Despite Downturns, Analysts Say These 4 Financial Stocks Are Buys
From Nasdaq: 2025-03-20 07:23:00
Threats of tariffs and reduced government spending have sent American markets into correction territory, with the S&P 500 taking a hit. Financial stocks like Morgan Stanley and SoFi Technologies saw shares fall up to 12% on Monday alone. Despite the sell-off, analysts believe these stocks are buys for long-term wealth creation.
Bank of America beat earnings estimates by $0.05 per share, with analysts predicting a 17.82% earnings growth within the next year. Shares are trading lower due to recession fears, presenting a potential buying opportunity for long-term investors eyeing a 17% upside from current prices.
S&P Global is trading near a 50-day low of $478, with analysts anticipating a 19.84% increase in share prices. Despite a high P/E ratio, recent dips in share prices could be attributed to broader market sell-offs. Short interest trends indicate lower confidence, with a 25% increase in short interest from last month.
Reinsurance Group of America has seen share prices drop almost 10% this year but maintains a Moderate Buy rating. While short interest has risen, only 0.64% of the float is shorted, indicating positive long-term analyst expectations. RGA’s consistent dividend yield and payout growth make it a strong long-term play.
JPMorgan Chase & Co. is trading near its 50-day low, resulting in a low P/E ratio of 11.88 and a dividend yield above 2%. With a Moderate Buy rating, market sentiment suggests a potential overcorrection in share prices. Earnings data is solid, with room for growth in dividends.
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