I recently surveyed the banking stock market in 2025, and there are quite a few interesting observations.

So, which bank stocks are actually good? This has always been a question that long-term investors like to dwell on. Whether it’s Thai banking groups such as BBL, KBANK, SCB, KTB, TTB, BAY, or global players such as JPMorgan, Bank of America, HSBC, DBS, ICBC, MUFG, each one has its own story worth following.

Among Thai banks, BBL stands out with a strong financial foundation, large corporate lending, and the widest international network. However, KBANK is one of the leaders in digital banking with K PLUS, which has a very large user base. SCB is transforming into SCBX, going deeper into financial technology. KTB benefits from being a state-owned bank and its “Pao Tang” app that has nationwide coverage. TTB continues to build synergy from its merger. Meanwhile, BAY is supported by Japan’s largest financial group, MUFG.

After looking at the figures, the P/E ratios and dividends of Thai bank stocks are fairly reasonable. Dividends range from 3.5-5.5%, which is satisfying for investors seeking consistent cash flow.

Looking overseas, JPMorgan Chase remains the top financial institution in the United States, with a wide range of businesses from Retail Banking to Investment Banking and Wealth Management. Bank of America is the second-largest, but benefits from high interest rates due to a high proportion of demand deposits. HSBC is a bridge connecting the West and Asia—especially China. DBS is the leader in digital banking in ASEAN. ICBC is the largest bank in the world by assets, but it also comes with specific risks that must be watched. MUFG, the Japanese financial group, may benefit from potential interest rate increases by the Bank of Japan.

Why do bank stocks remain attractive in this period? There are several reasons. First, current interest rates are significantly higher than during COVID, which remains a positive factor for the NIM (Net Interest Margin) of most banks. Second, the dividend payment history of large banks is fairly consistent. Analysts also expect banks to pay more dividends and buy back shares. Third, if the economy continues to recover (Goldman Sachs expects global GDP to grow 3.1% in 2025), demand for loans will expand. Fourth, the valuation of many bank stocks still isn’t expensive when compared by P/E or P/BV against historical averages.

What to keep an eye on is the creation of banking ecosystems. Banks are no longer limited to simply accepting deposits and extending loans; they are developing into platforms that connect a variety of services—from shopping and delivery to insurance and investment—through mobile applications. The goal is a seamless experience within a single platform.

For people in Thailand who want to invest, buying Thai bank stocks on the Stock Exchange is very easy. Just open an account with a broker, deposit funds, and place your buy orders through the application. For overseas stocks, there are several channels, including buying through Thai brokers, or even CFDs if you want short-term speculation and can accept higher risk.

In summary, bank stocks remain an attractive option for those looking for consistent dividends, stability, and growth opportunities driven by digital transformation. No matter which one you invest in, the key is to study the information thoroughly and choose according to your own risk profile.