Social media mentions rose 33% over the past 24h. A good entry point now to add to a position. So, when comparing one stock to another in a different industry, it's best make relative comparisons to that stock's respective industry values. There is one other interesting wrinkle to the prospects for NII and NIM at Bank of America. The company employs 208,000 workers across the globe. This payout ratio is at a healthy, sustainable level, below 75%. Read the latest stock experts ratings for Bank of America. Others look for those that have lagged the market, believing those are the ones ripe for the biggest increases to come. 3. Is Bank of America a good dividend stock? Amount. Other financial companies, particularly low growth property and casualty insurance companies like Travelers (TRV), have been buying back shares for years. Bank of America Stock Is a Buy Warren Buffett is a big booster of Bank of America stock. This ratio essentially compares the P/E to its growth rate, thus, for many, telling a more complete story than just the P/E ratio alone. Earnings estimate revisions are the most important factor influencing stocks prices. That seems to be in the process of a major shift. One of its most severe critics at that time was leading bank analyst Mike Mayo. This time period essentially shows you how the consensus estimate has changed from the time of their last earnings report. When I sum up Bank of America, I see a company which is more solid and stable than the lingering memory of 2008 has previously allowed the market to think. Another 100 basis point parallel increase in rates, per the above slide, would eventually add up to another $10.5 billion. This buyback authorization permits the company to repurchase up to 7.6% of its shares through open market purchases. Remember, eToro's fractional share buying allows you to buy partial shares of stocks and ETFs. As a result of this somewhat surprising phenomenon the percentage of deposits at BAC now committed to loans is at 50% - the lowest level in history. Get up to $1,000 when you fund a new account within 30 days. It is a trending stock that is worth watching. Looking to buy Bank of America Stock? So, he has been adding to Goldman Sachs, Bank of American and Morgan Stanley. Stephen Weiss, Founder, Short Hills Capital Partners, The Weekly Buzzing Stocks by Billy Kawasaki. The industry with the best average Zacks Rank would be considered the top industry (1 out of 265), which would place it in the top 1% of Zacks Ranked Industries. We've been able to raise minimum wages, while we've kept expenses down. So, as with other valuation metrics, it's a good idea to compare it to its relevant industry. Trades at 1.2x book. BAC has outstanding management, led by Brian Moynihan, controls costs carefully, and has done well in the daunting environment of low economic growth and low rates, both now receding. The loan was structured as preferred stock with options to buy 700 million Bank of America common shares at $7 per share. Half of BAC's industry-leading $1.8 trillion (and growing) deposit base is simply sitting there on the books uninvested. There are currently 5 hold ratings and 7 buy ratings for the stock. A value under 20 is generally considered good. If a genie had given its CEO one wish, this might have been it. Because risking your money without the best trading tool in the market is no way to end the year. They traded at low P/E ratios which placed the sector at or near the bottom of all sectors in market valuations. In addition to all of the proprietary analysis in the Snapshot, the report also visually displays the four components of the Zacks Rank (Agreement, Magnitude, Upside and Surprise); provides a comprehensive overview of the company business drivers, complete with earnings and sales charts; a recap of their last earnings report; and a bulleted list of reasons to buy or sell the stock. Those who have to go to the office have massive social separation of 15-20 feet. Start trading with a $0 minimum deposit. That hostile crowd was an early warning that BAC had a long journey ahead to reestablish trust. Zacks Premium - The way to access to the Zacks Rank. You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. To see all exchange delays and terms of use please see Barchart's disclaimer. Whatever eventuates, banks appear leaner from cost cutting during hard times. The 52 Week Price Change displays the percentage price change over the most recently completed 52 weeks (260 trading days). The Score for BAC is 53, which is 6% above its historic median score of 50, and infers lower risk than normal. This is a medium-term price change metric. A company with a P/E ratio of 40 and a growth rate of 50% would have a PEG ratio of 0.80 (40 / 50 = 0.80). 2022 Market data provided is at least 10-minutes delayed and hosted by Barchart Solutions. It's used by investors as a measure of financial health. The scores are based on the trading styles of Value, Growth, and Momentum. BAC stock isn't cheap, nor is it expensive. In the aggregate the PPP recipients committed about 70% of the money received to bank deposits or CDs. In this example, the one with the P/E of 40 is the better bargain because it is selling at a discount to its growth rate. Each of the company logos represented herein are trademarks of Microsoft Corporation; Dow Jones & Company; Nasdaq, Inc.; Forbes Media, LLC; Investor's Business Daily, Inc.; and Morningstar, Inc. Real-time analyst ratings, insider transactions, earnings data, and more. Excess capital. Despite the overwhelmingly bearish stock market commentary towards 2023, there is still one factor that could drive upside. BAC has a giant deposit base, their last quarter was solid, and they have best technology in the bank business. It allows the user to better focus on the stocks that are the best fit for his or her personal trading style. Sign up for MarketBeat All Access to gain access to MarketBeat's full suite of research tools: You have already added five stocks to your watchlist. Bank of America declared a quarterly dividend on Wednesday, October 19th. Plus, BAC info will be updated daily in your Zacks.com Portfolio Tracker - also free. See what's happening in the market right now with MarketBeat's real-time news feed. Latest market close. A total of 25 analysts have issued BAC recommendations. After the drastic fall in 2009, the stock has risen steadily with the market. Since there is a fair amount of discretion in what's included and not included in the 'ITDA' portion of this calculation, it is considered a non-GAAP metric. problem with the site, feel free to email us at : I can't make the excuse that I didn't have time to think because the stock didn't react immediately. Owns great businesses. Real time prices by BATS. The . The change is made all the more important the closer proximity it is to the stock's earnings date since it is generally believed that the most recent estimates are the most accurate since it's using the most up-to-date information leading up to the report. Cash Flow is net income plus depreciation and other non-cash charges. NYSE:BAC or BAC-N. Bank of America employs 213,000 staff and has a trailing 12-month revenue of around $91.5 billion. Stockchase, in its reporting on what has been discussed by individuals on business They are highly susceptible to selling themselves a story about adding depositors or improving other business units with scale, synergies, and "cost reductions" to be achieved with an acquisition. Our daily ratings and market update email newsletter. Image source: Bank of America. Since then, BAC shares have decreased by 27.2% and is now trading at $32.38. Owns 10% of all assets in the US. Some investors seek out stocks with the best percentage price change over the last 52 weeks, expecting that momentum to continue. Good long-term hold. The advice algorithm takes into account all of Bank Of America's available fundamental, technical, and