Sectors & IndustriesFinancial Services
Best Financial Stocks to Buy Now (2025)
Top financial stocks in 2025 ranked by overall Due Diligence Score. See the best financial stocks to buy now, according to analyst forecasts for the financial services sector.

Sector: Financial Services

Overview Zen Rating Price Value Growth Financials

Momentum Sentiment Forecast Dividends Due Diligence

Ticker	Company	Market Cap	ROE	ROA	ROCE	ROIC	D/E	Current Ratio	Gross Margin	Profit Margin	Operating Margin
FSBW	FS BANCORP INC	$311.37M	12.20%	1.20%	N/A	1.30%	9.24	N/A	100.00%	25.20%	29.88%
MBIN	MERCHANTS BANCORP	$1.44B	14.50%	1.50%	N/A	2.10%	7.38	N/A	100.00%	43.90%	65.38%
CM	CANADIAN IMPERIAL BANK OF COMMERCE	$59.90B	12.50%	0.70%	N/A	0.60%	16.64	N/A	100.00%	27.30%	36.71%
PRK	PARK NATIONAL CORP	$2.59B	12.50%	1.50%	N/A	1.90%	6.88	N/A	100.00%	29.90%	37.39%
WFC	WELLS FARGO & COMPANY	$240.16B	10.50%	1.00%	N/A	1.10%	9.76	N/A	100.00%	23.20%	28.14%
FCBC	FIRST COMMUNITY BANKSHARES INC	$710.71M	10.00%	1.60%	N/A	2.40%	5.20	N/A	100.00%	31.80%	40.49%
VLY	VALLEY NATIONAL BANCORP	$4.99B	5.20%	0.60%	N/A	0.70%	7.41	N/A	100.00%	23.20%	28.39%
USB	US BANCORP	$64.69B	10.30%	0.90%	N/A	1.20%	10.57	N/A	100.00%	23.50%	31.39%
FRST	PRIMIS FINANCIAL CORP	$222.50M	-4.50%	-0.40%	N/A	-0.50%	9.45	N/A	100.00%	-16.80%	-21.13%
FNWD	FINWARD BANCORP	$133.24M	7.90%	0.60%	N/A	0.60%	12.61	N/A	100.00%	16.90%	18.79%
BOH	BANK OF HAWAII CORP	$2.72B	8.50%	0.60%	N/A	0.90%	13.01	N/A	100.00%	22.10%	32.11%
BKU	BANKUNITED INC	$2.53B	8.50%	0.70%	N/A	0.80%	11.52	N/A	100.00%	24.30%	33.01%
WNEB	WESTERN NEW ENGLAND BANCORP INC	$198.56M	4.90%	0.40%	N/A	0.60%	10.25	N/A	100.00%	15.90%	20.38%
WAL	WESTERN ALLIANCE BANCORPORATION	$8.04B	12.00%	1.00%	N/A	1.20%	10.96	N/A	100.00%	26.10%	32.98%
INBK	FIRST INTERNET BANCORP	$191.68M	6.70%	0.50%	N/A	0.50%	13.94	N/A	100.00%	21.50%	23.41%
GHI	GREYSTONE HOUSING IMPACT INVESTORS LP	$271.33M	6.60%	1.40%	N/A	3.20%	3.91	N/A	100.00%	23.40%	89.17%
CLBK	COLUMBIA FINANCIAL INC	$1.57B	-1.10%	-0.10%	N/A	-0.10%	8.70	N/A	100.00%	-7.00%	-9.62%
AROW	ARROW FINANCIAL CORP	$423.79M	7.60%	0.70%	N/A	0.90%	9.74	N/A	100.00%	22.10%	27.75%
IBKR	INTERACTIVE BROKERS GROUP INC	$19.78B	18.80%	0.50%	N/A	0.70%	31.20	N/A	91.40%	14.60%	20.12%
LDI	LOANDEPOT INC	$377.52M	-32.70%	-1.60%	N/A	0.50%	21.39	N/A	35.40%	-9.30%	4.67%
VBTX	VERITEX HOLDINGS INC	$1.31B	6.80%	0.80%	N/A	1.20%	6.98	N/A	100.00%	26.40%	34.27%
