“Bank shares are cheap compared to the rest of the market. Companies in the S&P financial sector are selling at roughly 12.8 times estimated earnings over the next 12 months, compared with 16.7 times forward earnings for the broader S&P 500,” according to Reuters.
Sanchez told CNBC that margins are improving for banks, a trait she calls a “bright spot” for the group at a time when margins are contracting for the rest of the S&P 500.
Financial Select Sector SPDR
