2 Red-Hot Bank Stocks Rallying Into 2026

By Laura McCandless | December 23, 2025, 3:16 PM

Overall, the banking sector has had a decent year, with the Invesco KBW Bank ETF (KBWB) up 31.6% in 2025, while the SPDR S&P Regional Banking ETF (KRE) sports a 10.9% year-to-date gain. 

Individually, Citigroup Inc (NYSE:C) is one of the best performing bank stocks, sporting a 70.4% year-to-date lead. It's safe to say the company's restructuring efforts, which started in late 2023, are paying off this year. The stock has been rallying since mid November with support from the ascending 10-day moving average. In fact, C has only suffered two negative sessions since Nov. 21. Today, the equity notched a fresh 17-year high of $120.27. 

Citigroup Dec23

Fifth Third Bancorp (NASDAQ:FITB) has also been rallying since mid November, up 10.8% since the start of this month and sporting a 13.9% year-to-date lead. Last seen down 0.1% at $48.17, the equity is just shy of its Nov. 25, 2024 two-year high of $49.07. Looking ahead, Fifth Third's acquisition of Comerica (CMA), which will make the Cincinnati-based bank the ninth largest in the country, is expected to close in the first quarter of 2026. 

FITB Dec23

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