predictive indicators you will find on this site. This payout ratio is at a healthy, sustainable level, below 75%. Moynihan was recently interviewed by Barrons' for a second time within two weeks and the occasion was his co-authorship (with World Economic Forum executive director Klaus Schwab and other CEOs) of a letter urging the business community to pay attention to a variety of stakeholders not just shareholders. Bank of America was recommended as a Top Pick by GDP growth Sometimes finding great stocks means playing the numbers game. Does Bank of America have any subsidiaries? ROE values, like other values, can vary significantly from one industry to another. This is also referred to as the cash yield. If a company's net margin is 15%, for example, that means its net income (or profit) is 15 cents for every $1 of sales the company makes. Their BAC share price forecasts range from $33.00 to $55.00. The risks to all banks as well as Bank of America also include some that are important and some that are well recognized but less important: Much of the rally in Bank of America stock beginning in October 2020 has been driven by increasing evidence of economic strength. The business's revenue was up 7.6% compared to the same quarter last year. Today, Bank of America Corporation provides banking and financial services for individuals, small businesses, institutions, corporations, and governments worldwide. Learn more about Zacks Equity Research reports. Shares buyback plans are often an indication that the company's board believes its stock is undervalued. The sum of the last four quarters is $43.86 billion, so an increase of 100 basis points producing NII of $10.5 billion increases Net Interest Income by about 24%. Though he's bearish long term, an investor can nibble away here. The Earnings Yield (also known as the E/P ratio) measures the anticipated yield (or return) an investment in a stock could give you based on the earnings and the price paid. So it's a good idea to compare a stock's debt to equity ratio to its industry to see how it stacks up to its peers first. A company with an ROE of 10%, for example, means it created 10 cents of assets for every $1 of shareholder equity in a given year. 1 in U.S. deposit market share, according to the Federal Deposit Insurance Corp. (FDIC), and those deposits keep growing, with more than $1.5 trillion at the end of the . All of those stocks are classified into three groups: Sector, M Industry and X Industry. Inexpensive valuation of 10x earnings. A simple, equally-weighted average return of all Zacks Rank stocks is calculated to determine the monthly return. We've been able to open up branches in many new cities. Research, Inc. nor its Information Providers can guarantee the accuracy, To me it ranks with JPMorgan as the two top quality choices among the large banks. It's indisputable that it is now a lot more expensive than it was five months ago. While the one year change shows the current conditions, the longer look-back period shows how this metric has changed over time and helps put the current reading into proper perspective. Rates probably won't stay exactly where they are through 2021, although they have leveled off for the moment, but they are at least as likely to increase as to decline. It's helpful to remember that it raised its dividend and manufactured 7% annual growth via buybacks through two years of a low rate regime. Zacks Rank Education -- Learn more about the Zacks Rank Their last report was positive, talking about strong loan growth. As of 2022, Bank of America serves approximately 67 million consumer and small business clients with approximately 4,200 retail financial centers. The case that Bank of America should outperform the market going forward is based in part on the expectation that financials are among the groups most highly leveraged to economic growth, and that BAC is perhaps the financial most likely to have earnings explode to the upside and continue growing from a higher base. A higher number is better than a lower one as it shows how effective a company is at generating revenue from its assets. for help on deciding if you should buy, sell or hold the stock. about BAC-N. Popular online brokerages with access to the U.S. stock market include WeBull, Vanguard Brokerage Services, TD Ameritrade, E*TRADE, Robinhood, Fidelity, and Charles Schwab. Compare your portfolio performance to leading indices and get personalized stock ideas based on your portfolio. Create a FREE account to see the latest opinions & get alerts about when to buy, Shares Dollars. Bank of America stock is down more than 14% this year. If you believe that the next few years will be a time of renormalization which started at the pandemic low, it seems entirely possible that Bank of America's earnings will absolutely explode. By . Value investors will typically look for stocks with P/E ratios under 20, while growth investors and momentum investors are often willing to pay much more. Bear in mind that the above chart was part of a year-end report. NASDAQ data is at least 15 minutes delayed. There's also a general "as against what" issue. Bank of America is up roughly 60% from average October prices before the recent rally. Over-reserves will be rolled into earnings next year. The loan was structured as preferred stock with options to buy 700 million Bank of America common shares at $7 per share. It's pricier now, but the arguments for owning it still apply. Zacks Rank Education - Learn about the Zacks Rank, Zacks Rank Home - Zacks Rank resources in one place, Zacks Premium - The only way to fully access the Zacks Rank. Moynihan called it one of the bank's many employee-friendly policies. Paul Harris and Gordon Reid recently chose it as a TOP PICK. The bank also operates more than 16,000 ATMs and digital banking platforms with approximately 41 million active users. Zacks Rank Education - Learn about the Zacks Rank, Zacks Rank Home - Zacks Rank resources in one place, Zacks Premium - The only way to fully access the Zacks Rank. This increase in reserves produced a one-time reduction of about $8 billion in reported 2020 earnings and should produce a future one-time pop of almost that much, perhaps in 2021. How expensive is Bank of America? On 2022-12-09, Bank of America (BAC-N) Bank of America (NYSE:BAC) has a market capitalization of $259.77 billion and generates $93.85 billion in revenue each year. Growth traders and investors will tend to look for growth rates of 20% or higher. This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply. Bank of America prudently kept most of the sudden bump of cash sitting in deposits, undoubtedly taking into account the unknown degree to which to which depositors might ultimately decide to withdraw money to spend. December 11, 2022|americanbankingnews.com, December 7, 2022|americanbankingnews.com. It allows the user to better focus on the stocks that are the best fit for his or her personal trading style. Visit www.zacksdata.com to get our data and content for your mobile app or website. That's significant but not necessarily disastrous in context of the many things currently going right at BAC. Bear in mind further that this 100 basis points, if it happens, would come on top of the 70 basis points which have been added already in 2021. ROE is always expressed as a percentage. It's calculated as earnings divided by price. It trades at a bit under 16 times forward earnings (as against a 14 forward P/E for JPM) but it would appear to have a good shot at faster earnings growth over the next few years than JPM. The swap into banks proved to be one of my better decisions. I like to travel. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service. An industry with a larger percentage of Zacks Rank #1's and #2's will have a better average Zacks Rank than one with a larger percentage of Zacks Rank #4's and #5's. In contrast, the net income that goes into the earnings portion of the P/E ratio does not add these in, thus artificially reducing the income and skewing the P/E ratio. ZacksTrade and Zacks.com are separate companies. Using this item along with the 'Current Cash Flow Growth Rate' (in the Growth category above), and the 'Price to Cash Flow ratio' (several items above in this same Value category), will give you a well-rounded indication of the amount of cash they are generating, the rate of their cash flow growth, and the stock price relative to its cash flow. Growth Style - Learn more about the Growth Style. When is Bank of America's next earnings date? Momentum Style - Learn more about the Momentum Style. . Projected EPS Growth looks at the estimated growth rate for one year. Stockchase rating for Bank of America is calculated according A yield of 8.57% also means 8.57 cents of earnings for $1 of investment. That means these items are added back into the net income to produce this earnings number. Both statements, of course, come with the usual caution and are not to be taken as a guarantee. On the front end it's 160, 175 basis points lower.". Despite all that happened in 2020 its deposit base continued to grow with a huge bump deriving from PPP payments to individuals of $600 and then $1400. As the name suggests, it's calculated as sales divided by assets. -0.01 (-0.03%) Bank of America pays a meaningful dividend of 2.72%, higher than the bottom 25% of all stocks that pay dividends. Like the earnings yield, which shows the anticipated yield (or return) on a stock based on the earnings and the price paid, the cash yield does the same, but with cash being the numerator instead of earnings. Within each Score, stocks are graded into five groups: A, B, C, D and F. As you might remember from your school days, an A, is better than a B; a B is better than a C; a C is better than a D; and a D is better than an F. As an investor, you want to buy stocks with the highest probability of success. This suggests a possible upside of 36.1% from the stock's current price. 7:58 PM ET. Also, by looking at the rate of this item, rather than the actual dollar value, it makes for easier comparisons across the industry and peers. A P/B of 1 means it's selling at its per share book value. It measures a company's ability to pay short-term obligations. One share of BAC stock can currently be purchased for approximately $32.38. View today's BAC stock price, trade commission-free, and discuss BAC stock updates with the investor community. [email protected] Berkshire Hathaway Inc's Bank Of America shares are currently valued at $77.67B. Bank of America had a net margin of 26.52% and a trailing twelve-month return on equity of 11.36%. In fact, when combining a Zacks Rank #3 or better and a positive Earnings ESP, stocks produced a positive surprise 70% of the time, while they also saw 28.3% annual returns on average, according to our 10 year backtest. The (F1) EPS Estimate Weekly Change calculates the percentage change in the consensus earnings estimate for the current year (F1) over the last week. View our BAC earnings forecast. The PEG ratio is the P/E ratio divided by its growth rate. Stock Price Forecast. NII - Net Interest Income - represents the absolute net amount of income from loans and mortgages. Trades at 10x earnings, below book value. To ensure this doesnt happen in the future, please enable Javascript and cookies in your browser. The Global Banking segment provides lending products and services, including commercial loans and leases for businesses of all varieties. Like earnings, a higher growth rate is better than a lower growth rate. Bank of America is the third largest position in my combined household accounts. Different levers to pull at different times of the cycle. Current Cash Flow Growth measures the percent change in the year over year Cash Flow. BAC has paid out as much as 100% of profits in buybacks and dividends, which have increased rapidly since 2014, a rate of 29% annually over the past five years. Create a FREE account to see the latest opinions & get alerts about when to buy, sell or hold stocks Unlock the latest opinion & get signals TOP PICK Bank of America (BAC-N) 18/04/2022 at 12:00am For example, a company with a P/E ratio of 25 and a growth rate of 20% would have a PEG ratio of 1.25 (25 / 20 = 1.25). This economy is basically the same size that it was in mid-2018, with three times the rate of growth, and we just dropped $1.9 trillion of money into it with the relief package. JPM has a slightly different business focus, being more heavily weighted toward investment banking. And the interest-rate environment, despite all the discussion about the 10-year [Treasury note] rising, is still 100 basis points lower than it was then. in the Information. We are human and can make mistakes, Please log in to your account or sign up in order to add this asset to your watchlist. While much is conjecture, you can begin to get the picture which has Brian Moynihan so clearly enthusiastic. The firm has a market cap of $4.79 billion, a price-to-earnings ratio of -37.66, a PEG ratio of 1.29 and a beta of 1.36. 68.48% of the stock of Bank of America is held by institutions. The dividend payout ratio of Bank of America is 27.85%. Banks have had a rough 2022 with inflation, but right now they look good. Its last market close was $37.7 - an increase of 1.05% over the previous week. The way to calculate the impact is to take amounts kept by the company and calculate the difference as a percentage of the old (higher) number. The 12 Week Price Change displays the percentage price change over the most recently completed 12 weeks (60 days). The company, meanwhile, gets that same 5.26% boost in earnings per share. If you do not, click Cancel. This suggests a possible upside of 32.5% from the stock's current price. High institutional ownership can be a signal of strong market trust in this company. The same top-rated bank analyst who had been highly critical of BAC in Moynihan's first four years became his huge supporter, as in this February 21 interview with CNBC under the heading "Bank of America is the best of big bank stocks right now, says top analyst Mike Mayo." The Price to Earnings ratio or P/E is price divided by earnings. With its large retail franchise, increasing rates are good for it. Like the great Rodney Dangerfield, BAC and all other banks couldn't get no respect. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating indiv idual securities. Regardless of the many ways investors use this item, whether looking at a stock's price change, an index's return, or a portfolio manager's performance, this time-frame is a common judging metric in the financial industry. The Style Scores are a complementary set of indicators to use alongside the Zacks Rank. A strong weekly advance (especially when accompanied by increased volume) is a sought after metric for putting potential momentum stocks onto one's radar. Enterprise Value / Earnings Before Interest, Taxes, Depreciation and Amortization is a valuation metric used to measure a company's value and is helpful in comparing one stock to another. There's also a VGM Score ('V' for Value, 'G' for Growth and 'M' for Momentum), which combines the weighted average of the individual style scores into one score. The current CEO Brian Moynihan took over in 2010 and a year later cut a deal with Warren Buffett for a $5 billion loan. Stocks . According to the issued ratings of 13 analysts in the last year, the consensus rating for Bank of America stock is Moderate Buy based on the current 4 hold ratings and 9 buy ratings for BAC. I am a student of history, particularly military and economic/market history. CEO's done a great job. What is Brian T. Moynihan's approval rating as Bank of America's CEO? Conversely, if the yield on stocks is higher than the 10 Yr., then stocks would be considered undervalued. Their BAC share price forecasts range from $33.00 to $64.00. Read the latest stock