10 Best Local Bank Stocks to Buy

4. Citizens Financial Group Inc (NYSE:CFG)

Number of Hedge Fund Investors: 46

Citizens Financial Group Inc (NYSE:CFG), through its Consumer and Commercial banking segments, offers banking products and services to individuals, small businesses, middle-market companies, corporations, and institutions in the US. Analysts at Stephens & Co. maintain an Overweight rating for the stock with the price target stable at $53. CFG is looking to bolster its wealth management business in southern Florida by bringing in industry veterans who have a combined experience of more than six decades.

The performance of Citizens Financial Group Inc (NYSE:CFG) has been steady, with revenue in line with Street expectations. The loan demand continued to face pressure but there has been an expansion of its Net Interest Margin to the tune of 10 basis points. Private banking and fee-based business will be the focal point of the company as it looks to reduce its non-core loans. Credit costs are also expected to decrease with better underwriting standards. CFG offers a 3.5% forward dividend yield and a decent capital return on its stock based on analyst estimates.