In this article, we’ll look at the 11 High Growth Financial Stocks to Buy Now.
Financial stocks are finding their footing. After spending much of the past few years caught between rate volatility and recession fears, parts of the financial group are starting to look more constructive. With policy uncertainty easing and domestic growth holding up better than expected, asset managers are revisiting banks, insurers, and diversified financials not just as defensive plays, but as potential earnings growers into 2026.
Fidelity International, in its report entitled Outlook 2026: The Age of Alpha, pointed to “lower rates and more pro-business Federal government policies” supporting companies throughout 2026. Lower financing costs typically revive loan growth, stimulate capital markets activity, and ease balance sheet pressures, while a pro-business stance often translates into lighter regulatory burdens and improved profitability for banks, insurers, and diversified financial firms.
Robeco struck a similar note, saying it sees opportunities to continue to emerge in sectors such as financials, while adding that selectivity will be crucial. This suggests that dispersion inside the sector may widen, rewarding companies with stronger balance sheets and earnings growth.
That backdrop shifts the conversation to identifying the financial names that are actually delivering sustained earnings acceleration. As policy eases and capital flows normalize, select financial names stand to benefit disproportionately in 2026 and beyond. With that in mind, we now look at the 11 High Growth Financial Stocks to Buy Now.
Our Methodology
To identify the 11 High Growth Financial Stocks to Buy Now, we used the Finviz screener to generate a list of financial stocks with an EPS growth of at least 20% in the past 3 years. We have also included the number of hedge funds that hold the stock as of Q3 2025. We limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
11. HSBC Holdings plc (NYSE:HSBC)
On February 19, 2026, HSBC Holdings plc (NYSE:HSBC) cut 10% of its U.S.-based debt capital markets team as part of ongoing cost reductions following an overhaul of the business announced last October, according to Bloomberg’s Carolina Gonzalez and Michael O’Boyle, citing people familiar with the matter. At least six staff members in New York were let go during the week, including one managing director, two directors, two associates, and one analyst.
On February 5, 2026, Bloomberg reported that HSBC Holdings plc (NYSE:HSBC) is preparing to award little or no bonuses to some bankers and push underperforming staff to exit after payouts, including at senior levels. The report said the tougher stance reflects CEO Georges Elhedery’s effort to align pay and performance more closely with Wall Street peers.
Earlier in February, JPMorgan raised its price target on HSBC Holdings plc (NYSE:HSBC) to 1,190 GBp from 1,060 GBp previously and maintained a Neutral rating.
HSBC Holdings plc (NYSE:HSBC) provides banking and financial products and services globally through its Wealth and Personal Banking, Commercial Banking, and Global Banking and Markets segments.
10. NatWest Group plc (NYSE:NWG)
On February 16, 2026, Citi analyst Andrew Coombs has raised the price target on NatWest Group plc (NYSE:NWG) to 840 GBp from 810 GBp previously and maintained a Buy rating. Andrew Coombs increased the estimates on NatWest Group plc (NYSE:NWG) to reflect the acquisition of Evelyn Partners.
On February 13, 2026, NatWest Group plc (NYSE:NWG) reported FY25 total income of GBP 16.4B and pretax profit of GBP 7.7B, with a net interest margin of 2.34% and a Common Equity Tier 1 ratio of 14%. Chief Executive Paul Thwaite said, “2025 was another strong year for NatWest Group,” highlighting broad-based growth across its three customer businesses. Income rose to GBP 16.4B and Return on Tangible Equity reached 19.2%, both ahead of last year and guidance, while dividends per share increased 51% compared to 2024. Management said new strategic targets are in place as the group looks to build productivity and deepen customer relationships. Further, the company expects total income excluding notable items in the range of GBP 17.2B-17.6B for FY26. Operating expenses, excluding litigation and conduct costs, are expected to be around GBP 8.2B, the loan impairment rate is below 25 basis points, and Return on Tangible Equity is greater than 17%.
NatWest Group plc (NYSE:NWG) provides banking and financial products and services in the United Kingdom and internationally through its Retail Banking, Private Banking, and Commercial & Institutional segments.
9. Ares Management Corporation (NYSE:ARES)
On February 20, 2026, UBS cut its price target on Ares Management Corporation (NYSE:ARES) to $148 from $198 and kept a Neutral rating on the shares.
