Date
Div. Payment Date
NWG
NATWEST GROUP PLC
$62.21B5.61%46.00%$0.6211$0.8886%6
UBS
UBS GROUP AG
$174.44B3.64%N/A$1.0982$1.6572%2
C
CITIGROUP INC
$223.21B1.88%33.20%$0.6000$2.4043%02026-05-22
SMFG
SUMITOMO MITSUI FINANCIAL GROUP INC
$141.94BN/A96.80%$0.1503N/AN/A0
NTB
BANK OF NT BUTTERFIELD & SON LTD
$2.25B1.78%32.80%$0.5000$1.0041%02026-05-132026-05-27
MUFG
MITSUBISHI UFJ FINANCIAL GROUP INC
$221.93BN/A57.90%$0.1130N/AN/A0
BMO
BANK OF MONTREAL
$109.47B1.55%53.20%$1.2200$2.4036%3
BAC
BANK OF AMERICA CORP
$380.38B2.05%27.00%$0.2800$1.1046%02026-06-052026-06-26
CM
CANADIAN IMPERIAL BANK OF COMMERCE
$103.98B0.70%40.30%$0.7800$0.7816%2
HSBC
HSBC HOLDINGS PLC
$313.96B4.10%54.50%$2.2500$3.7577%9
BCS
BARCLAYS PLC
$83.27B1.94%19.20%$0.3070$0.4744%7
RY
ROYAL BANK OF CANADA
$254.40B0.66%41.30%$1.1984$1.2014%4
JPM
JPMORGAN CHASE & CO
$843.78B1.87%28.20%$1.5000$5.9043%0
EWBC
EAST WEST BANCORP INC
$17.23B2.24%27.10%$0.8000$2.8050%02026-05-18
BNS
BANK OF NOVA SCOTIA
$96.71B1.02%62.80%$0.8000$0.8025%3
TD
TORONTO DOMINION BANK
$183.48B0.73%36.50%$0.7892$0.7916%2
WFC
WELLS FARGO & COMPANY
$246.10B2.18%26.70%$0.4500$1.7549%12026-05-082026-06-01

Diversified Bank Stocks FAQ

What are the best diversified bank stocks to buy right now in May 2026?

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 diversified bank stocks to buy right now are:

1. Natwest Group (NYSE:NWG)


Natwest Group (NYSE:NWG) is the #1 top diversified bank stock out of 17 with a Zen Rating of C. Stocks with a rating of C have had an average return of +7.53% per year. Learn more.

The Component Grade breakdown for Natwest Group (NYSE:NWG) is: Value: B, Growth: C, Momentum: C, Sentiment: C, Safety: C, Financials: C, and AI: A.

Natwest Group (NYSE:NWG) has a Due Diligence Score of 44, which is 11 points higher than the diversified bank industry average of 33.

NWG passed 15 out of 38 due diligence checks and has strong fundamentals. Natwest Group has seen its stock return 21.38% over the past year, underperforming other diversified bank stocks by -25 percentage points.

2. Ubs Group Ag (NYSE:UBS)


Ubs Group Ag (NYSE:UBS) is the #2 top diversified bank stock out of 17 with a Zen Rating of C. Stocks with a rating of C have had an average return of +7.53% per year. Learn more.

The Component Grade breakdown for Ubs Group Ag (NYSE:UBS) is: Value: C, Growth: C, Momentum: C, Sentiment: B, Safety: C, Financials: C, and AI: B.

Ubs Group Ag (NYSE:UBS) has a Due Diligence Score of 23, which is -10 points lower than the diversified bank industry average of 33.

UBS passed 8 out of 38 due diligence checks and has weak fundamentals. Ubs Group Ag has seen its stock return 47.36% over the past year, overperforming other diversified bank stocks by 1 percentage points.

Ubs Group Ag has an average 1 year price target of $60.30, an upside of 33.38% from Ubs Group Ag's current stock price of $45.21.

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

3. Citigroup (NYSE:C)


Citigroup (NYSE:C) is the #3 top diversified bank stock out of 17 with a Zen Rating of C. Stocks with a rating of C have had an average return of +7.53% per year. Learn more.

The Component Grade breakdown for Citigroup (NYSE:C) is: Value: C, Growth: C, Momentum: C, Sentiment: B, Safety: C, Financials: C, and AI: C.

