Big financials have been perking up lately and may be ready for an even greater run higher.
The financial sector was the top-performing major S&P category last week, up 1.6 percent. While the stocks are flattish Monday, traders see more interest in the group as a whole. For May so far, the group is up 2.5 percent, though they are basically flat for the year.
"It's a kind of rotation. Banks have been underperforming the market for so long, and their earnings continue to rise. All of a sudden, the valuations on the stocks are very, very low relative to other stocks in the market," said Richard Bove, bank analyst at Rafferty Capital.