FHB	FIRST HAWAIIAN INC	$2.94B	8.90%	1.00%	N/A	1.30%	8.10	N/A	100.00%	29.00%	36.86%
STEL	STELLAR BANCORP INC	$1.33B	7.10%	1.10%	N/A	1.50%	5.48	N/A	100.00%	26.40%	33.20%
FFWM	FIRST FOUNDATION INC	$439.01M	-9.30%	-0.70%	N/A	-1.00%	11.01	N/A	100.00%	-96.20%	-143.00%
ZION	ZIONS BANCORPORATION NATIONAL ASSOCIATION	$6.89B	12.10%	0.80%	N/A	1.20%	13.50	N/A	100.00%	24.10%	33.09%
CME	CME GROUP INC	$101.06B	13.10%	2.60%	13.16%	4.40%	4.84	1.02	100.00%	57.00%	76.22%
CCB	COASTAL FINANCIAL CORP	$1.22B	13.00%	1.10%	N/A	1.60%	8.39	N/A	100.00%	14.90%	18.88%
PFG	PRINCIPAL FINANCIAL GROUP INC	$17.22B	9.80%	0.30%	N/A	0.40%	26.87	N/A	42.50%	6.90%	7.92%
UBS	UBS GROUP AG	$97.50B	5.90%	0.30%	N/A	0.40%	17.39	N/A	100.00%	10.50%	13.91%
BCBP	BCB BANCORP INC	$143.99M	5.20%	0.50%	N/A	0.70%	10.11	N/A	100.00%	20.10%	31.50%
PNC	PNC FINANCIAL SERVICES GROUP INC	$65.48B	10.40%	1.00%	N/A	1.30%	8.83	N/A	100.00%	26.00%	33.68%
HIVE	HIVE DIGITAL TECHNOLOGIES LTD	$250.96M	-2.10%	-1.80%	-0.25%	-0.30%	0.10	10.41	74.80%	-5.40%	-0.91%
ARCC	ARES CAPITAL CORP	$14.34B	10.10%	4.80%	N/A	5.30%	1.07	N/A	76.20%	43.50%	70.47%
BCML	BAYCOM CORP	$296.28M	7.40%	0.90%	N/A	1.40%	7.22	N/A	100.00%	24.50%	33.37%
SBSI	SOUTHSIDE BANCSHARES INC	$862.00M	10.90%	1.10%	N/A	1.20%	9.22	N/A	100.00%	34.70%	42.18%
CVBF	CVB FINANCIAL CORP	$2.66B	9.40%	1.30%	N/A	1.70%	5.93	N/A	100.00%	39.80%	53.73%
WTM	WHITE MOUNTAINS INSURANCE GROUP LTD	$4.58B	5.10%	2.30%	N/A	3.40%	1.07	N/A	60.10%	10.30%	14.46%
AMSF	AMERISAFE INC	$888.51M	16.70%	4.00%	N/A	5.20%	3.44	N/A	30.50%	15.80%	19.77%
AFBI	AFFINITY BANCSHARES INC	$116.25M	4.30%	0.60%	N/A	0.80%	5.71	N/A	100.00%	17.70%	22.71%
SFNC	SIMMONS FIRST NATIONAL CORP	$2.42B	4.40%	0.60%	N/A	0.60%	6.62	N/A	100.00%	20.90%	23.50%
WABC	WESTAMERICA BANCORPORATION	$1.33B	16.30%	2.20%	N/A	3.20%	5.83	N/A	100.00%	47.20%	64.43%
CBFV	CB FINANCIAL SERVICES INC	$150.87M	8.70%	0.80%	N/A	1.10%	9.05	N/A	100.00%	24.70%	30.09%
ILLR	TRILLER GROUP INC	$193.95M	N/A	-367.50%	-6,947.46%	-1,039.70%	-17.46	0.56	-1.40%	-1,314.20%	-1,223.91%
CHCO	CITY HOLDING CO	$1.72B	16.50%	1.80%	N/A	2.20%	7.84	N/A	100.00%	40.10%	49.53%
NTRS	NORTHERN TRUST CORP	$18.97B	17.00%	1.40%	N/A	2.40%	11.82	N/A	100.00%	25.30%	33.70%
PEBO	PEOPLES BANCORP INC	$1.06B	10.10%	1.20%	N/A	1.60%	7.13	N/A	100.00%	26.70%	34.12%
FLD	FOLD HOLDINGS INC	$219.91M	N/A	-92.60%	-62.50%	-62.60%	-2.85	1.29	4.40%	-274.00%	-273.01%
