10 Best Bank Stocks With High Dividends

6. HSBC Holdings plc (NYSE:HSBC)

Dividend Yield as of December 6: 4.16%

Number of Hedge Fund Holders: 14

HSBC Holdings plc (NYSE:HSBC), ranking 6th on our list of the best bank stocks, provides a wide range of financial services, including retail banking, wealth management, global asset management services, commercial lending, investment management, and private wealth solutions.

Although HSBC Holdings plc (NYSE:HSBC) is a globally diversified company, its operations are largely driven by one region: Asia, which accounts for about half of its revenue. The other half of HSBC’s business comes from various countries, generating income through services like commercial banking and wealth management. Recently, the company has also taken steps to further strengthen its focus on Asia.

HSBC Holdings plc (NYSE:HSBC)’s Q3 revenue came in at $17 billion, up $1.1 billion from the same quarter last year and $0.3 billion higher than the previous quarter, showing positive momentum in the business. The bank also announced $4.8 billion in shareholder returns, which includes a third interim dividend of $0.10 per share and a share buyback of up to $3 billion. HSBC plans to wrap up the buyback ahead of full-year results in February.  After a steady third quarter and with a low PE ratio, the stock looks undervalued and ready for growth.

HSBC Holdings plc (NYSE:HSBC) is making big changes to streamline its operations and tackle concerns about growth in a challenging market. They’re planning senior-level job cuts, aiming to save $300 million, and have reorganized their banking structure by merging commercial and institutional banking under Michael Roberts, while creating a new wealth division led by Barry O’Byrne. Starting January 2025, the bank will split into East and West divisions, with Hong Kong and the UK operating independently.

Billionaire Ken Griffin’s Citadel Investment Group is the leading position holder in HSBC, owning 687,682 shares worth $31 million as of September 2024. Overall, HSBC Holdings plc (NYSE:HSBC) stock was held by 14 hedge funds in the third quarter.