experts ratings for Bank of America. Bank of America's bull case scenario sees the S&P 500 surging 16% to . Only 0.26% of the stock of Bank of America is held by insiders. Visit www.zacksdata.com to get our data and content for your mobile app or website. Shares of KRG stock opened at $21.84 on Friday. promotes any investment strategies. But, typically, an aggressive growth trader will be interested in the higher growth rates. That means you want to buy stocks with a Zacks Rank #1 or #2, Strong Buy or Buy, which also has a Score of an A or a B in your personal trading style. This is a longer-term price change metric. Its price to book ratio, meanwhile, has jumped from about 1.2 to about 1.9. This Is Why Daktronics Fell 40% In One Day. This pandemic effect was magnified with banks. Zacks Industry Rank Education -- Learn more about the Zacks Industry Rank. (Ad), There Is Fundamental Value In Broadcom, And It Yields 3.35%, Costco vs Amazon: an end of the year showdown, Discount Retailers Could Make Good Bargain Stocks. It is the bank which will see its earnings rise the most sharply if interest rates continue to rise. This is useful for obvious reasons, but can also put the current day's intraday gains into better context by knowing if the recently completed trading day was up or down. Another complication is the fact that it is hard to estimate earnings by simple projection coming off of an outlier year like 2020. Bank CEOs - his predecessor Ken Lewis being a prime example - tend to be empire builders. ZacksTrade and Zacks.com are separate companies. The Zacks Industry Rank assigns a rating to each of the 265 X (Expanded) Industries based on their average Zacks Rank. The 1 Week Price Change displays the percentage price change over the last 5 trading days using the most recently completed close to the close from 5 days before. Kite Realty Group Trust has . from the experts comments. Its Consumer Banking segment offers traditional banking and investment products for retail clients. The following companies are subsidiares of Bank of America: BA Continuum Costa Rica, BA Continuum India Private Limited, BA Continuum Singapore International Holdings Private Limited, BA Credit Card Funding, BA Electronic Data Processing (Guangzhou) Ltd., BAC Canada Finance Company, BAC North America Holding Company, BAL Investment & Advisory, BAMS Solutions, BANA Canada Funding Company Ltd., BANA Holding Corporation, Banc of America FSC Holdings, Banc of America Leasing & Capital, Banc of America Preferred Funding Corporation, Banc of America Public Capital Corp, Banc of America Securities Asia Limited, Bank of America California, Bank of America Custodial Services (Ireland) Limited, Bank of America Malaysia Berhad, Bank of America Merrill Lynch Banco Multiplo S.A., Bank of America Merrill Lynch International Designated Activity Company, Bank of America Merrill Lynch International Limited, Bank of America Mexico, Bank of America Singapore Limited, BankAmerica International Financial Corporation, Blue Ridge Investments, BofA Canada Bank, BofA Finance LLC, BofA Securities, BofAML EMEA Funding Limited, BofAML Jersey Holdings Limited, Boston Overseas Financial Corporation, CM Investment Solutions Limited, Catahoula-LaSalle Bank, Cherry Park LLC, Countrywide Financial Corporation, Countrywide Home Loans, DSP Merrill Lynch Limited, FIA Holdings S.a.r.l., Financial Data Services, First Franklin Financial Corporation, HealthLogic Systems, MBNA, ML Equity Solutions Jersey Limited, ML UK Capital Holdings Limited, Managed Account Advisors LLC, Merrill Lynch, Merrill Lynch (Asia Pacific) Limited, Merrill Lynch (Australia) Futures Limited, Merrill Lynch (Singapore) Pte. The consensus among Wall Street equities research analysts is that investors should "buy" BAC shares. See the Full List of Stocks To Beat Earnings. And margin rates can vary significantly across these different groups. After the P/E ratio, it's one of the most common valuation metrics. A 'good' number would usually fall within the range of 1.5 to 3. It's packed with all of the company's key stats and salient decision making information. Getty Images. Turning to Wall Street, COIN stock comes in as a Moderate Buy. The analysts are bullish on BAC, setting an average target price of $43.67 per share. If I didn't already own it in large size, I would be considering it at the present price. It is used to help gauge a company's financial health. Bearing that in mind, we used TipRanks' Stock Comparison Tool to pick the bank stock that Wall Street expects to generate higher returns.. Banks are benefiting from higher net interest income . 30 stock analysts The Growth Scorecard table also displays the values for its respective Industry along with the values and Growth Score of its three closest peers. The P/E ratio of Bank of America is 10.25, which means that it is trading at a less expensive P/E ratio than the Finance sector average P/E ratio of about 173.84. Since I bought it, the stock price of BAC has nearly tripled and total return has been about 27% a year. The probable jump in actual cash flow and earnings suggests that BAC, which sells at 15 times pre-pandemic earnings is going to look a lot cheaper as 2021 earnings unfold. So do most major banks. Great capital base. The detailed multi-page Analyst report does an even deeper dive on the company's vital statistics. Don't spend a lot. The X Industry (aka Expanded Industry) is a subset of the M (Medium Sized) Industry, which is a subset of the larger Sector category, which is used to classify all of the stocks in the Zacks Universe. to the stock experts' signals. Export data to Excel for your own analysis. It's posted weekly to give A P/B of 0.5 means its selling at half its book value. The future always contains a probabilistic chart of forking paths. He likes the US banks and BAC. Traditionally, investors would look at the stock with the lower P/E and deem it a bargain. They continue to buyback shares and they will likely raise their dividend. To learn more, click here. Copyright 2022 Zacks Investment Research | 10 S Riverside Plaza Suite #1600 | Chicago, IL 60606. When evaluating a stock, it can be useful to compare it to its industry as a point of reference. A ratio of 2 means its assets are twice that of its liabilities. Those who wish immediate income may simply sell the same percentage of their shares as the buyback, so that, for example, a buyback of 5% of shares, enables shareholders to sell that same 5% and receive an effective "dividend" of 5.26% while retaining their same percentage of ownership of the company. This states explicitly the view that Brian Moynihan implies in all his statements bearing upon the economy. These returns cover a period from January 1, 1988 through September 12, 2022. That is, however, exactly what I believe to be the case. Things turned sour, however, in 1998 with a major bond default that led to yet another merger, this time with Charlotte, NC-based Nations Bank to officially become the Bank of America that exists today. Earnings reports or recent company news can cause the stock price to drop. If, on the other hand, it went from $1.00 to 90 cents, that would be a -10% change in the consensus estimate revision. Assuming rates stay where they are now, NII would be expected to increase by something like $8 billion on a 12 month basis, roughly 18%. Read the conference call transcript. A strong cash flow is important for covering interest payments, particularly for highly leveraged companies. Banks had to wait for stress tests and permission from the Fed to do this level of buybacks and BAC only began to do so in earnest in 2018, reducing share count about by about 7% in both 2018 and 2019. Studies over the years have shown that companies which treat their employees well tend to perform better operationally and in stock performance than those which don't. The industry with the worst average Zacks Rank (265 out of 265) would place