TCBK	TRICO BANCSHARES	$1.31B	9.60%	1.20%	N/A	1.60%	6.92	N/A	100.00%	29.50%	39.85%
BETR	BETTER HOME & FINANCE HOLDING CO	$223.00M	-1,301.20%	-23.20%	N/A	-16.60%	-16.70	N/A	-39.10%	-190.20%	-189.37%
RLI	RLI CORP	$6.85B	17.40%	5.00%	N/A	6.20%	2.57	N/A	55.40%	16.20%	20.32%
CLSK	CLEANSPARK INC	$2.47B	4.00%	3.50%	3.35%	5.10%	0.38	12.67	-30.40%	22.00%	29.40%
FFIN	FIRST FINANCIAL BANKSHARES INC	$4.95B	14.20%	1.70%	N/A	2.10%	7.70	N/A	100.00%	41.60%	50.63%
VBNK	VERSABANK	$366.16M	8.10%	0.80%	N/A	1.10%	8.54	N/A	100.00%	31.70%	44.14%
BOKF	BOK FINANCIAL CORP	$6.17B	10.10%	1.10%	N/A	1.30%	7.74	N/A	100.00%	26.80%	34.23%
RNST	RENASANT CORP	$2.14B	7.80%	1.10%	N/A	1.50%	5.73	N/A	100.00%	27.70%	34.67%
BANC	BANC OF CALIFORNIA INC	$2.18B	2.50%	0.30%	N/A	0.50%	8.58	N/A	100.00%	9.10%	17.56%
CMA	COMERICA INC	$7.42B	10.40%	0.90%	N/A	1.20%	10.01	N/A	100.00%	21.80%	29.25%
BITF	BITFARMS LTD	$488.92M	-11.00%	-9.80%	-17.04%	-24.40%	0.10	5.89	-16.80%	-28.00%	-55.77%
LU	LUFAX HOLDING LTD	$2.51B	-3.90%	-1.50%	N/A	-0.80%	1.42	N/A	100.00%	-13.30%	-7.07%
JEF	JEFFERIES FINANCIAL GROUP INC	$10.16B	6.40%	1.00%	N/A	1.10%	5.88	N/A	90.60%	9.40%	14.15%
MTB	M&T BANK CORP	$28.81B	8.60%	1.20%	N/A	1.70%	6.17	N/A	100.00%	28.30%	36.58%
INV	INNVENTURE INC	$186.54M	-99.70%	-31.20%	-9.25%	-148.00%	0.33	0.35	-271.20%	-7,439.60%	-6,337.87%
FHN	FIRST HORIZON CORP	$9.86B	8.30%	0.90%	N/A	1.20%	8.29	N/A	100.00%	24.30%	32.43%
GABC	GERMAN AMERICAN BANCORP INC	$1.45B	12.00%	1.30%	N/A	1.70%	7.81	N/A	100.00%	33.50%	41.56%
CFG	CITIZENS FINANCIAL GROUP INC	$16.76B	5.80%	0.60%	N/A	0.80%	7.85	N/A	100.00%	19.80%	25.10%
FINW	FINWISE BANCORP	$187.67M	7.60%	1.90%	N/A	3.00%	3.29	N/A	100.00%	18.20%	24.33%
CNCK	COINCHECK GROUP NV	$1.01B	-303.80%	-2.90%	-100.55%	-44.10%	129.34	1.01	3.90%	-2.70%	-2.39%
QD	QUDIAN INC	$458.83M	0.80%	0.70%	1.39%	2.50%	0.10	9.02	7.10%	42.40%	72.79%
FITB	FIFTH THIRD BANCORP	$24.69B	11.00%	1.00%	N/A	1.30%	9.84	N/A	100.00%	27.10%	36.68%
HDB	HDFC BANK LTD	$186.17B	12.60%	1.80%	N/A	1.90%	5.22	N/A	79.40%	33.60%	37.78%
PB	PROSPERITY BANCSHARES INC	$6.66B	6.60%	1.20%	N/A	1.60%	4.32	N/A	100.00%	40.50%	51.78%
BFIN	BANKFINANCIAL CORP	$158.13M	2.80%	0.30%	N/A	0.40%	8.16	N/A	100.00%	9.10%	10.94%
BUSE	FIRST BUSEY CORP	$1.24B	8.40%	0.90%	N/A	1.30%	7.71	N/A	100.00%	25.10%	33.79%
PNFP	PINNACLE FINANCIAL PARTNERS INC	$8.18B	7.30%	0.90%	N/A	1.20%	7.18	N/A	100.00%	28.50%	35.96%
