Based on key financial metrics such as the price-to-sales ratio, shareholder yield and the price-earnings ratio, the following 5 stocks made the list for top value stocks in the Banks industry. Those looking for value stocks to add to their portfolio may want to use this list as a starting point for further investment research.
Why Focus on Undervalued Banks Stocks?
Value investors seek to buy stocks at a discount to their intrinsic value. Long-term returns show that such strategies are advantageous. Value stocks, as a group, tend to outperform growth stocks over extended periods of time. Typically, value investors perform financial analysis of numerous metrics, don’t follow the herd and are long-term investors.
AAII’s A+ Investor Value Grade is derived from a stock’s Value Score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.
What Goes Into AAII’s Value Grade?
Stock evaluation requires access to huge amounts of data as well as the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movement. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors with that task.
AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A–F grades for more than just value. It is possible for a stock to appear cheap based on one valuation metric but appear expensive on another. It is also possible for one valuation ratio to be associated with outperforming stocks during certain periods of time but not others. Some stocks may even have null values for certain metrics like the price-earnings ratio or the price-to-book ratio but not others. An example of this would be a company with losses instead of profits or a negative book value because of heavy borrowing. Negative earnings or book value result in non-meaningful ratios that are left blank or null.
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5 Undervalued Banks Stocks
Of course, there are countless value stocks that are worth mentioning, but this is a concise list of the top 5 undervalued stocks in the Banks industry for Monday, September 21, 2026. Let’s take a closer look at their individual scores to see how they measure up against each other and the Banks industry median.
| Company | Ticker | Price/Sales | Price/Earnings | EV/EBITDA | Shareholder Yield | Price/Book Value | Price/Free Cash Flow | Value Grade |
| American Business Bank | AMBZ | 4.18 | 11.5 | na | 3.2% | 1.54 | na | B |
| Credicorp Ltd. | BAP | 1.34 | 14.1 | na | 9.4% | 2.72 | na | B |
| BOK Financial Corporation | BOKF | 3.59 | 12.5 | na | 6.8% | 1.33 | 6.8 | A |
| Princeton Bancorp, Inc. | BPRN | 3.42 | 11.5 | na | 4.0% | 1.06 | 20.7 | B |
| Wells Fargo & Company | WFC | 3.26 | 12.5 | na | 8.1% | 1.58 | 21.2 | B |
The Value Grade is assigned based on how each stock’s composite valuation compares to all other stocks.
The process for assigning grades starts with each variable for a given stock. The percentile rankings for all valid ratios that a stock has are calculated. So, for instance, a stock could have a price-to-book ranking in the 43rd percentile, a price-earnings ranking in the 67th percentile, a price-to-sales ranking in the 23rd percentile, etc. Then, those rankings are averaged for each stock. (A minimum of two valid variables are required, though all six will be used if available.)
Once the average of the individual variables is calculated, that average is ranked against all stocks. Put another way, each stock’s composite valuation is compared to all other stocks. These ranks are then sorted into quintiles from the cheapest 20% (a grade of A) to the most expensive 20% (a grade of F).
As always, we recommend that you conduct proper due diligence and research before investing in any security. We also suggest that investors utilize numerous grades, not just value, when it comes to deciding whether a company is a good fit for their allocation needs.
American Business Bank’s Value Grade
Value Grade:
| Metric | Score | AMBZ | Industry Median |
| Price/Sales | 74 | 4.18 | 3.45 |
| Price/Earnings | 23 | 11.5 | 12.3 |
| EV/EBITDA | na | na | 0.0 |
| Shareholder Yield | 25 | 3.2% | 2.3% |
| Price/Book Value | 41 | 1.54 | 1.26 |
| Price/Free Cash Flow | na | na | 14.9 |
American Business Bank, a California-chartered bank, provides banking products and services to small and medium-sized firms, non-profits, business executives, and professionals in Southern California. The company offers credit and depository; treasury management; asset-based lending; SBA lending; international banking comprising money transfer, import and export commercial letters of credit, standby letters of credit, and foreign currency exchange services; and consulting and referral services. It operates regional loan production offices located in North Orange County, Orange County, South Bay, San Fernando Valley, Riverside County, Inland Empire, Long Beach, and San Diego. The company was incorporated in 1998 and is based in Los Angeles, California.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
American Business Bank has a Value Score of 63, which is considered to be undervalued.