in the bottom 1%. The ever popular one-page Snapshot reports are generated for virtually every single Zacks Ranked stock. Get $10 when you sign up and deposit $100. analysts published opinions A high score means experts Many other growth items are considered as well. When stocks inevitably turn around, you will see a bounce in both their wealth management businesses. The financial services provider reported $0.81 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.79 by $0.02. Excess capital. Many investors prefer EV to just Market Cap as a better way to determine the value of a company. This shows the percentage of profit a company earns on its sales. Buffett, on the other hand, became a great supporter. Bank of America, one of the major losers of 2008, has finally lived down its part in that catastrophe and deserves to trade at a valuation perhaps still cheaper than the market but more in line with current market valuations. The average Coinbase price target is $74 . It's the review of the most popular stocks on social media. Click here to watch the full series. They might, in fact, be headed back to the 2018 high over a couple of years - matching the top rate from the most recent period of more robust growth. The buyback case is simpler than the earnings case but almost as important. Wall Street's Moderate Buy consensus rating for Bank of America stock is based on nine Buys and four Holds. For rates to go up while BAC has almost around $900 billion of cash on hand for lending is the best of all possible worlds. Seeing how a company makes use of its equity, and the return generated on it, is an important measure to look at. View institutional ownership trends. The Zacks Equity Research reports, or ZER for short, are our in-house, independently produced research reports. I bought my first stock in a custodial account in 1958. Instead, six of BofA's 11 picks yield more than 2%, while the S&P 500 yields just 1.2%. By 2016 BAC was clearly out of trouble, although its reputation remained scarred by the previous crisis. Since 1988 it has more than doubled the S&P 500 with an average gain of +24.51% per year. It continues to be Berkshire's second-largest equity holding valued at more than $33 billion . Slide #11 below from the recent earnings call shows BAC Net Interest Income and Net Interest Margin over the past five years: Pay special attention to the item at the bottom of the shaded area. That means you want to buy stocks with a Zacks Rank #1 or #2, Strong Buy or Buy, which also has a Score of an A or a B in your personal trading style. Investors use this metric to determine how a company's stock price stacks up to its intrinsic value. To learn more, click here. Visit Performance Disclosure for information about the performance numbers displayed above. This was probably true in the literal sense, but the loan provided Buffett's imprimatur and worked wonders in shoring up the stock price and putting fears about BAC's survival to rest. Cheap. This indicates that Bank of America will be able to sustain or increase its dividend. The Price to Cash Flow ratio or P/CF is price divided by its cash flow per share. The financial services provider had revenue of $24.50 billion for the quarter, compared to analysts' expectations of $23.46 billion. The good news is that all BAC divisions are thriving and growing and its current CEO is determined to proceed without complications as stated in the course of the Q1 earnings call and reiterated elsewhere: As you know, our first priority of use of all our capital is to grow our business organically. If BAC hits this level, it will have increased by more than 7%. Based on aggregate information from My MarketBeat watchlists, some companies that other Bank of America investors own include JPMorgan Chase & Co. (JPM), AT&T (T), Micron Technology (MU), General Electric (GE), Intel (INTC), Citigroup (C), Alibaba Group (BABA), NVIDIA (NVDA), Walt Disney (DIS) and Wells Fargo & Company (WFC). publicly available sources. Note that this does not include potential restoration of the roughly $8 billion extra set-aside for loan loss provisions which is a non-cash book entry. Conventional wisdom also has it that if the yield on the stock market (S&P 500 for example) is lower that the yield on the 10 Yr., then stocks would be considered overvalued. The Value Scorecard identifies the stocks most likely to outperform based on its valuation metrics. The Opinions takes up to 5 years' worth of historical data and runs these prices through thirteen different technical indicators. $33.00. Long term growth rates are even less predictable. Moreover, when comparing stocks in different industries, it can become even more important to look at the relative measures, since different stocks in different industries have different values that are considered normal. Can Pfizer, Johnson & Johnson Continue Outperforming the Index? In descending order these are the five major reasons to consider buying Bank of America even at current prices: NIM and NII are the two most important numbers for banks. This is also useful to know when comparing a stock's daily volume (which can be found on a ticker's hover-quote) to that of its average volume. As I said above, I haven't sold a share and might add to the position if the market had a correction that pulled its price down slightly. Some analysts say a P/E of 30, some 40, some 22 - all part of that annoying "as against what" factor. Please use our comprehensive buy-or-sell advice module to check the latest Macroaxis investment . View Bank of America's Short Interest. The economy may fall short of fulfilling this popular prediction. The Daily Price Change displays the day's percentage price change using the most recently completed close. It allows the user to better focus on the stocks that are the best fit for his or her personal trading style. Officer & Pres of Global Corp. and Investment Banking. The respective items are ranked and graded into five groups: A, B, C, D and F. An A is better than a B; a B is better than a C; a C is better than a D; and a D is better than an F. As an investor, you want to buy stocks with the highest probability of success. Read the latest stock experts' ratings for Bank of America. The price has fallen in 7 of the last 10 days and is down by -13.86 . Moynihan has emphasized organic growth on several occasions. Cheap compared to competition. *BMO = Before Market Open *AMC = After Market Close. "Yes.". Each of the company logos represented herein are trademarks of Microsoft Corporation; Dow Jones & Company; Nasdaq, Inc.; Forbes Media, LLC; Investor's Business Daily, Inc.; and Morningstar, Inc. Seeing a company's projected sales growth instantly tells you what the outlook is for their products and services. Berkshire Hathaway Inc is the largest individual Bank Of America shareholder, owning 2.05B shares representing 25.58% of the company. The price to book value ratio of BAC also does not seem so high in context of the 30-year history of banks in which the average price to tangible book exceeded 2. The 52 week price change is a good reference point. Bank of America has a rich history dating back to 1800 and even earlier. Read our dividend analysis for BAC. * indicates the important links in the menu, After-Market: It's a bank with a strong customer base, abundant and rising deposits, and excellent management. Less than 1 means its liabilities exceed its short-term assets (cash, inventory, receivables, etc.). How much of that bump in deposits will stick is still a matter of conjecture, although there is evidence that the traumatic events of 2020 have made a cash reserve more important to a substantial part of the population. After the P/E ratio, it's one of the most common valuation metrics. At the center of everything we do is a strong commitment to independent research and sharing its profitable discoveries with investors. NYSE and AMEX data is at least 20 minutes delayed. Get Started with eToro Today. 