FCF	FIRST COMMONWEALTH FINANCIAL CORP	$1.62B	10.40%	1.20%	N/A	1.50%	7.25	N/A	100.00%	31.80%	39.69%
NBHC	NATIONAL BANK HOLDINGS CORP	$1.39B	8.60%	1.10%	N/A	1.40%	6.60	N/A	100.00%	28.60%	34.92%
MBI	MBIA INC	$246.19M	N/A	-19.50%	N/A	-4.30%	-2.03	N/A	-338.10%	-1,064.30%	-566.67%
AMBC	AMBAC FINANCIAL GROUP INC	$378.26M	-44.00%	-6.60%	N/A	-5.30%	8.01	N/A	59.20%	-236.00%	-232.38%
RBB	RBB BANCORP	$280.85M	5.20%	0.70%	N/A	0.90%	6.86	N/A	100.00%	25.40%	34.03%
OCFC	OCEANFIRST FINANCIAL CORP	$1.01B	5.70%	0.70%	N/A	0.90%	6.89	N/A	100.00%	25.50%	34.61%
PNBK	PATRIOT NATIONAL BANCORP INC	$318.49M	-152.20%	-3.90%	N/A	-1.50%	236.35	N/A	100.00%	-249.50%	-100.71%
FIBK	FIRST INTERSTATE BANCSYSTEM INC	$2.83B	6.90%	0.80%	N/A	1.00%	7.82	N/A	100.00%	24.30%	31.60%
INDB	INDEPENDENT BANK CORP	$2.65B	6.50%	1.00%	N/A	1.30%	5.47	N/A	100.00%	29.40%	37.82%
APLD	APPLIED DIGITAL CORP	$1.19B	-77.80%	-19.70%	-15.31%	-14.60%	2.66	0.70	5.60%	-110.40%	-90.91%
LGHL	LION GROUP HOLDING LTD	$0.00	-132.50%	-50.30%	-312.05%	1,879.60%	2.77	0.67	186.70%	572.90%	547.18%
SFBS	SERVISFIRST BANCSHARES INC	$4.07B	14.70%	1.40%	N/A	1.70%	9.74	N/A	100.00%	49.40%	60.63%
BNS	BANK OF NOVA SCOTIA	$62.71B	7.60%	0.40%	N/A	0.70%	15.95	N/A	100.00%	18.00%	25.88%
FCNCA	FIRST CITIZENS BANCSHARES INC	$24.86B	12.20%	1.20%	N/A	1.50%	9.07	N/A	100.00%	29.10%	38.51%
GBCI	GLACIER BANCORP INC	$4.75B	6.00%	0.70%	N/A	0.80%	7.66	N/A	100.00%	23.60%	28.12%
CNOB	CONNECTONE BANCORP INC	$908.32M	5.50%	0.70%	N/A	1.00%	6.96	N/A	100.00%	27.10%	39.35%
LOB	LIVE OAK BANCSHARES INC	$1.24B	8.00%	0.60%	N/A	0.80%	11.95	N/A	100.00%	19.20%	22.13%
KKR	KKR & CO INC	$103.86B	13.50%	0.90%	N/A	1.90%	12.60	N/A	39.20%	14.10%	33.53%
LKFN	LAKELAND FINANCIAL CORP	$1.49B	13.20%	1.30%	N/A	1.60%	8.87	N/A	100.00%	38.30%	45.96%
DXF	EASON TECHNOLOGY LTD	$1.43B	-400.80%	-107.50%	928.48%	-733.70%	-6.54	0.61	100.00%	124.50%	124.48%
HUT	HUT 8 CORP	$1.43B	43.20%	28.20%	34.81%	39.10%	0.55	1.67	46.60%	204.40%	292.60%
NISN	NISUN INTERNATIONAL ENTERPRISE DEVELOPMENT GROUP CO LTD	$23.83M	2.90%	2.00%	4.87%	8.90%	0.29	4.23	9.10%	1.70%	3.03%
HOPE	HOPE BANCORP INC	$1.21B	4.70%	0.60%	N/A	0.80%	6.99	N/A	100.00%	21.80%	29.05%
RILY	B RILEY FINANCIAL INC	$90.88M	N/A	-21.00%	N/A	-11.30%	-5.19	N/A	60.60%	-83.70%	-59.41%
JRVR	JAMES RIVER GROUP HOLDINGS LTD	$218.64M	-22.80%	-2.40%	N/A	-1.40%	9.58	N/A	21.70%	-16.70%	-9.06%
ALTI	ALTI GLOBAL INC	$455.16M	-17.10%	-7.80%	N/A	-20.00%	0.43	N/A	17.90%	-49.80%	-49.30%