When you look at American Business Bank’s price-to-sales ratio at 4.18 compared to the industry median at 3.45, this company has a higher price relative to revenue compared to its peers. This could make American Business Bank’s stock less attractive for value investors.
American Business Bank’s price-earnings ratio is 11.50 compared to the industry median at 12.30. This means it has a lower share price relative to earnings compared to its peers. This could make American Business Bank more attractive for value investors.
Shareholder yield is the sum of a stock’s dividend yield (paid over previous 12 months minus special dividends) and the percentage of net share buybacks over the previous 12 months. American Business Bank’s shareholder yield is higher than its industry median ratio of 2.30%. Value investors may look for an attractive shareholder yield because it can be a powerful tool for identifying if the company has a good management team.
As one of the most common value metrics, the price-to-book ratio evaluates a company’s current market price relative to its book value. American Business Bank’s price-to-book ratio is higher than its industry median ratio of 1.26. This could make American Business Bank less attractive to investors looking for a new addition to their portfolio.
Credicorp Ltd.’s Value Grade
Value Grade:
| Metric | Score | BAP | Industry Median |
| Price/Sales | 39 | 1.34 | 3.45 |
| Price/Earnings | 35 | 14.1 | 12.3 |
| EV/EBITDA | na | na | 0.0 |
| Shareholder Yield | 6 | 9.4% | 2.3% |
| Price/Book Value | 63 | 2.72 | 1.26 |
| Price/Free Cash Flow | na | na | 14.9 |
Credicorp Ltd., together with its subsidiaries, provides various banking services and products in Peru, Bermuda, Colombia, Bolivia, Panama, Chile, the United States, the Cayman Islands, and Mexico. It operates through Universal Banking; Insurance, Medical Services, and Pensions; Microfinance; and Investment Management and Advisory segments. The company grants various credits and financial instruments to individuals and legal entities; and various deposits and current accounts. It also issues insurance policies to cover losses in commercial property, transport, marine vessels, automobiles, life, health, and pensions; provides medical and health services, as well as management services of private pension funds to the affiliates. In addition, the company is involved in the management of loans, credits, and deposits and checking accounts of the small and microenterprises; provision of brokerage service and investment management services to corporations, institutional investors, governments, and foundations; structuring and placement of issues in the primary market; execution and negotiation of transactions in the secondary market; structures securitization processes for corporate customers; and manages mutual funds. Further, it engages in the provision of custody, trustee, capital markets, asset management, and payment processing services; operates digital platform for e commerce; management and development of digital businesses; and acts as a private pension fund administrator. Credicorp Ltd. was founded in 1889 and is headquartered in Lima, Peru.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Credicorp Ltd. has a Value Score of 74, which is considered to be undervalued.
Credicorp Ltd.’s price-earnings ratio is 14.1 compared to the industry median at 12.3. This means that it has a higher price relative to its earnings compared to its peers. This makes Credicorp Ltd. less attractive for value investors.
Credicorp Ltd.’s price-to-book ratio is lower than its peers. This could make Credicorp Ltd. more attractive for value investors when compared to the industry median at 1.26.
