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10 Bank Plays for the Manufacturing Recovery: KBW

KBW has "market perform" ratings on most of these stocks. Then again, these ratings are based on a 12-month investment outlook, which is not really a "long-term" horizon, when playing an economic recovery. Most of these banks are all in good shape, and most saw decent or better earnings performance during 2012.

FirstMerit (FMER) of Akron, Ohio, had $14.9 billion in total assets as of Dec. 31, with a 2012 return on average assets (ROA) of 0.91%, according to Thomson Reuters Bank Insight. The stock closed at $15.45 Friday, trading for 1.4 times tangible book value, and 10.8 times the consensus 2014 earnings estimate of $1.43 a share, among analysts polled by Thomson Reuters. Based on a quarterly payout of $0.16, the shares have a dividend yield of 4.14%. Please see TheStreet's 10 Buy-Rated Bank Stocks With Highest Dividend Yields, for much more information on FirstMerit.

Old National Bancorp (ONB) of Evansville, Ind., had $9.5 billion in total assets as of Dec. 31, and its 2012 ROA was 1.04%. The company's stock closed at $13.95 Friday, trading for 1.7 times tangible book value, and for 12.4 times the consensus 2014 EPS estimate of $1.13. With a quarterly payout of $0.10, the shares have a dividend yield of 2.87%. Please see TheStreet's Midwest Banks vs. Northeast Banks for more on Old National Bancorp.

Associated Banc-Corp (ASBC) of Green Bay, Wis., had had $22.5 billion in assets as of Dec. 31, and its ROA during 2012 was 0.81%. The stock closed at $14.74 Friday, trading for 1.3 times tangible book value, and for 13.7 times the consensus 2014 EPS estimate of $1.08. Based on a quarterly payout of $0.08, the shares have a dividend yield of 2.17%.

Lakeland Financial (LKFN) of Warsaw, Ind., had $3.1 billion in total assets as of Dec. 31, and its 2012 ROA was 1.19%. The shares closed at $25.64 Friday, trading for 1.4 times tangible book value, and for 11.4 times the consensus 2014 EPS estimate of $2.26. With a quarterly payout of 17 cents, the shares have a divided yield of 2.65%. Check out Midwest Banks vs. Northeast Banks for more on Lakeland Financial.

PrivateBancorp (PVTB) of Chicago had $14.1 billion in total assets as of Dec. 31. The company's 2012 ROA was 0.60%. The shares closed at $18.39 Friday, trading for 1.3 times tangible book value, and for 13.4 times the consensus 2014 EPS estimate of $1.37. Check out TheStreet's recent discussion on bank consolidation for more on Chicago's highly competitive market.

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