NEW YORK ( TheStreet) -- JPMorgan Chase (JPM - Get Report) and Wells Fargo (WFC - Get Report) are both considered the healthiest among the U.S. banks. But which of these stocks will be the safer bet in 2012?
For now, it looks like JPMorgan is the analyst favorite, with 29 out of 32 analysts rating the stock a buy according to Reuters data. The other three analysts have a hold rating.
While the outlook for Wells is also bullish, some are less optimistic about the stock given its relatively rich valuation versus the sector. Wells trades at 157% its tangible book value per share, compared to 102% in the case of JPMorgan. Several large-cap bank stocks including Bank of America (BAC) and Citigroup (C) trade at deep discounts to book value.
25 out of 34 analysts have a buy rating on Wells Fargo, reflecting overall bullishness. Eight analysts rate the stock a hold, while one analyst has a sell on the stock. Wells also has the backing of billionaire investor
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