Cramer's Stop Trading! The Real Story Behind the Rise of Regional Banks (4/5/10)

by: Miriam Metzinger

Stocks discussed on Jim Cramer's Stop Trading TV Segment, Monday April 5.

Regions Financial (NYSE:RF), Fifth Third Bancorp (NASDAQ:FITB), Zions Bancorp (NASDAQ:ZION), Principal Financial Group (NYSE:PFG), Lincoln National (NYSE:LNC), Peabody (BTU)

The upgrade in regional banks is really a story about the recovery of commercial real estate, which was considered to be a dangerous area for investment. However, with Lincoln National (LNC) and Principal Financial Group (PFG) saying that commercial real estate is no longer headed for a crash, Cramer thinks Regions Financial (RF), Zions Bancorp (ZION) and Fifth Third Bancorp (FITB) will be the main beneficiaries from the trend. He reminded viewers that regional banks are "a huge part of the market."

As problems with nuclear energy arise and plant closings loom, Cramer thinks Peabody Energy (BTU) is a buy. Chinese demand may ensure that coal remains king.


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