Financial Industries

Industry	Stocks	1d %	1w %	1m %	1y %	P/E ratio	P/B Ratio	ROE	ROA	ROCE	Upside/Downside	Consensus
Asset Management	102	+2.24%	+2.98%	-3.29%	-2.88%	37.21x	2.70x	+18.26%	+4.36%	+0.48%	+11.85%	Hold
Banks - Diversified	16	+1.96%	+3.41%	+1.95%	+22.28%	12.70x	1.24x	+11.80%	+0.88%	N/A	+31.05%	Buy
Banks - Regional	331	+2.38%	+3.52%	+0.73%	+18.45%	13.50x	1.13x	+11.88%	+1.30%	-0.00%	+21.38%	Buy
Capital Markets	68	+2.80%	+4.95%	+1.07%	+23.09%	19.97x	2.15x	+14.36%	+2.25%	-0.13%	+17.41%	Buy
Credit Services	55	+2.91%	+2.49%	-0.80%	+19.22%	29.98x	5.60x	+83.25%	+17.76%	+33.05%	+13.35%	Buy
Financial Conglomerates	3	-7.58%	-5.62%	-15.11%	-29.89%	7.46x	1.80x	+10.19%	-0.39%	-0.16%	+37.78%	Buy
Financial Data & Stock Exchanges	11	+1.90%	+4.10%	-0.52%	+14.99%	33.26x	5.11x	+9.91%	+6.83%	+15.86%	+14.21%	Buy
Insurance Brokers	18	+2.48%	+2.47%	-8.02%	+18.82%	-14.69x	5.78x	+22.96%	+5.71%	+13.37%	+8.93%	Buy
Insurance - Diversified	14	+2.01%	+1.94%	-1.95%	+22.05%	11.62x	1.76x	+15.05%	+7.04%	+0.04%	+12.86%	Buy
Insurance - Life	17	+2.75%	+1.63%	-6.66%	+20.59%	12.82x	1.51x	+14.80%	+1.62%	-0.00%	+16.47%	Buy
Insurance - Property & Casualty	37	+2.75%	+3.63%	-1.90%	+15.16%	16.82x	2.38x	+20.30%	+4.77%	-0.00%	+4.94%	Buy
Insurance - Reinsurance	9	+3.62%	+2.05%	-2.80%	+3.75%	12.20x	1.11x	+10.09%	+1.61%	N/A	+16.83%	Buy
Insurance - Specialty	20	+3.49%	+4.56%	-2.06%	+23.69%	30.44x	1.77x	+11.79%	+3.78%	+1.12%	+15.42%	Buy
Mortgage Finance	16	+0.42%	+2.89%	-5.39%	+5.71%	19.12x	0.36x	+0.96%	+0.61%	-0.00%	+26.97%	Buy

Financial Stocks FAQ

What are the best financial stocks to buy right now in May 2025?

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 financial service stocks to buy right now are:

1. Cpi Card Group (NASDAQ:PMTS)

Cpi Card Group (NASDAQ:PMTS) is the #1 top financial stock out of 717 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Cpi Card Group (NASDAQ:PMTS) is: Value: B, Growth: A, Momentum: C, Sentiment: A, Safety: B, Financials: B, and AI: B.

Cpi Card Group (NASDAQ:PMTS) has a Due Diligence Score of 13, which is -20 points lower than the financial sector average of 33. Although this number is below the industry average, our proven quant model rates PMTS as a "A".It passed 5 out of 38 due diligence checks and has weak fundamentals. Cpi Card Group has seen its stock return 46.53% over the past year, overperforming other financial stocks by 31 percentage points.

Cpi Card Group has an average 1 year price target of $37.25, an upside of 41.31% from Cpi Card Group's current stock price of $26.36.

Cpi Card Group stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 4 analysts covering Cpi Card 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.

2. Oppfi (NYSE:OPFI)

Oppfi (NYSE:OPFI) is the #2 top financial stock out of 717 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

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

Oppfi (NYSE:OPFI) has a Due Diligence Score of 49, which is 16 points higher than the financial sector average of 33. It passed 19 out of 38 due diligence checks and has strong fundamentals. Oppfi has seen its stock return 257.19% over the past year, overperforming other financial stocks by 242 percentage points.

Oppfi has an average 1 year price target of $10.00, an upside of 0.7% from Oppfi's current stock price of $9.93.

