4 Stocks Driving The Banking Industry Higher

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

All three major indices are trading up today with the Dow Jones Industrial Average ( ^DJI) trading up 47 points (0.3%) at 15,382 as of Tuesday, May 21, 2013, 12:50 PM ET. The NYSE advances/declines ratio sits at 1,570 issues advancing vs. 1,367 declining with 136 unchanged.

The Banking industry currently sits down 0.22 versus the S&P 500, which is up 0.2%. Top gainers within the industry include Wells Fargo ( WFC), up 1.2%, and Citigroup ( C), up 0.4%. On the negative front, top decliners within the industry include Lloyds Banking Group ( LYG), down 1.57, HDFC Bank ( HDB), down 1.34, Mitsubishi UFJ Financial Group ( MTU), down 1.18 and Banco Santander ( SAN), down 0.70.

TheStreet Ratings group would like to highlight 4 stocks pushing the industry higher today:

4. Bank of Montreal ( BMO) is one of the companies pushing the Banking industry higher today. As of noon trading, Bank of Montreal is up $0.76 (1.25) to $61.45 on average volume Thus far, 234,800 shares of Bank of Montreal exchanged hands as compared to its average daily volume of 496,100 shares. The stock has ranged in price between $60.49-$61.47 after having opened the day at $60.68 as compared to the previous trading day's close of $60.69.

Bank of Montreal, together with its subsidiaries, provides various retail banking, wealth management, and investment banking products and services in North America and internationally. Bank of Montreal has a market cap of $39.4 billion and is part of the financial sector. The company has a P/E ratio of 10.0, below the S&P 500 P/E ratio of 17.7. Shares are down 1.5% year to date as of the close of trading on Monday. Currently there is 1 analyst that rates Bank of Montreal a buy, 2 analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Bank of Montreal as a hold. The company's strengths can be seen in multiple areas, such as its notable return on equity, increase in stock price during the past year and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income and weak operating cash flow. Get the full Bank of Montreal Ratings Report now.

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3. As of noon trading, Royal Bank Of Canada ( RY) is up $1.36 (2.24) to $61.95 on heavy volume Thus far, 490,549 shares of Royal Bank Of Canada exchanged hands as compared to its average daily volume of 628,000 shares. The stock has ranged in price between $60.24-$61.95 after having opened the day at $60.52 as compared to the previous trading day's close of $60.59.

Royal Bank of Canada provides personal and commercial banking, wealth management, insurance, investor and treasury, and capital markets services worldwide. Royal Bank Of Canada has a market cap of $87.4 billion and is part of the financial sector. The company has a P/E ratio of 11.8, below the S&P 500 P/E ratio of 17.7. Shares are up 0.5% year to date as of the close of trading on Monday. Currently there are 3 analysts that rate Royal Bank Of Canada a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Royal Bank Of Canada as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity and growth in earnings per share. However, as a counter to these strengths, we find that we feel that the company's cash flow from its operations has been weak overall. Get the full Royal Bank Of Canada Ratings Report now.

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2. As of noon trading, PNC Financial Services Group ( PNC) is up $0.70 (0.98) to $71.98 on average volume Thus far, 1.2 million shares of PNC Financial Services Group exchanged hands as compared to its average daily volume of 3.0 million shares. The stock has ranged in price between $71.18-$72.09 after having opened the day at $71.29 as compared to the previous trading day's close of $71.28.

The PNC Financial Services Group, Inc. operates as a diversified financial services company in the United States and internationally. The company's Retail Banking segment provides deposit, lending, brokerage, investment management, and cash management services. PNC Financial Services Group has a market cap of $37.9 billion and is part of the financial sector. The company has a P/E ratio of 12.7, below the S&P 500 P/E ratio of 17.7. Shares are up 22.6% year to date as of the close of trading on Monday. Currently there are 16 analysts that rate PNC Financial Services Group a buy, 1 analyst rates it a sell, and 8 rate it a hold.

TheStreet Ratings rates PNC Financial Services Group as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in net income, expanding profit margins, increase in stock price during the past year and growth in earnings per share. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity. Get the full PNC Financial Services Group Ratings Report now.

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1. As of noon trading, JPMorgan Chase ( JPM) is up $1.06 (2.04) to $53.36 on heavy volume Thus far, 24.2 million shares of JPMorgan Chase exchanged hands as compared to its average daily volume of 24.0 million shares. The stock has ranged in price between $52.45-$53.67 after having opened the day at $52.53 as compared to the previous trading day's close of $52.29.

JPMorgan Chase & Co., a financial holding company, provides various financial services worldwide. JPMorgan Chase has a market cap of $197.7 billion and is part of the financial sector. The company has a P/E ratio of 9.3, below the S&P 500 P/E ratio of 17.7. Shares are up 18.9% year to date as of the close of trading on Monday. Currently there are 22 analysts that rate JPMorgan Chase a buy, 1 analyst rates it a sell, and 3 rate it a hold.

TheStreet Ratings rates JPMorgan Chase as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, attractive valuation levels and expanding profit margins. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Get the full JPMorgan Chase Ratings Report now.

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If you are interested in one of these 4 stocks, ETFs may be of interest. Investors who are bullish on the banking industry could consider KBW Bank ETF ( KBE) while those bearish on the banking industry could consider ProShares Short KBW Regional Bankng ( KRS).

A reminder about TheStreet Ratings group: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

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