Wells Fargo's New Bank Analyst Mike Mayo Gets Busy

After the close of trading, Wells Fargo's popular bank analyst Mike Mayo launched coverage on a host of bank stocks after recently moving over from CLSA.

Mayo said his top five picks in the group are:

• Citigroup (NYSE: C) as he notes estimates double in the stock over 4-5 years.
• State Street (NYSE: STT), saying the first time in a decade, likely to meet targets which are industry’s highest.
• SunTrust (NYSE: STI) is the best regional bank franchise, in their view.
• Bank of America (NYSE: BAC) is fully benefiting from national banking after shortfalls in ‘90s and ‘00s.
• JP Morgan (NYSE: JPM), as he is calling for the the biggest modern day risk adjusted ROE by 2020 .

In all, Mayo issued coverage on 18 bank stocks:

Global Banks

• Citigroup (NYSE: C) - Outperform, $90
• Bank of America (NYSE: BAC) - Outperform, $30
• JP Morgan (NYSE: JPM) - Outperform, $110
• Goldman Sachs (NYSE: GS) - Outperform, $265
• Morgan Stanley (NYSE: MS) - Neutral, $48

Trust Banks

• State Street (NYSE: STT) - Outperform, $115
• Bank of America (NYSE: BK) - Market Perform, $55
• Northern Trust (NYSE: NTRS) - Market Perform, $90

Large Regional Banks

• SunTrust Banks (NYSE: STI) - Outperform, $70
• Zions Bancorp (NASDAQ: ZION) - Outperform, $56
• BB&T Corp. (NYSE: BBT) - Market Perform, $44
• Comerica (NYSE: CMA) - Market Perform, $73
• Fifth Third Bancorp (NASDAQ: FITB) - Market Perform, $27
• KeyCorp (NYSE: KEY) - Market Perform, $19
• M&T Bank Corp. (NYSE: MTB) - Market Perform, $170
• PNC Financial Services (NYSE: PNC) - Market Perform, $119
• Regions Financial (NYSE: RF) - Market Perform, $16
• U.S. Bancorp (NYSE: USB) - Market Perform, $56

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