You can read more about Credicorp Ltd.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
BOK Financial Corporation’s Value Grade
Value Grade:
| Metric | Score | BOKF | Industry Median |
| Price/Sales | 68 | 3.59 | 3.45 |
| Price/Earnings | 29 | 12.5 | 12.3 |
| EV/EBITDA | na | na | 0.0 |
| Shareholder Yield | 11 | 6.8% | 2.3% |
| Price/Book Value | 34 | 1.33 | 1.26 |
| Price/Free Cash Flow | 15 | 6.8 | 14.9 |
BOK Financial Corporation operates as the financial holding company for BOKF, NA that provides various financial products and services in Oklahoma, Texas, New Mexico, Northwest Arkansas, Colorado, Arizona, and Kansas/Missouri. It operates through three segments: Commercial Banking, Consumer Banking, and Wealth Management. The Commercial Banking segment offers lending, treasury, cash management, and customer commodity risk management products for small businesses, middle market, and larger commercial customers, as well as operates TransFund electronic funds transfer network. The Consumer Banking segment engages in the provision of retail lending and deposit services to small business customers through retail branch network; and mortgage loan origination and servicing activities. The Wealth Management segment offers fiduciary, private bank, insurance, and investment advisory services; and brokerage and trading services primarily related to providing liquidity to the mortgage markets through trading of U.S. government agency mortgage-backed securities and related derivative contracts, as well as underwrites state and municipal securities. The company also provides commercial loans, such as loans for working capital, facilities acquisition or expansion, purchases of equipment, and other needs of commercial customers; and service, healthcare, energy, and other sector loans. In addition, it offers commercial real estate loans for the construction of buildings or other improvements to real estate and property held by borrowers for investment purposes; residential mortgage and personal loans; and personal and small business checking, online bill paying, mobile banking, automated teller machine, and call centers services. The company was founded in 1910 and is headquartered in Tulsa, Oklahoma.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
BOK Financial Corporation has a Value Score of 82, which is considered to be undervalued.
BOK Financial Corporation’s price-earnings ratio is 12.5 compared to the industry median at 12.3. This means that it has a higher price relative to its earnings compared to its peers. This makes BOK Financial Corporation less attractive for value investors.
BOK Financial Corporation’s price-to-book ratio is lower than its peers. This could make BOK Financial Corporation fairly attractive for value investors when compared to the industry median at 1.26.
You can read more about BOK Financial Corporation’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
Princeton Bancorp, Inc.’s Value Grade
Value Grade:
| Metric | Score | BPRN | Industry Median |
| Price/Sales | 67 | 3.42 | 3.45 |
| Price/Earnings | 23 | 11.5 | 12.3 |
| EV/EBITDA | na | na | 0.0 |
| Shareholder Yield | 21 | 4.0% | 2.3% |
| Price/Book Value | 25 | 1.06 | 1.26 |
| Price/Free Cash Flow | 55 | 20.7 | 14.9 |
Princeton Bancorp, Inc. operates as the bank holding company for The Bank of Princeton that provides various banking products and services. The company accepts various deposit products, including checking, savings, attorney trust, and money market accounts, as well as certificates of deposit. It also offers traditional retail banking services, one-to-four-family residential mortgage loans, multi-family and commercial mortgage loans, construction loans, and commercial business loans, as well as consumer loans, including home equity loans and lines of credit. In addition, the company provides debit and credit cards, money orders, direct deposits, automated teller machines, cashier’s checks, safe deposit boxes, online banking, wire transfers, night depository, remote deposit capture, bank-by-mail, online, and automated telephone banking services, as well as payroll-related services and merchant credit card processing services through third party. Further, it offers full online statements, online bill payment, account inquiries, mobile banking, transaction histories and details, and account-to-account transfer services. The company was founded in 2007 and is headquartered in Princeton, New Jersey.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Princeton Bancorp, Inc. has a Value Score of 69, which is considered to be undervalued.
Princeton Bancorp, Inc.’s price-earnings ratio is 11.5 compared to the industry median at 12.3. This means that it has a lower price relative to its earnings compared to its peers. This makes Princeton Bancorp, Inc. more attractive for value investors.
Princeton Bancorp, Inc.’s price-to-book ratio is higher than its peers. This could make Princeton Bancorp, Inc. less attractive for value investors when compared to the industry median at 1.26.