On February 12, 2026, TD Cowen lowered its price target on Ares Management Corporation to $167 from $200 and maintained a Buy rating. TD Cowen adjusted targets across the asset manager space, citing shifting macro and micro dynamics, and said it is now overweight alternatives versus traditional asset managers within the group. On February 9, 2026, RBC Capital lowered its price target on Ares Management Corporation to $180 from $200 and kept an Outperform rating. RBC Capital said capital deployment trends remain favorable and added that investors may not fully appreciate Ares’s long and successful track record in credit underwriting.
On February 5, 2026, Ares Management Corporation reported Q4 revenue of $1.50B, compared with the $1.33B consensus estimate. CEO Michael Arougheti said, “Our strong Q4 concluded an exceptional year,” as the company surpassed $600B in AUM, set new annual records for fundraising and investing of over $100 billion, and closed the GCP International acquisition, expanding its real estate and digital infrastructure capabilities. CFO Jarrod Phillips said “Our strong fundraising and investing activities in the fourth quarter supported” a 29% year-over-year increase in AUM, a 32% increase in FPAUM, and a 25% increase in management fees for the year, and noted the company has more than $150B of available capital and announced a 20% increase in its quarterly common stock dividend.
Ares Management Corporation (NYSE:ARES) operates as an alternative asset manager in the United States, Europe, and Asia. Its Direct Lending Group provides financing solutions to small-to-medium-sized companies.
8. The Travelers Companies, Inc. (NYSE:TRV)
On February 19, 2026, Keefe Bruyette analyst Meyer Shields raised the price target on The Travelers Companies, Inc. (NYSE:TRV) to $340 from $320 and maintained an Outperform rating. Meyer Shields estimates that Travelers’ year-end 2025 GAAP loss and Allocated Loss Adjustment Expense reserves were overstated by about $1.94B.
On February 18, 2026, Travelers announced the launch of AI Claim Assistant, built using OpenAI model capabilities and APIs. The fully agentic intelligent voice service uses language and speech recognition technologies to manage customer claim calls. The tool is initially being deployed for auto damage claims and is expected to expand to additional lines of business and broader claim interactions over time.
Earlier in January, Travelers reported Q4 revenue of $12.43B, compared with the $11.14B consensus estimate. Chairman and CEO Alan Schnitzer said, “We are pleased to report excellent fourth quarter and full year results,” citing strong underwriting and investment performance as drivers of results.
The Travelers Companies, Inc. (NYSE:TRV) provides commercial and personal property and casualty insurance products and services in the United States, Canada, and internationally.
7. Hercules Capital, Inc. (NYSE:HTGC)
On February 13, 2026, Piper Sandler downgraded Hercules Capital, Inc. (NYSE:HTGC) to Neutral from Overweight and lowered the price target to $17.50 from $20.50 following the Q4 report. Piper Sandler noted the company’s 35% exposure to software could create “negative headlines, noise, and potential difficulty in business models with AI disruption a risk.” While Piper Sandler continues to view Hercules as one of the best underwriters in technology lending, Piper Sandler believes near term returns will be driven primarily by the dividend rather than share appreciation amid macro uncertainty and volatility.
Also on February 13, 2026, Keefe Bruyette lowered its price target on Hercules Capital, Inc. to $19 from $20 and maintained an Outperform rating.
On February 12, 2026, Hercules Capital, Inc. reported Q4 EPS of 48c, compared with the 49c consensus. CEO Scott Bluestein said, “Our record-breaking performance in 2025” included all-time highs in new debt and equity commitments, gross fundings, net debt portfolio growth, and investment income. New commitments reached $3.92 billion, and gross fundings totaled $2.28 billion, up 45.7% and 25.9% year over year, respectively. The company declared a supplemental distribution of $0.07 per share in the fourth quarter, marking its 22nd consecutive supplemental dividend, and said it remains focused on disciplined credit and underwriting, liquidity, prudent leverage, and expanding private fund capacity heading into 2026.
Hercules Capital, Inc. (NYSE:HTGC) is a business development company that provides private equity, venture debt, and growth capital to venture capital-backed companies from mid-venture to expansion stage, as well as select public and special opportunity companies.
