This Day On The Street
Continue to site
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

5 Lean and Mean Bank Stocks

2. Signature Bank

Shares of Signature Bank (SBNY - Get Report) of New York closed at $90.50 Friday, returning 27% this year.

The shares trade for 2.5 times their reported June 30 book value of $36.10, and for 17.7 times the consensus 2014 EPS estimate of $5.10. The consensus 2013 EPS estimate is $4.55.

The bank's efficiency ratio for the 12-months ended June 30 was 37.28%. Its ROA for the same period was 1.10% and its ROTCE was 12.32%.

Signature Bank had $19.7 billion in total assets as of June 30. The bank is very much a growth story, with net loans and leases growing by 13% year-over-year, through the second quarter. The company in August announced the hiring of " seven seasoned sales professionals" to help grow its equipment leasing subsidiary, Signature Financial LLC, which was formed in March 2012.

KBW analyst Christopher McGratty in August underlined the importance of Signature Bank's leasing business. "Only 16 months old, Signature Financial has now added 19 sales executives in 17 locations throughout the country, and has already booked over $1.3B in new originations since creation," the analyst wrote in a note to clients on Aug. 20.

McGratty rates Signature Bank a "market perform," with a price target of $93.00. In his August note, he added "Signature remains on pace to exceed previous loan growth guidance of $2.2B, in our view." KBW estimates the bank will grow its loans by $2.6 billion this year.

The analyst is in the minority with his rating for Signature bank. Out of 21 sell-side analysts polled by Thomson Reuters, 15 rate Signature Bank a "buy," while the remaining six have neutral ratings.

SBNY Chart SBNY data by YCharts

Interested in more on Signature Bank? See TheStreet Ratings' report card for this stock.
5 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

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
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
BAC $14.56 -1.56%
DFS $56.27 -0.72%
PB $52.77 1.27%
SBNY $137.83 -1.10%
WFC $49.98 -0.85%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs