If you are researching banks independently, use these core metrics recommended by City Index and Value Research Online :

: Measures the spread between what the bank earns on loans and what it pays on deposits. A rising NIM usually signals higher profitability in high-interest environments.

: Often the "anchor metric" for banks; a lower ratio (typically near or below 1.0) can suggest the stock is undervalued relative to its actual assets.

: Recognized as the top-performing bank stock in the S&P 500 over the past year, with a 60.6% return.