"This is a once-in-a-generation opportunity in the financials," says Mark Boyar, head of the New York investment firm bearing his name. Boyar is partial to such stocks as JPMorgan Chase (JPM), Lehman Brothers (LEH), Travelers (TRV) and Bank of New York Mellon (BK). The last time financial stocks were hit so badly was in 1990, when the group fell 24%. That was followed by a 43% gain in 1991.

The big outlier in the brokerage sector remains Lehman Brothers, the only major firm whose stock trades way below book value. At 18, the shares trade for less than 60% of its $33-a-share book value. With the stock up sharply from its low Monday of $12, the buyout talk that briefly surfaced last week is apt to fade. Given its access to government borrowing facilities and its bolstered capital base, Lehman looks like a survivor and its stock could be markedly higher by year end.

"This is a once-in-a-generation opportunity in the financials," says Mark Boyar, head of the New York investment firm bearing his name. Boyar is partial to such stocks as JPMorgan Chase (JPM), Lehman Brothers (LEH), Travelers (TRV) and Bank of New York Mellon (BK). The last time financial stocks were hit so badly was in 1990, when the group fell 24%. That was followed by a 43% gain in 1991.

"This is a once-in-a-generation opportunity in the financials," says Mark Boyar, head of the New York investment firm bearing his name. Boyar is partial to such stocks as JPMorgan Chase (JPM), Lehman Brothers (LEH), Travelers (TRV) and Bank of New York Mellon (BK). The last time financial stocks were hit so badly was in 1990, when the group fell 24%. That was followed by a 43% gain in 1991.

Retired mutual-fund star Michael Price has criticized preferreds as having "$1 of upside and $25 of downside" if investors paid the original price, because most issues can be redeemed by the company at $25 five years after issuance. This caps the appreciation potential. But at today's prices, preferred shares are much more attractive. Someone buying Merrill Lynch's preferred M at 16 has almost nine points, or 50%, upside to $25.

Regional banks, which had been pummeled until a sharp rebound that started Wednesday, have deposit bases that are so valuable that buyers of banks historically have paid sizable premiums to get them. Deposits now are being accorded little or no value throughout the banking industry as many institutions, including SunTrust Banks (STI), Marshall & Isley (MI), Comerica (CMA), Wachovia (WB) and Zions Bancorporation (ZION) trade around their tangible book values -- a conservative measure that excludes goodwill and other intangible assets.

Regional banks, which had been pummeled until a sharp rebound that started Wednesday, have deposit bases that are so valuable that buyers of banks historically have paid sizable premiums to get them. Deposits now are being accorded little or no value throughout the banking industry as many institutions, including SunTrust Banks (STI), Marshall & Isley (MI), Comerica (CMA), Wachovia (WB) and Zions Bancorporation (ZION) trade around their tangible book values -- a conservative measure that excludes goodwill and other intangible assets.

Regional banks, which had been pummeled until a sharp rebound that started Wednesday, have deposit bases that are so valuable that buyers of banks historically have paid sizable premiums to get them. Deposits now are being accorded little or no value throughout the banking industry as many institutions, including SunTrust Banks (STI), Marshall & Isley (MI), Comerica (CMA), Wachovia (WB) and Zions Bancorporation (ZION) trade around their tangible book values -- a conservative measure that excludes goodwill and other intangible assets.