We recently compiled a list of the 13 Best Performing Bank Stocks So Far In 2025. In this article, we are going to take a look at where Banco de Chile (NYSE:BCH) stands against the other bank stocks.
The banking sector seems to be performing well in 2025 as the economy has been stronger than expected. Banking and financial services companies are taking more chances and investing in growth, especially in AI. At the same time, central banks around the world continue to lower interest rates, which is further helping the banks.
READ ALSO: 10 Unrivaled Stocks of the Next 5 Years and 10 Best Low Priced Technology Stocks To Buy Now.
In December 2024, Seana Smith, the anchor of Yahoo Finance’s morning show, pointed out that it might be a good time to buy bank stocks. Heading into 2025, that was the overwhelming consensus among well-known strategists. The reasons for optimism around bank stocks included a strong economy, expected deregulation under President-elect Donald Trump, attractive stock prices, and lower interest rates.
Brian Belski, Chief Investment Strategist and leader of the Investment Strategy Group at BMO Capital Markets, noted in his 2025 outlook that financial stocks are still “drastically unloved,” despite compelling valuations and strong earnings growth expectations. Aadil Zaman from Wall Street Alliance Group mentioned that the Federal Reserve’s expected drop in interest rates would result in greater investment banking activity.
Another reason for the sky-high enthusiasm was that historically, financial stocks have performed well under Republican administrations because of expectations for looser regulation, which creates a more favorable environment for banks.
Methodology
To compile our list of the 13 best-performing bank stocks so far in 2025, we used the Finviz stock screener to look for bank companies with the best year-to-date performance. We narrowed down our list by looking for the best-performing stocks with a market capitalization of more than $2 billion. The 13 best-performing bank stocks so far in 2025 were then ranked in ascending order based on their year-to-date performance as of February 14, 2025.
Additionally, we mentioned the hedge fund sentiment surrounding the best-performing stocks, which was taken from Insider Monkey’s Q3 2024 database of 900 elite hedge funds.
Why do we care about what hedge funds do? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
An ATM machine in a shopping mall with a customer sliding their card and making a transaction.
Banco de Chile (NYSE:BCH)
Year-to-Date Performance: 19.71%
Number of Hedge Fund Holders: 9
Banco de Chile (NYSE:BCH) is a Chilean bank and financial services company that ranks among the best-performing stocks in 2025. The company offers a range of retail and commercial banking services to clients. It is one of the largest banks in Chile in terms of total loans.
A key area of focus for Banco de Chile (NYSE:BCH) is customer satisfaction. The company is focused on a digital strategy as it aims to increase profitability and position itself for long-term growth. In 2024, the bank reported growth in its main digital account ‘FAN’, which achieved 1.7 million customers. Banco de Chile (NYSE:BCH) also introduced new digital accounts like ‘FAN Ahorro’ and a current account for university students as it seeks to further expand its customer base. The company also improved its main banking app by adding new features and integrating its insurance platform to allow customers to manage their policies within the app.
Banco de Chile (NYSE:BCH) is committed to becoming a fast, secure, and fully digital bank. The banking company has digitalized branch sales and service processes to encourage greater adoption of online channels. These initiatives have helped the company reduce its branch network by 12% in 2024. Headcount also declined by 5% as Banco de Chile seeks to optimize resources for overall efficiency and greater profitability.
Overall, BCH ranks 11th on our list of the best-performing bank stocks so far in 2025. While we acknowledge the potential of BCH as an investment, our conviction lies in the belief that some 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 BCH 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.
Disclosure: None. This article is originally published at Insider Monkey.
