Tuesday, November 1, 2022

The 7 Safest Banks in America

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Safe Banking Act aims to prohibit imposing penalties on financial institutions solely because federal regulators have chosen to provide such services to cannabis companies, their owners, and employees.

Even if State Street (NYSE: STT) and New York Mellon Bank (NYSE: B.K.) trust banks meet us, they will continue to focus on the top 50 banks with the most significant retail banking assets.

It is not included in the screening criteria of “Problem banks,” including Citigroup (NYSE: C) and Bank of America (NYSE: BAC), are excluded. Still, it is almost impossible for depositors to take risks to them.

This avoided troubled regional banks throughout the Southeastern and Pacific Rim regions, which often faced financial difficulties in housing and loans during and after the recession.

Ignore some of the central banks that recently participated in the M & A. In the end, and eliminate banks that were worried about their feasibility and feasibility during the next recession. Here are the 7 safest savings banks in America.

07. Wells Fargo and Company 

The 7 Safest Banks in America

Wells Fargo and Company (NYSE: WFC) is the safest bank in the United States. JPMorgan Chase and Company (NYSE: JPM) currently owns approximately U.S. $ 1 trillion in Chase. Wells Fargo has branches in almost every state of the United States, with approximately 6,200 branch offices and over 12,000 ATMs.

The bank’s asset base is over the U.S. $ 1.3 trillion. To prove the bank’s security, Warren Buffett’s Berkshire Hathaway (NYSE: BRK-A) owns $ 13 billion worth of common stock, which continues to grow.

It has a market value of U.S. $ 171 billion. The price-earnings ratio of these stocks is less than nine times, and the book value is close to 1.2 times.

Return on equity is just above 12%, and banks offer dividend yields of 2.7% to general holders. The share price is around $ 32.50, but the Wall Street valuation of this top bank is close to $ 38.00 per share.

06. JP Morgan Chase & Co. 

JP Morgan Chase & Co. Despite media attention to the multi-billion dollar transaction loss of (NYSE: JPM). The company is still in good shape compared to many other peers. It has a fortress-like balance sheet with assets of about the U.S. $ 2.3 trillion.

CEO Jamie Dimon said the only risk of a bank’s bankruptcy is a collision between the Earth and the Moon. Although stock prices fell after a trading loss, the company still has an outstanding U.S. $ 135.17 billion market value.

JPMorgan Chase’s price-earnings ratio is less than eight times, and its book value is only about 0.7 times. Return on equity is 9.8%, and the company pays a dividend rate of 3.4% on common stock.

The transaction price of a bank’s stock is slightly higher than $ 36, but analysts rate the company at $ 47 per share.

05. U.S. Bancorp 

U.S. Bancorp (NYSE: USB) is a super-regional bank in Minneapolis and is often overlooked as a currency center bank. However, it is the fifth-largest commercial bank in the United States, serving millions of consumers.

U.S. Bancorp has assets of the U.S. $ 341 billion, more than 3,000 branches, and more than 5,000 ATMs, and its business covers 25 states in the United States. Warren Buffett’s Berkshire Hathaway (NYSE: BRK-A) owns approximately 69 million shares and a value of more than $ 2.1 billion.

The market value of banks is the U.S. $ 59 billion. Its value is about ten times the price-earnings ratio and 1.6 times the book value. As a result, the return on equity is very high at 16%, and ordinary shareholders are offered a dividend yield of 2.5%.

With a share price of around U.S. $ 31.50, Wall Street analysts have set a target price for this large vault bank at around the U.S. $ 34.25.

04. M & T Banking Corporation 

M & T Banking Corporation (NYSE: MTB) is headquartered in Buffalo, NY, and currently holds over the U.S. $ 79 billion in assets. Its nearly 700 branches and 2,000 ATMs, operating in eight states, except for recent small purchases. It has a U.S. $ 10.12 billion market capitalization, a price-to-book value ratio of 12.7, and a price-to-book value ratio of only 1.07. Return on equity at M & T is 9.5%, and ordinary shareholders are paid a dividend of 3.5%.

Shares are just above $ 80 per share, but analysts have set a target price of around $ 90. Berkshire Hathaway (NYSE: BRK-A) owns approximately 5.4 million M & T Bank common shares, worth more than $ 400 million.

03. PNC Financial Services 

The 7 Safest Banks in America

PNC Financial Services (NYSE: PNC) is headquartered in Pittsburgh and has approximately $ 300 billion in assets, more than 2,500 branches, and nearly 7,000 ATMs in 14 states.

The market value is $ 31.10 billion, the price-earnings ratio is 10.6 times, and the book value is less than 0.9 times. Return on equity is 8.9%, and the company pays a dividend of 2.73%. The stock price is less than $ 59, but Wall Street’s goal is $ 70.50.

PNC’s financial strength was sufficient to complete the acquisition of National City at the end of 2008 when the financial markets were at tremendous risk. In addition, PNC owns almost a quarter of BlackRock’s (NYSE: BLK) wealth management company.

02. KeyCorp 

KeyCorp (NYSE: KEY) is an exception to the rule that the stock price is less than $ 10.00. Other indicators are more than just compensation for this exception. Its market value is only U.S. $ 7.12 billion, and its assets are approximately U.S. $ 87 billion.

It operates in 14 states: Rocky Mountain, the Northwest, the Great Lakes, and the northeast.

Given that KeyCorp is headquartered in Cleveland and has many bad debts, it’s impressive to see it on the list. In addition, the bank’s return on equity is 9.2%, and the dividend payment rate is 2.7%.

The stock price is around the U.S. $ 7.50, but the target price on Wall Street is the U.S. $ 9.00.

01. BOK Financial Company 

BOK Financial Company (NASDAQ: BOKF) is the smallest bank on the list with a U.S. $ 3.8 billion market value and U.S. $ 26 billion assets.

The bank holding company is located in Tulsa. Common branch names in other states are Albuquerque Bank, Arizona Bank, Arkansas Bank, Kansas City Bank, Oklahoma Bank, Texas Bank, and Colorado Bank and Trust.

BOK’s price-earnings ratio is about 12.5 times, and its book value is 1.3 times. Return on equity is 11%, and ordinary shareholders are offered a dividend yield of 2.7%. The share price is around the U.S. $ 56.00, and Wall Street analysts aim to exceed the U.S. $ 59.00.

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