6. First American Financial Corporation (NYSE:FAF)
On February 17, 2026, Truist analyst Mark Hughes raised the price target on First American Financial Corporation (NYSE:FAF) to $82 from $76 and maintained a Buy rating. Mark Hughes said Truist is positive on management’s outlook for investment income to remain steady over the coming year.
On February 13, 2026, Deutsche Bank analyst Mark DeVries increased the price target on First American Financial Corporation to $90 from $88 and kept a Buy rating. The same day, Barclays analyst Terry Ma raised the price target to $70 from $68 and maintained an Equal Weight rating.
On February 11, 2026, First American Financial Corporation reported Q4 revenue of $2B, compared with the $1.8B consensus estimate. CEO Mark Seaton said, “We delivered a strong quarter,” as adjusted revenue rose 15 percent and adjusted earnings per share increased 47 percent. Commercial revenue climbed 35 percent, supported by momentum across most asset classes, reflecting both market tailwinds and operating leverage.
First American Financial Corporation (NYSE:FAF) provides financial services through its Title Insurance and Services and Home Warranty segments.
5. HA Sustainable Infrastructure Capital, Inc. (NYSE:HASI)
On February 18, 2026, Wells Fargo analyst Praneeth Satish raised the price target on HA Sustainable Infrastructure Capital, Inc. (NYSE:HASI) to $44 from $37 and maintained an Overweight rating. Praneeth Satish said Q4 results were in line, and the company initiated new FY28 guidance that was also in line. The 12-month pipeline increased to “greater than $6.5B” from “greater than $6B” in Q3 2025, highlighting the company’s opportunity set.
On February 17, 2026, TD Cowen raised the price target on HA Sustainable Infrastructure Capital, Inc. to $50 from $40 and kept a Buy rating after updating its model following a review of the 10K. TD Cowen pointed to capital efficiency improvements and closed transactions as providing confidence in continued execution. On February 13, 2026, Goldman Sachs increased its price target to $38 from $33 and maintained a Neutral rating. Goldman Sachs said Q4 adjusted EPS slightly exceeded expectations and noted the company raised its 2025 to 2028 adjusted EPS compound annual growth rate guidance to 10%. Goldman Sachs added that accelerated payout ratio reductions and diversified funding are expected to lift adjusted return on equity above 17% by 2028, while $4.3B in annual transactions, including the $1.2B SunZia project, signals strong project activity.
On February 12, 2026, HA Sustainable Infrastructure Capital, Inc. reported Q4 revenue of $114.81M, compared with the $106.13M consensus estimate. CEO Jeffrey A. Lipson said, “Our resilient business achieved extraordinary outcomes in 2025,” citing record $4.3 billion in new investments, a pipeline of greater than $6.5 billion, and 25% growth in Adjusted Recurring Net Investment Income. Adjusted EPS grew more than 10% in 2025 for a 10% compound annual growth rate over the past 10 years, with guidance pointing to similar growth through 2028.
HA Sustainable Infrastructure Capital, Inc. (NYSE:HASI) invests in energy efficiency, renewable energy, and other sustainable infrastructure markets in the United States.
4. Sprott Inc. (NYSE:SII)
On February 20, 2026, TD Securities raised its price target on Sprott Inc. (NYSE:SII) to C$180 from C$176 and maintained a Hold rating.
Also on February 20, 2026, Canaccord analyst Matthew Lee increased the price target on Sprott Inc. to C$200 from C$130 and kept a Buy rating. Meanwhile, RBC Capital upgraded Sprott to Outperform from Sector Perform and lifted the price target to C$218 from C$186. RBC Capital said the company’s “strong” Q4 results underscored operating leverage to “constructive” commodity pricing and added that Sprott’s products are “hitting inflection points on growth and profitability,” with momentum expected to continue in 2026 and beyond.
On February 19, 2026, Sprott reported Q4 revenue of $111.4M, ahead of the $93.93M consensus estimate. As of December 31, 2025, Assets Under Management totaled $59.6B, up 21% from $49.1B on September 30, 2025, and up 89% from $31.5B on December 31, 2024. As of February 13, 2026, AUM increased further to $70.1B, up 18% from $59.6B at year-end. CEO Whitney George said, “Sprott’s Assets Under Management were $59.6B as of December 31, 2025,” highlighting market value appreciation across most fund products and $3.9B in net sales, primarily in Exchange Listed Products. Management noted strong performance in precious metals and critical materials strategies and said the company believes it is positioned to benefit from macro-economic trends.