You can read more about Princeton Bancorp, Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
Wells Fargo & Company’s Value Grade
Value Grade:
| Metric | Score | WFC | Industry Median |
| Price/Sales | 65 | 3.26 | 3.45 |
| Price/Earnings | 29 | 12.5 | 12.3 |
| EV/EBITDA | na | na | 0.0 |
| Shareholder Yield | 8 | 8.1% | 2.3% |
| Price/Book Value | 42 | 1.58 | 1.26 |
| Price/Free Cash Flow | 56 | 21.2 | 14.9 |
Wells Fargo & Company, a financial services company, provides diversified banking, investment, mortgage, and consumer and commercial finance products and services in the United States and internationally. It operates through four segments: Consumer Banking and Lending; Commercial Banking; Corporate and Investment Banking; and Wealth and Investment Management. The company’s financial products and services includes checking and savings accounts, and credit and debit cards, as well as home, auto, personal, and small business lending services. It also provides personalized wealth management, brokerage, financial planning, lending, private banking, trust and fiduciary products and services; and financial solutions to private, family owned and public companies through products and services including banking and credit products across multiple industry sectors and municipalities, secured lending and lease products, and treasury management. In addition, it offers a suite of capital markets, banking, and financial products and services, such as corporate banking, investment banking, treasury management, commercial real estate lending and servicing, equity, and fixed income solutions, as well as sales, trading, and research capabilities services to corporate, commercial real estate, government, and institutional clients. Wells Fargo & Company was founded in 1852 and is headquartered in San Francisco, California.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Wells Fargo & Company has a Value Score of 65, which is considered to be undervalued.
Wells Fargo & Company’s price-earnings ratio is 12.5 compared to the industry median at 12.3. This means that it has a higher price relative to its earnings compared to its peers. This makes Wells Fargo & Company less attractive for value investors.
Wells Fargo & Company’s price-to-book ratio is lower than its peers. This could make Wells Fargo & Company more attractive for value investors when compared to the industry median at 1.26.
You can read more about Wells Fargo & Company’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
Other Banks Stock Grades
Value is just one of the five Stock Grades included in our A+ Investor service. AAII members can see the top-graded stocks—those with grades of A or B for value, growth, momentum, earnings estimate revisions and quality—on the A+ Stock Grades Screener.
Also, if you want full access to all of AAII’s premium services, you can subscribe to one convenient bundled plan called AAII Platinum where you can try out A+ Investor, AAII Dividend Investing, the Stock Superstars Report, Growth Investing and VMQ Stocks. With the other premium services, you can dive deep into additional metrics, portfolios, commentary and information about Banks stocks as well as other industrys.
Choosing Which of the 5 Best Banks Stocks Is Right for You
Choosing which value stocks to invest in will ultimately depend on your individual goals and allocation; however, comparing similar value stocks in the same industry can help you analyze which might be better investments for you in the long run. So, let’s take a look at the Value Grade for all of our stocks.
- American Business Bank stock has a Value Grade of B.
- Credicorp Ltd. stock has a Value Grade of B.
- BOK Financial Corporation stock has a Value Grade of A.
- Princeton Bancorp, Inc. stock has a Value Grade of B.
- Wells Fargo & Company stock has a Value Grade of B.
Now that you have a bit more background about each of the 5 undervalued stocks in the Banks industry as well as their overall grades, it’s time for you to conduct additional research to see if these could fit your portfolio needs based on your goals and risk tolerance. AAII can help you figure out both and identify which investments align with what works best for you.
We do so through a program of education that teaches you to invest for yourself and become an effective manager of your own wealth—no more relying on others for your financial independence. You can rely on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis that makes you a better investor.
A+ Investor adds to that qualitative teaching by giving you a powerful data suite that helps you whittle down investment decisions to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.
Additional Resources About Banks Stocks
Want to learn more about Banks stocks to see if they could be the right investment for you? Check out some additional resources and articles to help you on your financial journey.
- 5 Undervalued Banks Stocks for Friday, September 18
- Is The Bancorp, Inc. (TBBK) Overvalued?
- Which Is a Better Investment, 1st Source Corporation or The Bancorp, Inc. Stock?
- Which Is a Better Investment, 1st Source Corporation or Wintrust Financial Corporation Stock?
AAII Disclaimer
We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith and we accept no liability for any errors or omissions. The full disclaimer can be read here.
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