How SVB Financial Beat Earnings Estimates for Q1 2022
It's been a tough year so far amid fears of economic slowdown, inflation, and the Federal Reserve's promise of higher interest rates. Even the financial services and banking sector, which tends to benefit when interest rates go up (since it makes its money off interest-bearing loans) has been struggling. The Dow Jones U.S. Banks Index is down 17% so far in 2022 and down over 20% from its all-time high.
SVB Financial Group (NASDAQ: SIVB) is no exception to the recent stock market pain. Shares of the "innovation economy" financial services company are down 26% so far this year, and off 33% from all-time highs reached in late 2021. Nevertheless, first-quarter 2022 earnings handily beat expectations despite market turmoil. This remains my top bank stock to buy for 2022.
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Source Fool.com