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

3. Finvolution Group (NYSE:FINV)

Finvolution Group (NYSE:FINV) is the #3 top financial stock out of 717 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

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

Finvolution Group (NYSE:FINV) has a Due Diligence Score of 27, which is -6 points lower than the financial sector average of 33. Although this number is below the industry average, our proven quant model rates FINV as a "A".It passed 10 out of 38 due diligence checks and has average fundamentals. Finvolution Group has seen its stock return 67% over the past year, overperforming other financial stocks by 52 percentage points.

Finvolution Group has an average 1 year price target of $11.40, an upside of 35.71% from Finvolution Group's current stock price of $8.40.

Finvolution Group stock has a consensus Buy recommendation according to Wall Street analysts. Of the 2 analysts covering Finvolution Group, 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.

What are the financial stocks with highest dividends?

Out of 432 financial stocks that have issued dividends in the past year, the 3 financial stocks with the highest dividend yields are:

1. Intercorp Financial Services (NYSE:IFS)

Intercorp Financial Services (NYSE:IFS) has an annual dividend yield of N/A, which is N/A percentage points lower than the financial sector average of 3.46%. Intercorp Financial Services's dividend payout is not stable, having dropped more than 10% four times in the last 10 years. Intercorp Financial Services's dividend has not shown consistent growth over the last 10 years.

Intercorp Financial Services's dividend payout ratio of 32.6% indicates that its dividend yield is sustainable for the long-term.

2. First Foundation (NYSE:FFWM)

First Foundation (NYSE:FFWM) has an annual dividend yield of N/A, which is N/A percentage points lower than the financial sector average of 3.46%. First Foundation's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. First Foundation's dividend has not shown consistent growth over the last 10 years.

First Foundation's dividend payout ratio of -0.7% indicates that its dividend yield might not be sustainable for the long-term.

3. Banco Santander Chile (NYSE:BSAC)

Banco Santander Chile (NYSE:BSAC) has an annual dividend yield of N/A, which is N/A percentage points lower than the financial sector average of 3.46%. Banco Santander Chile's dividend payout is not stable, having dropped more than 10% four times in the last 10 years. Banco Santander Chile's dividend has not shown consistent growth over the last 10 years.

Banco Santander Chile's dividend payout ratio of 38.9% indicates that its dividend yield is sustainable for the long-term.

Why are financial stocks up?

Financial stocks were up 2.47% in the last day, and up 3.36% over the last week. Santech Holdings was the among the top gainers in the financial services sector, gaining 38.89% yesterday.

Shares of companies within the broader financial sector are trading higher amid overall market strength following April's jobs data and reports that China's Commerce Ministry is assessing possible trade talks with the US.

What are the most undervalued financial 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 financial stocks right now are:

1. Hamilton Insurance Group (NYSE:HG)

Hamilton Insurance Group (NYSE:HG) is the most undervalued financial stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Hamilton Insurance Group has a valuation score of 57, which is 17 points higher than the financial sector average of 40. It passed 4 out of 7 valuation due diligence checks.

Hamilton Insurance Group's stock has gained 32.19% in the past year. It has overperformed other stocks in the financial sector by 17 percentage points.

2. Everest Group (NYSE:EG)

Everest Group (NYSE:EG) is the second most undervalued financial stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Everest Group has a valuation score of 57, which is 17 points higher than the financial sector average of 40. It passed 4 out of 7 valuation due diligence checks.

Everest Group's stock has dropped -6.36% in the past year. It has underperformed other stocks in the financial sector by -21 percentage points.

3. Bread Financial Holdings (NYSE:BFH)

Bread Financial Holdings (NYSE:BFH) is the third most undervalued financial stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Bread Financial Holdings has a valuation score of 71, which is 31 points higher than the financial sector average of 40. It passed 5 out of 7 valuation due diligence checks.

Bread Financial Holdings's stock has gained 18.71% in the past year. It has overperformed other stocks in the financial sector by 4 percentage points.

Are financial stocks a good buy now?

39.51% of financial stocks rated by analysts are a buy right now. On average, analysts expect financial stocks to rise by 15.47% over the next year.

2.78% of financial stocks have a Zen Rating of A (Strong Buy), 8.02% of financial stocks are rated B (Buy), 69.07% are rated C (Hold), 16.04% are rated D (Sell), and 4.09% are rated F (Strong Sell).

What is the average p/e ratio of the financial services sector?

The average P/E ratio of the financial services sector is 18.94x.

WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

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.