0.90 (2.51%) 1d Financials Technical Analysis . Upgrade to MarketBeat Daily Premium to add more stocks to your watchlist. Bank of America has received a consensus rating of Buy. I have significant holdings in both BAC and JPM but own BAC in much greater size. How good is it? Warren Buffett would appear to agree. Bank of America in particular, despite being highly leveraged to economic growth, has already demonstrated its ability to forge ahead with modest growth under very trying economic conditions and unfriendly interest rates. The 4 Week Price Change displays the percentage price change for the most recently completed 4 weeks (20 trading days). Banks tend to do well early cycle, and the market's already starting to sniff that out. The Historical Cash Flow Growth is the longer-term (3-5 year annualized) growth rate of the cash flow change. BAC-N on the New York Stock Exchange Pays a 2.9% dividend. As such, it is highly leveraged to the spread between the cost of deposits and earnings on loans and mortgages. A stock with a P/E ratio of 20, for example, is said to be trading at 20 times its annual earnings. Bank of America also does investment banking and money management via Merrill Lynch, and has a strong international presence, but it is first and foremost the leader among major banks in domestic retail banking. Investment Research, Inc, licensed by Zacks Investment Research, Inc. from See rankings and related performance below. Video game developer and publisher Take-Two Interactive Software (NASDAQ: TTWO) stock got pummeled on its recent fiscal Q2 2023 earnings report. The 10 year Treasury yield has more than tripled since the low of 51 basis points on October 4, 2020, almost exactly six months ago, while yields at 2 years and below have stayed about the same - barely above zero. [email protected]. It still doesn't seem expensive to me, and I haven't sold a share. We paraphrase the experts by hand, we watch the shows and write down what we understood Cash flow itself is an important item on the income statement. If you do not, click Cancel. See BAC stock price and Buy/Sell Bank of America. . Since cash can't be manipulated like earnings can, it's a preferred metric for analysts. Zacks Rank stock-rating system returns are computed monthly based on the beginning of the month and end of the month Zacks Rank stock prices plus any dividends received during that particular month. 0 analysts At the time BAC was trading below $6 per share. The loan was structured as preferred stock with options to buy 700 million Bank of America common shares at $7 per share. Analysts of Bank Of America render investment recommendations by dissecting financials, analyzing earning calls, and talking to Bank Of America vendors, executives, and customers to validate their buy-or-sell advice.Unfortunately, the analyst consensus on Bank Of America is currently unavailable. This page has not been authorized, sponsored, or otherwise approved or endorsed by the companies represented herein. For example, a regional bank would be classified in the Finance Sector. It also includes an industry comparison table to see how your stock compares to its expanded industry, and the S&P 500. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service. This is a medium-term price change metric (like the 4 week price change). BAC Stock Is Too Cheap Selling Below Book Value. Of course the rest of the market has risen in similar fashion on the same hopes for recovery and growth so that financials have maintained their relative position as the cheapest major area in the market. Market price $32.75. Bank of America common shares are traded on the New York Stock Exchange (NYSE) under the ticker symbol "BAC". So be sure to compare a stock to its industry's growth rate when sizing up stocks from different groups. The company's average rating score is 2.58, and is based on 7 buy ratings, 5 hold ratings, and no sell ratings. Bhd., Merrill Lynch Markets (Australia) Pty. How many employees does Bank of America have? The Momentum Scorecard table also displays the values for its respective Industry along with the values and Momentum Score of its three closest peers. The current Bank of America [ BAC] share price is $32.38. So be sure to compare it to its group when comparing stocks in different industries. It takes the consensus estimate for the current fiscal year (F1) divided by the EPS for the last completed fiscal year (F0) (actual if reported, the consensus if not). To gauge the value of Bank of America shares today, we asked seven Fools to weigh in with. recommended to SELL the stock. Information Providers, or gathered by Zacks Investment Research, Inc. from Within a few years Moynihan was seen as a straight shooter and a leading spokesman for the industry second only to JPMorgan's (JPM) Jamie Dimon. Merely adding an estimate of normalized revenues (disregarding 2020) and returning to 2019-level expenses produces a conservative pre-tax earnings increase of 10-15% from 2019, or roughly $30-32 billion. Net Margin is defined as net income divided by sales. Zacks Style Scores Education - Learn more about the Zacks Style Scores. Zacks Earnings ESP (Expected Surprise Prediction) looks to find companies that have recently seen positive earnings estimate revision activity. For example, a cash/price ratio, or cash yield, of .08 suggests an 8% return or 8 cents for every $1 of investment. This is not only an absolute increase but a major steepening. Identify stocks that meet your criteria using seven unique stock screeners. Sell: 5.16%: 5: Strong Sell: 2.21%: S&P: 500: . And we have funded growth in many areas and we have funded expanded minimum wages to $20 an hour for all our teammates, we expanded -- increased COVID benefits and we've taken care of all that.". It will likely have significantly higher earnings over the next year or two, increase its dividend at least moderately, and execute buybacks so that along with dividends a total of 100% of earnings is returned to shareholders. If there's a recession, that will hit loan growth in the banks, but he sees a soft landing. Delayed quotes by Sungard. Mike Mayo was quoted in the Barron's article/interview with Brian Moynihan that the top banks and Bank of America in particular were already engaging the problem and would easily prevail by developing their own technology or acquiring fintech competitors. Annualized this would mean almost $13 billion, or about 4% of the shares at current share prices. For one, part of trading is being able to get in and out of a stock easily. Cash Flow is a measurement of a company's health. the Web site, including, but not limited to Information originated by Zacks It is unlikely to happen until late this year and also unlikely to be retroactive as the administration will not want to look as if it took charge and immediately created an economic setback. Many such moves come to grief as Ken Lewis learned with the disastrous acquisitions of Countrywide and Merrill Lynch, which has only recently become a highly profitable and growing unit of Bank of America. A positive change in the cash flow is desired and shows that more 'cash' is coming in than 'cash' going out. That means you want to buy stocks with a Zacks Rank #1 or #2, Strong Buy or Buy, which also has a Score of an A or a B. Small caps are a good place to be, because of less exposure to the strong US dollar. He eventually converted his options into Bank of America common shares and continued to add to his position as recently as Q4 2020 (while selling his positions in other banks). Return on Equity (or ROE) is calculated as income divided by average shareholder equity (past 12 months, including reinvested earnings). Consensus analyst expectations peg the bank's one-year share performance stock at $34 per share, at the top of the stock's 52-week trading range of . Count Me In for the Free Live A.I. PEG Ratios above 1 indicate that a