Citigroup (NYSE:C) has a Due Diligence Score of 40, which is 7 points higher than the diversified bank industry average of 33.

C passed 14 out of 38 due diligence checks and has average fundamentals. Citigroup has seen its stock return 83.68% over the past year, overperforming other diversified bank stocks by 37 percentage points.

Citigroup has an average 1 year price target of $143.27, an upside of 12.28% from Citigroup's current stock price of $127.60.

Citigroup stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 13 analysts covering Citigroup, 69.23% have issued a Strong Buy rating, 23.08% have issued a Buy, 7.69% 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 15 diversified bank stocks that have issued dividends in the past year, the 3 diversified bank stocks with the highest dividend yields are:

1. Natwest Group (NYSE:NWG)


Natwest Group (NYSE:NWG) has an annual dividend yield of 5.61%, which is 3 percentage points higher than the diversified bank industry average of 2.13%. Natwest Group's dividend payout is not stable, having dropped more than 10% six times in the last 10 years. Natwest Group's dividend has shown consistent growth over the last 10 years.

Natwest Group's dividend payout ratio of 46% indicates that its high dividend yield is sustainable for the long-term.

2. Hsbc Holdings (NYSE:HSBC)


Hsbc Holdings (NYSE:HSBC) has an annual dividend yield of 4.1%, which is 2 percentage points higher than the diversified bank industry average of 2.13%. Hsbc Holdings's dividend payout is not stable, having dropped more than 10% nine times in the last 10 years. Hsbc Holdings's dividend has shown consistent growth over the last 10 years.

Hsbc Holdings's dividend payout ratio of 54.5% indicates that its high dividend yield is sustainable for the long-term.

3. Ubs Group Ag (NYSE:UBS)


Ubs Group Ag (NYSE:UBS) has an annual dividend yield of 3.64%, which is 2 percentage points higher than the diversified bank industry average of 2.13%. Ubs Group Ag's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Ubs Group Ag's dividend has shown consistent growth over the last 10 years.

Why are diversified bank stocks up?

Diversified bank stocks were up 1.92% in the last day, and up 2.56% over the last week. Barclays was the among the top gainers in the banks - diversified industry, gaining 5.21% yesterday.

Shares of U.S.-listed foreign banks are trading higher after reports suggesting that the U.S. and Iran are negotiating an end to hostilities. Energy price declines and a softer inflation outlook may help ease the global interest rate outlook.

What are the most undervalued diversified bank stocks?

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 diversified bank stocks right now are:

1. Natwest Group (NYSE:NWG)


Natwest Group (NYSE:NWG) is the most undervalued diversified bank stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Natwest Group has a valuation score of 71, which is 37 points higher than the diversified bank industry average of 34. It passed 5 out of 7 valuation due diligence checks.

Natwest Group's stock has gained 21.38% in the past year. It has underperformed other stocks in the diversified bank industry by -25 percentage points.

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


Bank Of Nt Butterfield & Son (NYSE:NTB) is the second most undervalued diversified bank stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Bank Of Nt Butterfield & Son has a valuation score of 29, which is -5 points higher than the diversified bank industry average of 34. It passed 2 out of 7 valuation due diligence checks. Although this number is below the industry average, our proven quant model rates NTB a Valuation Rating of "B".

Bank Of Nt Butterfield & Son's stock has gained 37.71% in the past year. It has underperformed other stocks in the diversified bank industry by -9 percentage points.

3. Barclays (NYSE:BCS)


Barclays (NYSE:BCS) is the third most undervalued diversified bank stock based on its Valuation Rating of C. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Barclays has a valuation score of 71, which is 37 points higher than the diversified bank industry average of 34. It passed 5 out of 7 valuation due diligence checks.

Barclays's stock has gained 49.1% in the past year. It has overperformed other stocks in the diversified bank industry by 2 percentage points.

Are diversified bank stocks a good buy now?

44.44% of diversified bank stocks rated by analysts are a strong buy right now. On average, analysts expect diversified bank stocks to rise by 16.61% over the next year.

0% of diversified bank stocks have a Zen Rating of A (Strong Buy), 0% of diversified bank stocks are rated B (Buy), 94.12% are rated C (Hold), 5.88% are rated D (Sell), and 0% are rated F (Strong Sell).

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

The average P/E ratio of the banks - diversified industry is 15.74x.
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