Signature Bank (NYSE:SBNY) provides commercial banking products and services. It accepts various deposit products, including checking accounts, money market accounts, escrow deposit accounts, cash concentration accounts, certificates of deposit, and other cash management products. The company provides various lending products comprising commercial and industrial loans, real estate loans, and letters of credit. In addition, it offers asset management and investment products; and retirement products, such as individual retirement accounts and administrative services for retirement vehicles. Further, the company provides wealth management services to its high-net-worth personal clients; and purchases, sells, and assembles small business administration loans and pools. Additionally, it offers individual and group insurance products, including health, life, disability, and long-term care insurance products for business and private clients. As of December 31, 2021, the company operated 37 private client offices located in the metropolitan New York area, Connecticut, California, and North Carolina. Signature Bank was incorporated in 2000 and is headquartered in New York, New York.

finviz dynamic chart for  SBNY

Stock Overview

  • Market Cap: 9.628 billion
  • PE Ratio: 8.15
  • EPS: 18.77
  • Dividend Yield: 1.46%

Signature Bank gets the highest consensus recommendation of any financial sector stock in the S&P 500. Shares are down with the rest of the market so far this year, but the Street says it’s time to buy the dip.

Five analysts rate shares at Strong Buy, nine analysts rate it as Buy and five analysts rate it as Hold. The analyst average price target is $251.35 for 2022. It has a recommendation rating of 1.6.

Perhaps more remarkably, analysts forecast the regional lender to generate average annual EPS growth of 12.3% over the next three to five years. At the same time, SBNY trades at just 16.5 times the Street’s 2022 EPS estimate.

“We reiterate our Strong Buy rating on SBNY shares following its release of fourth-quarter financial results that included strong EPS and pretax pre-provision income beats, as well as explosive balance sheet growth,” writes Raymond James analyst David Long. “The bank’s highly asset sensitivity position remains in place, leaving it well positioned for higher bond yields and rate hikes.”

Over at Wedbush, which counts SBNY on its Best Ideas List, analyst David Chiaverini says his “Outperform rating is based on the company’s consistently strong deposit and loan growth, leadership position in the digital assets space and strong earnings growth outlook.”

Therefore, SBNY is one of the best financial service stocks to own for long term.

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