Bank stocks are off to a robust start in 2013 with the SNL Bank stock index increasing 24.4% while the SNL Index for Small Banks (less than $500 MM in total assets) nearly doubled. The increase is likely due to a combination of the “January Effect”, the resolution of the fiscal cliff and tax uncertainty along with a sense that economic growth continues at a modest pace.
Bank stocks are performing on a stronger economic footing now that asset quality has improved and banks are generally profitable. Banks stocks have consistently traded in excess of tangible book value over the past six months with the banks in the Southeast continually lagging the other regions at a slight premium over tangible book (103.3%) at January 30, 2013 while the Southwest region continued its trend of leading tangible book pricing (139.2%). Below, you will find more regional bank pricing and performance information. For M&A pricing click here.
More information regarding nationwide M&A activity can be found here.