Banner stacking is turned on.
I would prefer that if any subgroup banner is present then "Registered" should not show.
If non of the subgroup is associated with the user, then Registered should show.
That's not possible - you can't implement banner stacking but exclude one of them.
You may have to look at an alternative approach, such as using a new 'Registered' user group and user group promotions to remove members from that group if they are members of any other group.
