This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

10 Bank Stocks With Up to 102% Upside

NEW YORK ( TheStreet) -- The banking sector has had a wild ride this year, and now that third-quarter results are in for most of the nation's largest players, TheStreet has identified a select list of actively traded names with significant upside, based on consensus price targets.

Of course, a consensus price target could be based on a relatively small number of buy ratings among analysts, so we have limited our selections to names with at least half the analysts rating the shares a buy.

This approach excludes some well-known banking names, including Bank of America (BAC), which closed at $6.72 Monday, and had 46% upside based on the mean 12-month price target of $9.83, among analysts polled by FactSet. Out of 23 analysts covering Bank of America, only nine rate the shares a buy.

We also limited our selection to bank stocks with average daily trading volume of over 50,000 shares. Data was provided by SNL Financial.

The KBW Bank Index (I:BKX) was down 25% year-to-date through Monday's close at 39.23. With hundreds of bank stocks trading below book value and profitable names trading at historically low levels to forward earnings estimates, bargains abound for patient investors confident about economic recovery.

FBR Capital Markets analyst Paul Miller said that the industry's third-quarter results have many banks "setting up well for year-end," and that "some of the dire scenarios discussed may have hit bank valuations harder than underlying fundamentals indicate." Miller added that "the banks were able to show decent loan growth in select asset classes, net interest income looks to be more resilient than expected, and credit has continued to improve," and that he was "incrementally more positive on bank stocks going into the end of the year."

Of course, even when we pare the list to only include bank stocks with at least half the analysts rating the shares a buy, we are including some risky names here. Read on for the details.

Here are TheStreet's 10 bank stocks with up to 102% upside:

1 of 11

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,279.74 +13.75 0.08%
S&P 500 2,010.40 -0.96 -0.05%
NASDAQ 4,579.7870 -13.6380 -0.30%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs