Overview Of Value Stocks In The Financial Services Sector
Understanding Value Stocks
A value stock traditionally has a lower price when compared to stock prices of companies in the same industry. This indicates that the company may be undervalued, as investors are not expressing as much interest in such companies. The most commonly used way to check for value is with the price-to-earnings multiple, or P/E. A low P/E multiple is a good indication that the stock is undervalued.
The following stocks are considered to be notable value stocks in the financial services sector:
- First Western Financial (NASDAQ:MYFW) - P/E: 7.53
- M&T Bank (NYSE:MTB) - P/E: 6.4
- Sound Financial Bancorp (NASDAQ:SFBC) - P/E: 9.06
- National Bankshares (NASDAQ:NKSH) - P/E: 5.79
- KB Financial Group (NYSE:KB) - P/E: 4.67
Most recently, First Western Financial reported earnings per share at $0.32, whereas in Q2 earnings per share sat at $0.25. Most recently, M&T Bank reported earnings per share at $4.05, whereas in Q2 earnings per share sat at $5.12. Its most recent dividend yield is at 3.91%, which has decreased by 0.62% from 4.53% in the previous quarter.
Sound Financial Bancorp has reported Q3 earnings per share at $0.45, which has decreased by 59.46% compared to Q2, which was 1.11. Its most recent dividend yield is at 2.08%, which has increased by 0.03% from 2.05% in the previous quarter.
National Bankshares saw a decrease in earnings per share from 0.8 in Q1 to $0.66 now. Most recently, KB Financial Group reported earnings per share at $2.87, whereas in Q1 earnings per share sat at $2.88.
These 5 value stocks were selected by Benzinga Insights based on quantified analysis. While this methodical judgment process is not meant to make final decisions, our technology can give investors additional perception into the sector.