Let’s start by stating the obvious – the recent banking meltdown certainly isn’t a positive for investors. When SVB Financial (NADSAQ:SIVB) and other banks failed, investors confidence in the financial sector has taken a hit. Accordingly, while a buying opportunity has been created in specific companies, serious concerns remain.
That’s because while risks are high right now, there are other reasons investors in the banking sector may want to remain calm. The FDIC has stepped in, guaranteeing that all deposits, even those beyond the FDIC $250,000 insured deposit level, would be covered in affected banks. That has quelled the contagion risk for the time being.
With things calming down somewhat, let’s take a look at three banking stocks to buy, for those looking to capture some of the upside potential of these beaten-down banks.
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