10 Worst Performing Bank Stocks in 2024

1. SHF Holdings, Inc. (NASDAQ:SHFS)

Price: $0.43

Number of Hedge Fund Holders: 3

1-Year Price Performance: -56.14%

SHF Holdings, Inc. (NASDAQ:SHFS) is a company that specializes in providing financial and banking services to businesses in the cannabis industry. The company enables cannabis-related businesses to access traditional banking services like checking accounts and loans through partner banks. It also assists in sourcing and managing loans specifically for cannabis businesses, which often face challenges accessing credit from traditional banks due to legal complexities.

SHF Holdings, Inc. (NASDAQ:SHFS) has been facing some headwinds due to the slowdown in the cannabis industry. The increased pricing pressure on the industry along with pricing pressures and increased competition due to new state legalizations has been a consistent challenge. However, regardless of this, the company posted a positive fiscal third quarter of 2024. It grew its net income by 147% year-over-year to $354,000 from a net loss of $748,000 in Q3 2023. Moreover, the loan interest income also grew by 48% during the same time. Management expects continued growth driven by increasing legalization at state levels. It is one of the worst-performing bank stocks in 2024 as it has fallen by over 56% over the past 12 months.

While we acknowledge the potential of SHF Holdings, Inc. (NASDAQ:SHFS) to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than SHFS but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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