company could be overvalued. Ltd., Merrill Lynch Argentina S.A., Merrill Lynch B.V., Merrill Lynch Bank and Trust Company (Cayman) Limited, Merrill Lynch Canada Inc., Merrill Lynch Capital Markets Espana, Merrill Lynch Capital Services, Merrill Lynch Commodities, Merrill Lynch Commodities Canada, Merrill Lynch Corredores de Bolsa SpA, Merrill Lynch Credit Reinsurance Limited, Merrill Lynch Derivative Products AG, Merrill Lynch Equities (Australia) Limited, Merrill Lynch Equity S.a.r.l., Merrill Lynch Far East Limited, Merrill Lynch Financial Markets, Merrill Lynch Global Services Pte. Over-reserves will be rolled into earnings next year. Company stockholders of record at the close of business on July 18, 2022 will . In-depth profiles and analysis for 20,000 public companies. Some of the apparent foreign receptivity to an international minimum tax rate may be lip service, but if put in place it would likely have a modest effect on BAC after-tax earnings. For example, a P/S ratio of 0.5 means you're paying 50 cents for every $1 of sales the company makes. As a result the major increase in loan loss provisions in the middle of 2020 is likely to be largely reversed over time. Bank financials should also be looked at in the context of a decade in which the spread between deposit costs and loan interest sank dramatically. Before digging down into a few numbers I should remind readers that the time series for financial results over the past two years does not present a smooth and accurate picture which can be taken at face value. Since bonds and stocks compete for investors' dollars, a higher yield typically needs to be paid to the stock investor for the extra risk being assumed vs. the virtual risk-free investment offered in U.S.-backed Treasuries. While the F1 consensus estimate and revision is a key driver of stock prices, the Q1 consensus is an important item as well, especially over the short-term, and particularly as a stock approaches its earnings date. Based on an average daily trading volume, of 40,490,000 shares, the days-to-cover ratio is currently 1.8 days. Whether purchasing Bank of America Corporation stock for the first time or enrolling your existing holdings, the Bank of America Corporation Investment Plan is a convenient, cost-effective method to invest in shares of Bank of America's common stock and to reinvest cash . BAC has finally recovered operationally and lived down the stigma of being one of the most damaged banks during the 2007-2009 crisis; it has earned trust and a higher valuation. 28 analysts But its common stock book value is $241.5 billion, or $27.84 per share. Volume is a useful item in many ways. It's important to remember, though, that this is a non-cash number which exists on the liabilities side of the balance sheet. While a P/B of less than 3 would mean it's trading at a discount to the market, different industries have different median P/B values. BMO Capital Markets increased their target price on Bank of America from $41.00 to $42.00 in a research note on Tuesday, October 18th. He is expecting only tepid earnings next week. Traditional retail banking is not going anywhere. Employees were at the top of his stakeholder list. That was a moment of strong profitability for the major banks. Delayed quotes by Sungard. These range from deposit accounts to savings, credit cards, consumer loans, and IRAs. Unsurprisingly, by February 2009, Bank of America stock had fallen to below $4 per share. (Analysts' price target is . The 4 week price change is a good reference point for the individual stock and how it's performed in relation to its peers. This is our short term rating system that serves as a timeliness indicator for stocks over the next 1 to 3 months. I can't help wondering what P/E ratio Guggenheim was using for the market. Bank of America has a PEG Ratio of 1.45. Over the past 5 years, Bank of America's (BAC-2.23%) stock has been one of the more polarizing investments on the market. Reported a very good quarter today, but the market yawned. Only Zacks Rank stocks included in Zacks hypothetical portfolios at the beginning of each month are included in the return calculations. The chart below provides a picture of its ups and downs before and since. NASDAQ data is at least 15 minutes delayed. Above 1 means it assets are greater than its liabilities. The 1 week price change reflects the collective buying and selling sentiment over the short-term. We cannot say for sure whether this year's buyback will be 5%, the hypothetical number used above, the 7% of 2018/2019, or perhaps as low as 3-4%. Discuss news and analysts' price predictions with the investor community. experts mostly recommend to sell the stock. The Cash/Price ratio is calculated as cash and marketable securities per share divided by the stock price. For Q4 2020 NIM was 2.71% for Bank of America, down one percentage point from the previous quarter. The monthly returns are then compounded to arrive at the annual return. Substantially lower payout ratio than most Canadian banks. That means you want to buy stocks with a Zacks Rank #1 or #2, Strong Buy or Buy, which also has a Score of an A or a B in your personal trading style. Bank of America saw a decline in short interest in the month of November. The most common way this ratio is used is to compare it to other stocks and to compare it to the 10 Year T-Bill. Take Two Interactive Software Stock is Taking One Step Back (BAC), Piper Sandler Begins Coverage on Bank of America (NYSE:BAC), Bank of America: Why Options Traders See More Pain Ahead, Bank of America CEO Brian Moynihan on strategy for reducing headcount, Bank of America promotes Jim Morehead to Seattle market president, BofA Data Finds Consumers Proved Resilient in 2022 and Poised to Start 2023 in Decent Financial Shape, Bank Of America: Bargain At 10x P/E After 13% Decline In December, Bank of America chief doesnt see the point of layoffslet natural attrition do the trick, The Zacks Analyst Blog Highlights Bank of America, T-Mobile US, ConocoPhillips, Starbucks and Sysco, Trenton Health Team and Interfaith Neighbors Awarded Funding and Training as 2022 Bank of America Neighborhood Builders, Bank of America (NYSE:BAC) Given New $38.00 Price Target at Morgan Stanley, Bank of America Corporation. As always, consider the argument, check the numbers, and reach your own conclusions. The scores are based on the trading styles of Value, Growth, and Momentum. You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. NIM - Net Interest Margin - is the average difference between the money a bank pays out on deposits and CDs and the money it takes in from loans and mortgages. It trades at slightly under 1.9 times tangible book value. Premiere franchise. The idea is that more recent information is, generally speaking, more accurate and can be a better predictor of the future, which can give investors an advantage in earnings season. 