Sprott Inc. (NYSE:SII) is a publicly owned asset management holding company providing asset management, portfolio management, wealth management, fund management, and related services through its subsidiaries.
3. The Progressive Corporation (NYSE:PGR)
On February 19, 2026, BofA lowered its price target on The Progressive Corporation (NYSE:PGR) to $315 from $329 and maintained a Buy rating. BofA said Progressive reported net investment income of $311M versus its $332M forecast, calling it “a mere” 3c per share EPS headwind, though the shortfall lowers the firm’s core EPS forecast when annualized.
Also on February 19, 2026, Evercore ISI reduced its price target on The Progressive Corporation (NYSE:PGR) to $230 from $237 and kept an In Line rating. Roth Capital lowered its price target on The Progressive Corporation (NYSE:PGR) to $235 from $260 and reiterated a Buy rating, noting that total personal auto policies-in-force increased 12.1% year over year, slightly below December’s 12.6%, while sequential growth edged up to 0.9% from 0.8%.
On January 28, 2026, The Progressive Corporation (NYSE:PGR) reported Q4 EPS of $5.02 compared with consensus $4.43. Net premiums written of $19.5B compared to $18.1B last year, and net premiums earned of $21.1B versus $19.1B last year.
The Progressive Corporation (NYSE:PGR) is a U.S. insurance company providing personal auto and special lines products, as well as personal residential property insurance for homeowners and renters.
2. Blue Owl Technology Finance Corp. (NYSE:OTF)
On February 20, 2026, Clear Street lowered its price target on Blue Owl Technology Finance Corp. (NYSE:OTF) to $14 from $15 previously and maintained a Hold rating following the fourth-quarter report. Clear Street has said that portfolio growth is supporting the earnings of Blue Owl Technology Finance Corp. (NYSE:OTF).
On February 18, 2026, Blue Owl Technology Finance Corp. (NYSE:OTF) reported fourth-quarter adjusted NII of 30c, compared with the 34c consensus estimate. Chief Executive Officer Craig W. Packer has said Blue Owl Technology Finance Corp. (NYSE:OTF) “delivered another strong quarter,” highlighting NAV growth and progress toward target leverage. Management has also noted that the portfolio continues to show strong credit quality, underscoring the durability of the technology-focused investment strategy of Blue Owl Technology Finance Corp. (NYSE:OTF).
Blue Owl Technology Finance Corp. (NYSE:OTF) is a business development company focused on upper middle-market investments, providing debt and equity financing, including senior secured or unsecured loans, subordinated or mezzanine loans, and equity-related securities.
1. Brookfield Asset Management Ltd. (NYSE:BAM)
On February 20, 2026, UBS lowered its price target on Brookfield Asset Management Ltd. (NYSE:BAM) to $52 from $58 previously and maintained a Neutral rating on the shares.
On February 17, 2026, Morgan Stanley raised its price target on Brookfield Asset Management Ltd. to $63 from $62 and kept an Equal Weight rating, updating its model following the Q4 report. On February 9, 2026, BofA increased its price target on Brookfield Asset Management Ltd. (NYSE:BAM) to $70 from $64 and maintained a Neutral rating, making EPS revisions after Q4 reporting across its brokers, asset managers, and exchanges coverage.
On February 4, 2026, Brookfield Asset Management Ltd. reported Q4 EPS of 47, compared with the 44c consensus. Fee-bearing capital rose to $603B, up 12% year over year, supported by record quarterly fundraising of $35B and $112B over the past year. CEO Connor Teskey said, “2025 was another record year for our business,” highlighting growth across fundraising, deployment, and monetization. Fee-bearing capital exceeded $600B, fee-related earnings increased 22% year over year, and distributable earnings rose 14%. The company also announced a 15% increase in its dividend.
Brookfield Asset Management Ltd. (NYSE:BAM) is a private equity firm specializing in acquisitions and growth capital investments.
While we acknowledge the potential of BAM to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than BAM and that has 100x upside potential, check out our report about this cheapest AI stock.
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