Wall Street has issued downbeat forecasts for the stocks in this article. These predictions are rare - financial institutions typically hesitate to say bad things about a company because it can jeopardize their other revenue-generating business lines like M&A advisory.
At StockStory, we look beyond the headlines with our independent analysis to determine whether these bearish calls are justified. Keeping that in mind, here are two stocks where you should be greedy instead of fearful and one where the outlook is warranted.
One Bank Stock to Sell:
Triumph Financial (TFIN)
Consensus Price Target: $68.80 (-9.2% implied return)
Originally focused on traditional banking before pivoting to serve the transportation sector, Triumph Financial (NYSE: TFIN) provides specialized financial services to the trucking industry, including payments processing, factoring, banking, and data intelligence solutions.
Why Do We Avoid TFIN?
- Annual net interest income growth of 2.9% over the last five years was below our standards for the banking sector
- Concessions to defend its market share have ramped up over the last two years as its net interest margin decreased by 116.2 basis points (100 basis points = 1 percentage point)
- Earnings per share fell by 22.7% annually over the last five years while its revenue grew, showing its incremental sales were much less profitable
At $75.77 per share, Triumph Financial trades at 1.9x forward P/B. To fully understand why you should be careful with TFIN, check out our full research report (it’s free).
Two Bank Stocks to Buy:
ServisFirst Bancshares (SFBS)
Consensus Price Target: $94.33 (12.2% implied return)
Founded in 2005 with a focus on serving underserved mid-sized businesses, ServisFirst Bancshares (NYSE: SFBS) is a bank holding company that provides commercial banking services to businesses and professionals through its subsidiary ServisFirst Bank.
Why Are We Bullish on SFBS?
- Impressive 17.5% annual revenue growth over the last two years indicates it’s winning market share this cycle
- Net interest margin grew by 53.2 basis points (100 basis points = 1 percentage point) over the last two years, giving the firm more chips to play with
- Annual tangible book value per share growth of 13.1% over the last five years was superb and indicates its capital strength increased during this cycle
ServisFirst Bancshares is trading at $84.08 per share, or 2.3x forward P/B. Is now the right time to buy? See for yourself in our comprehensive research report, it’s free.
Nicolet Bankshares (NIC)
Consensus Price Target: $174.20 (6.8% implied return)
Starting as Green Bay Financial Corporation in 2000 before rebranding in 2002, Nicolet Bankshares (NYSE: NIC) is a regional bank holding company that provides commercial, agricultural, and consumer banking services primarily in Wisconsin, Michigan, and Minnesota.
Why Should You Buy NIC?
- Impressive 21.9% annual net interest income growth over the last five years indicates it’s winning market share this cycle
- Net interest margin expanded by 65 basis points (100 basis points = 1 percentage point) over the last two years, providing additional flexibility for investments
- Balance sheet strength has increased this cycle as its 10.2% annual tangible book value per share growth over the last five years was exceptional
Nicolet Bankshares’s stock price of $163.05 implies a valuation ratio of 1.4x forward P/B. Is now a good time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time.
Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.