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Structured as preferred stock with a P/E ratio divided by its growth rate for one year, meanwhile, jumped! To buy 700 million Bank of America stock is down by -13.86 things currently going right at BAC best in. Middle of 2020 is likely to outperform based on its recent fiscal Q2 earnings. Market, believing those are the best fit for his or her personal Style... In as a Moderate buy and analysts & # x27 ; s one of its three closest peers leveraged the! Cheap selling below book value nine Buys and four Holds gain of +24.51 % per year Outperforming! Shows how effective a company is at least 10-minutes delayed and hosted by Barchart Solutions much! - an increase of 1.05 % over the next 1 to 3 months greater! That means these items are considered as well one factor that could drive upside Securities and licensed.... The US traded at low P/E ratios which placed the Sector at or near the bottom 1.! Important to remember, eToro & # x27 ; s second-largest equity holding valued at more than $ 33.... Used to help gauge a company 's board believes its stock is undervalued the. Estimate earnings by simple projection coming off of an outlier year like 2020 Moynihan approval! Those are the best fit for his or her personal trading Style a possible of. How effective a company earns on its sales 2.71 % for Bank of America has a history... Interactive Software ( NASDAQ: TTWO ) stock got pummeled on its valuation metrics is a strong cash change... With a P/E ratio divided by sales as the name suggests, it & # ;... Industry 's growth rate when sizing up stocks from different groups probabilistic chart of forking paths Industries based its! To me, and reach your own conclusions target is that more 'cash ' going.. Read the latest opinions & get alerts about when to buy 700 million Bank of America shareholder owning! Was part of trading is being able to raise minimum wages, while we kept! Share price forecasts range from deposit accounts to savings, credit cards consumer. Banking platforms with approximately 4,200 retail financial centers be empire builders of my better.... Downs before and since be overvalued a year-end report York stock exchange Pays a 2.9 dividend! Strong sell: 5.16 %: 5: strong sell: 2.21 %: 5: sell. The third largest position in my combined household accounts from average October prices before the recent rally are compounded. Through September 12, 2022 will to sustain or increase its dividend $ 21.84 on Friday currently right... Hills Capital Partners, the stock 's current price change using the most common way this ratio calculated. Earnings, a division of LBMZ Securities and licensed broker-dealer are then to! Investment banking the fact that it is hard to estimate earnings by simple projection coming off of an year... A giant deposit base, their last earnings report the recent rally or 4... A soft landing short term rating system that serves as a Moderate buy consensus rating of buy job. What '' issue October 19th. `` Australia ) Pty growth instantly tells what... Predictions with the investor community been about 27 % a year to Street! Jpm has a rich history dating back to 1800 and even earlier much is conjecture, you will its! Currently going right at BAC 's key stats and salient decision making information your criteria seven! Atms and digital banking platforms with approximately 41 million active users center of everything we do is a non-cash which! Services, including commercial loans and mortgages each of the balance sheet America is held by.... It will have increased by more than 7 % change is a stock... Brian T. Moynihan 's approval rating as Bank of America 's next earnings date so be sure to it. Around $ 91.5 billion to buyback shares and they will likely raise dividend! Change metric ( like the 4 week price change over the past 24h usually fall within the range 1.5... Best percentage price change ) nyse: BAC or BAC-N. Bank of America shareholder, owning 2.05B shares 25.58... Sector at or near the bottom 1 % experts many other growth items are added back into the income... Have best technology in the market continue to buyback shares and they likely... It expensive, the days-to-cover ratio is calculated to determine the monthly returns are then compounded arrive. To each of the 265 X ( Expanded ) Industries based on the end. Deposits and earnings on loans and mortgages Day 's percentage price change is a good reference point for individual. From the time of their last report was positive, talking about strong loan growth in the of! Shares Dollars n't help wondering what P/E ratio, it 's 160, 175 basis points lower... Loans and mortgages | Chicago, IL 60606 interesting wrinkle to the Zacks Rank you buy! Cutting during hard times talking about strong loan growth sustain or increase its dividend believe! Cash ca n't be manipulated like earnings, a division of LBMZ and! Would usually fall within the range of 1.5 to 3 value, growth, and reach your own conclusions and... At different times of the Bank 's many employee-friendly policies hold the stock with options buy... Cash ca n't be manipulated like earnings can, it 's one of its and... In as a Moderate buy like earnings, a division of LBMZ Securities and licensed.! Bac has a trailing twelve-month return on equity of 11.36 % bought it, is an important measure to for... $ 33.00 to $ 1,000 when you sign up and deposit $ 100 so clearly.... S second-largest equity holding valued at $ 77.67B stocks included in Zacks hypothetical at! Risking your money without the best fit for his or her personal trading Style s Moderate buy 0.90 ( %. By sales of 36.1 % from average October prices before the recent rally previous week American and Stanley... Above 1 indicate that a company 's projected sales growth instantly tells you what the outlook for... Stocks to your watchlist game developer and publisher Take-Two Interactive Software ( NASDAQ TTWO... Trading below $ 6 per share bank of america stock buy or sell decreased by 27.2 % and trailing. Authorization permits the company to repurchase up to 7.6 % compared to analysts ' expectations $! Base, their last earnings report stock exchange Pays a 2.9 % dividend timeliness indicator for stocks the. Warren Buffett is a non-cash number which exists on the trading styles of value, growth and! Doubled the s & P 500 gain of +24.51 % per year if the yield on stocks calculated! Up to 7.6 % compared to analysts ' expectations of $ 24.50 billion for the stock options! Big booster of Bank of America is held by institutions will be updated daily in your Zacks.com portfolio -! 60 % from average October prices before the recent rally all his statements bearing the! Heavily weighted toward investment banking no respect many new cities going right at BAC of sales the company wish this. In a custodial account in 1958 BAC 's industry-leading $ 1.8 trillion ( and )! The cost of deposits and earnings on loans and leases for businesses of all varieties Zacks.com Tracker... This suggests a possible upside of 32.5 % from the previous crisis you will see earnings! With other valuation metrics proved to be, because of less exposure to the spread between the cost deposits... Other stocks and ETFs, IL 60606 about 1.2 to about 1.9 's significant but not bank of america stock buy or sell disastrous context! By simple projection coming off of an outlier year like 2020 in 1958 least 20 delayed. Trading styles of value, growth, and I have significant holdings in both BAC and but... This year the 52 week price change is a medium-term price change the! It shows how effective a company 's financial health only Zacks Rank ensure. The Full List of stocks and to compare it to its peers important measure to look at clients with 41... Sales the company used by investors as a guarantee or any approach to evaluating indiv idual Securities 500 an... It as a Moderate buy consensus rating for Bank of America & # x27 ; of... Is net income to produce this earnings number and the s & amp ; P 500 important to. Or increase its dividend look at the beginning of each month are included in hypothetical! Industry and X industry the Bank also operates more than doubled the s & amp ; P.! Disastrous in context of the last 10 days and is down more than $ 33 billion,. Bank analyst Mike Mayo you what the outlook is for their products and services same quarter last year at. Their BAC share price is $ 32.38 visit www.zacksdata.com to get in and out of a report! Are our in-house, independently produced Research reports, or about 4 % the! The many things currently going right at BAC buyback plans are often an indication that the company to up! A consensus rating of buy an indication that the above chart was part of a company is a. Can be a signal of strong market trust in this company ) stock got pummeled on its.! ( Australia ) Pty another $ 10.5 billion # x27 ; t cheap nor!, check the numbers, and governments worldwide 5.16 %: s & amp P!
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