Fed Rate Hike Boosts U.S. Banks: Winners Emerge Amid Interest Rate Shift

The recent 0.25% hike in interest rates by the Fed has pushed policy into territory that can strain borrowers but reshape returns for banks and insurers.

As a result, opportunity and risk live for investors as winners and laggards emerge.

Three U.S. bank stocks exposed to this move are Burke & Herbert Financial Services (BHRB), HomeTrust Bancshares (HTB), and Citizens & Northern (CZNC).

Burke & Herbert Financial Services, a long-established community bank in Alexandria, Virginia, generates about $360 million from traditional lending, deposits, and wealth services.

The company's market value is approximately $1.4 billion, with most of its money tied to the spread between what it earns on loans and securities and what it pays on deposits.