SF Stifel Financial Corporation

Keefe, Bruyette & Woods, Inc., a leading specialist investment bank to the financial services and fintech sectors, and a wholly owned subsidiary of Stifel Financial Corp. (NYSE: SF), today named 18 U.S. banking institutions, just 5% of all eligible banks, to the coveted 2024 KBW Bank Honor Roll.

KBW congratulates the five returning Honor Roll members, including 1st Source Corporation (SRCE), Axos Financial, Inc. (AX), BancFirst Corporation (BANF), Greene County Bancorp, Inc. (GCBC), and Plumas Bancorp (PLBC). 

In addition, KBW welcomes 13 new companies to the Honor Roll, including: The Bancorp, Inc. (TBBK), Bank of America Corporation (BAC), BV Financial, Inc. (BVFL), Coastal Financial Corporation (CCB), CrossFirst Bankshares, Inc. (CFB), Esquire Financial Holdings, Inc. (ESQ), First Citizens BancShares, Inc. (FCNCA), Magyar Bancorp Inc (MGYR), National Bank Holdings Corporation (NBHC), Northeast Bank (NBN), NorthEast Community Bancorp, Inc. (NECB), Pathward Financial, Inc. (CASH), and Preferred Bank (PFBC).

These 18 elite banks were selected to the KBW Bank Honor Roll based on two central criteria: consistent earnings growth over the past 10 years; and/or top 5% EPS CAGR over the past 10 years.  As with prior Honor Rolls, banks must have more than $500 million in total assets to be eligible.  Only two banks, CCB and CASH, satisfied both the “consistent” and “top 5%” criteria.

“2023 was a year of significant stress on the banking sector as the speed of interest rate increases and deposit outflows contributed to three of the largest bank failures in U.S. history,” said Thomas B. Michaud, KBW President and CEO.  “However, despite these challenges, members of the KBW Bank Honor Roll continued to produce industry-leading and consistent earnings growth for investors, and the market is rewarding these companies with well-deserved premium valuations.”

Over the three-year period ending in 2023, KBW Bank Honor Roll members returned 19.3% compounded annually, outperforming both the KBW Nasdaq Bank Index (BKX, -0.6%) and the KBW Nasdaq Regional Banking Index (KRX, +5.0%).  The KBW Bank Honor Roll members also command premium valuations relative to their banking peers. At year-end 2024, KBW Bank Honor Roll members traded at 1.8x tangible book value on average, a 12% premium to BKX banks and 6% premium to KRX banks.

Christopher McGratty, KBW Head of U.S. Bank Research, added, “Honor Roll banks continue to set themselves apart from their peers, despite a challenging operating environment.  This level of consistency is a driving factor why these select banks not only continue to outperform peers, but also why they have earned a premium valuation.  We congratulate the 2024 KBW Honor Roll banks.”

About KBW KBW (Keefe, Bruyette & Woods, Inc., operating in the U.S., and Stifel Nicolaus Europe Limited, also trading as Keefe, Bruyette & Woods Europe, operating in Europe) is a Stifel company. Over the years, KBW has established itself as a leading independent authority in the banking, insurance, brokerage, asset management, mortgage banking and specialty finance sectors. Founded in 1962, the firm maintains industry‐leading positions in the areas of research, corporate finance, mergers and acquisitions as well as sales and trading in equities securities of financial services companies.

Media Contact Neil Shapiro, (212) 271-3447shapiron@stifel.com