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10 Bank Stocks Failing Our Test

These 10 bank stocks aren't at the top of the heap

The results of the Federal Reserve’s “stress tests” for banks show a number of financial stocks on the mend — but also some stocks that aren’t winning any friends over at the central bank.

I watch more than 5,000 publicly traded companies with my Portfolio Grader tool, ranking companies by a number of fundamental and quantitative measures. After performing my own “stress tests” this week, I’ve identified 10 financial stocks to sell.

Each one of these stocks gets a “D” or “F” according to my research, meaning it is a “sell” or “strong sell.” Here they are:

Goldman Sachs Group Inc. (NYSE:GS) is a bank holding and a financial holding company based in New York City. GS stock has posted a loss of 22% in the last year, compared to a gain of 9% for the Dow Jones in the same time. GS stock gets an “F” grade for sales growth, a “D” grade for operating margin growth, a “D” grade for earnings growth, a “D” grade for earnings momentum, a “D” grade for the magnitude in which earnings projections have increased over the past months, and a “D” grade for return on equity. For more information, view my complete analysis of GS stock.

UBS (NYSE:UBS) offers wealth management, asset management and investment banking services. In the last year, UBS is down 24%. UBS stock gets an “F” grade for sales growth, a “D” grade for operating margin growth, a “D” grade for earnings growth, a “D” grade for earnings momentum, an “F” grade for its ability to exceed the consensus earnings estimates on Wall Street, and a “D” grade for the magnitude in which earnings projections have increased over the past months. For more information, view my complete analysis of UBS stock.

Credit Suisse Group (NYSE:CS) is a global financial services company that posted a significant loss of 34% in the last 12 months. Credit Suisse stock gets an “F” grade for sales growth, a “D” grade for operating margin growth, a “D” grade for earnings growth, an “F” grade for earnings momentum, a “D” grade for the magnitude in which earnings projections have increased over the past months, and a “D” grade for return on equity. For more information, view my complete analysis of CS stock.

Deutsche Bank (NYSE:DB) is a global investment bank that offers various investment, financial and related products and services. Since last March, DB stock is down 18%. DB stock gets an “F” grade for sales growth, an “F” grade for its ability to exceed the consensus earnings estimates on Wall Street, and a “D” grade for the magnitude in which earnings projections have increased over the past months. For more information, view my complete analysis of DB stock.

Morgan Stanley (NYSE:MS) provides financial services and products to corporations, governments, financial institutions and individuals. MS stock has slid 33%  in 2011. MS stock gets a “D” grade for sales growth, a “D” grade for operating margin growth, an “F” grade for earnings growth, a “D” grade for the magnitude in which earnings projections have increased over the past months, and a “D” grade for return on equity. For more information, view my complete analysis of MS stock.

Bank of New York Mellon Corp. (NYSE:BK) is another global financial services company facing a 20% loss in the last year. Mellon  stock gets an “F” grade for sales growth, a “D” grade for earnings growth, and a “D” grade for the magnitude in which earnings projections have increased over the past months. For more information, view my complete analysis of BK stock.

Charles Schwab Corp. (NYSE:SCHW) is involved with securities brokerage, banking and related financial services. While the Dow Jones has posted a 9% gain in the last year, SCHW is down 22%. Schwab stock gets a “D” grade for sales growth, a “D” grade for earnings momentum, a “D” grade for its ability to exceed the consensus earnings estimates on Wall Street, and a “D” grade for the magnitude in which earnings projections have increased over the past months. For more information, view my complete analysis of SCHW stock.

Ameriprise Financial (NYSE:AMP) provides its customers with financial planning, wealth management, retirement, asset management, annuities and insurance. Since last March, AMP stock has dipped 7%. Ameriprise gets a “D” grade for sales growth, a “D” grade for earnings growth, a “D” grade for earnings momentum, and a “D” grade for its ability to exceed the consensus earnings estimates on Wall Street in my Portfolio Grader tool. For more information, view my complete analysis of AMP stock.

Northern Trust (NASDAQ:NTRS) is known for its asset servicing, fund administration, asset management, fiduciary and banking solutions. The broader markets may be up, but NTRS is down 11% since last year. Northern Trust gets a “D” grade for sales growth, a “D” grade for operating margin growth, a “D” grade for earnings growth, and a “D” grade for its ability to exceed the consensus earnings estimates. For more information, view my complete analysis of NTRS stock.

TD Ameritrade (NASDAQ:AMTD) works with retail investors, traders and independent registered investment advisers. Ameritrade rounds out the list with a loss of 9% in the last year. AMTD stock gets a “D” grade for sales growth. For more information, view my complete analysis of AMTD stock.

Get more analysis of these picks and other publicly-traded stocks with Louis Navellier’s Portfolio Grader tool, a 100% free stock-rating tool that measures both quantitative buying pressure and eight fundamental factors.


Article printed from InvestorPlace Media, http://investorplace.com/2012/03/10-bank-stocks-failing-the-test-gs-ubs-cs-db-ms-bk-schw-amp-ntrs-amt/.

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