Veteran bank analyst Mike Mayo, now with Wells Fargo Securities, pointed to a host of reasons on why the banking sector is stronger ten years after the 2008 financial crisis. 

  • Capital is stronger 
  • Controls are better - today there are Federal Reserve stress tests
  • Costs are under control
  • Executive compensation is more tied to returns rather than just growth

"Today is much better," Mayo said, when asked to analyze the current state of the banking system.

Still, the business cycle hasn't been eradicated, Mayo said, and he thinks we will have another recession in the future.

"Our firm thinks that we have a couple of more years to go of good economic growth," he added.

More from Video

Consumers Are 'Very Active' in Expected Strong Holiday Season: Mastercard Exec

Consumers Are 'Very Active' in Expected Strong Holiday Season: Mastercard Exec

Don't Let a Short-Term Headwind Cloud Your Focus, Jim Cramer Says

Don't Let a Short-Term Headwind Cloud Your Focus, Jim Cramer Says

Jim Cramer Says, 'You Can't Fall in Love With the Stocks'

Jim Cramer Says, 'You Can't Fall in Love With the Stocks'

How Vulnerable the U.S. Economy Is -- Recession Watch

How Vulnerable the U.S. Economy Is -- Recession Watch

Jim Cramer Discusses Nvidia CEO's Defensiveness on Earnings Call

Jim Cramer Discusses Nvidia CEO's Defensiveness on Earnings Call