5 Most Undervalued Bank Stocks To Buy According To Analysts

4. Citizens Financial Group, Inc. (NYSE:CFG)

Number of Hedge Fund Holders: 35

PE Ratio as of March 4: 10.29

Average Upside Potential: 16%

Average Analyst Price Target: $37.44

Citizens Financial Group, Inc. (NYSE:CFG) is a bank holding company that offers retail and commercial banking products and services in the United States. Citizens Financial Group, Inc. (NYSE:CFG) provides deposit products, lending services, credit cards, wealth management, and investment services to individuals, small businesses, and corporations. It is one of the most undervalued stocks to invest in. 

On February 5, Citi upgraded Citizens Financial Group, Inc. (NYSE:CFG) stock to a Buy rating, advocating an offensive stance in the banking sector. The upgrade is based on the belief that owning bank stocks is most favorable when valuations shift from late-cycle to early-cycle multiples. Analyst Keith Horowitz anticipates banks to outperform in the current credit cycle due to limited excess credit creation, noting a loss of market share by banks since the 2008 financial crisis.

According to Insider Monkey’s fourth quarter database, 35 hedge funds were bullish on Citizens Financial Group, Inc. (NYSE:CFG), compared to 36 funds in the prior quarter. Cliff Asness’ AQR Capital Management is the largest stakeholder of the company, with 3.74 million shares worth $124 million.