5 Most Undervalued Bank Stocks to Buy Now

4. Bank OZK (NASDAQ:OZK)

Bank OZK (NASDAQ:OZK) is one of the 10 most undervalued bank stocks to buy now.

On April 7, Timur Braziler from UBS maintained a Neutral rating for Bank OZK (NASDAQ:OZK) while decreasing the price target from $51 to $48. This downward revision was based on the analyst’s comprehension of significant downside risk. According to Braziler, OZK’s credit costs and overall loan growth trajectories would be profoundly affected by ongoing pressure until the end of fiscal 2027.

Simultaneously, Braziler states that these expected financial challenges are already fully accounted for in the current share prices. Going forward, the bank is expected to deliver double-digit returns in the foreseeable future, as per consensus, making it one of the best undervalued banking stocks.

Given its solid fundamentals and improved business prospects, the bank has been rewarding shareholders with impressive payouts. On April 2, the Bank OZK (NASDAQ:OZK) board declared a quarterly cash dividend of 47 cents per share on its common stock. This was one cent higher compared to the prior quarter.

Bank OZK (NASDAQ:OZK) is an end-to-end state-chartered bank that provides commercial and retail banking solutions. It offers three main services, which include treasury management, wealth and trust management, and deposit services. Additionally, it provides mortgage and financial services to a number of sectors like marine, agriculture, housing, and more.