Q4 EPS Estimates for Bank of America Lowered by Analyst

Bank of America Co. (NYSE:BAC) – Equities researchers at Seaport Res Ptn cut their Q4 2024 earnings estimates for Bank of America in a report released on Wednesday, October 16th. Seaport Res Ptn analyst J. Mitchell now expects that the financial services provider will post earnings per share of $0.80 for the quarter, down from their previous forecast of $0.82. Seaport Res Ptn has a “Strong-Buy” rating on the stock. The consensus estimate for Bank of America’s current full-year earnings is $3.25 per share. Seaport Res Ptn also issued estimates for Bank of America’s Q1 2025 earnings at $0.86 EPS.

Bank of America (NYSE:BAC) last posted its quarterly earnings data on Tuesday, October 15th. The financial services provider reported $0.81 earnings per share for the quarter, topping analysts’ consensus estimates of $0.78 by $0.03. Bank of America had a return on equity of 10.56% and a net margin of 13.28%. The firm had revenue of $25.30 billion during the quarter, compared to analysts’ expectations of $25.25 billion. During the same quarter last year, the firm earned $0.90 EPS. The business’s quarterly revenue was up .4% on a year-over-year basis.

A number of other research firms have also recently commented on BAC. Jefferies Financial Group lifted their target price on shares of Bank of America from $39.00 to $41.00 and gave the stock a “hold” rating in a research note on Wednesday, July 3rd. Keefe, Bruyette & Woods upped their target price on Bank of America from $48.00 to $50.00 and gave the company an “outperform” rating in a research report on Wednesday, October 16th. Phillip Securities upgraded Bank of America from a “neutral” rating to an “accumulate” rating and set a $44.00 target price for the company in a research note on Friday. Royal Bank of Canada reiterated an “outperform” rating and set a $46.00 price target on shares of Bank of America in a research note on Wednesday, October 9th. Finally, Cfra restated a “sell” rating and issued a $39.00 price objective on shares of Bank of America in a research note on Tuesday, July 16th. One investment analyst has rated the stock with a sell rating, nine have assigned a hold rating, thirteen have assigned a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, Bank of America presently has an average rating of “Moderate Buy” and a consensus target price of $42.69.

Bank of America Price Performance

Shares of BAC stock opened at $42.32 on Monday. Bank of America has a fifty-two week low of $24.96 and a fifty-two week high of $44.44. The company has a debt-to-equity ratio of 1.09, a quick ratio of 0.80 and a current ratio of 0.80. The firm has a market capitalization of $330.96 billion, a price-to-earnings ratio of 14.64, a PEG ratio of 1.39 and a beta of 1.33. The stock’s 50-day simple moving average is $39.89 and its 200-day simple moving average is $39.44.

Hedge Funds Weigh In On Bank of America

A number of institutional investors have recently bought and sold shares of the company. Delos Wealth Advisors LLC increased its position in shares of Bank of America by 402.2% during the first quarter. Delos Wealth Advisors LLC now owns 683 shares of the financial services provider’s stock valued at $26,000 after acquiring an additional 547 shares during the last quarter. Fairway Wealth LLC acquired a new position in Bank of America during the second quarter worth approximately $27,000. POM Investment Strategies LLC increased its holdings in shares of Bank of America by 839.0% in the 2nd quarter. POM Investment Strategies LLC now owns 723 shares of the financial services provider’s stock valued at $29,000 after acquiring an additional 646 shares during the period. Bbjs Financial Advisors LLC purchased a new stake in shares of Bank of America in the second quarter valued at about $30,000. Finally, Northwest Investment Counselors LLC purchased a new stake in Bank of America during the 1st quarter valued at approximately $33,000. 70.71% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other news, major shareholder Berkshire Hathaway Inc sold 5,420,599 shares of Bank of America stock in a transaction dated Wednesday, July 24th. The shares were sold at an average price of $42.39, for a total value of $229,779,191.61. Following the sale, the insider now owns 980,061,561 shares in the company, valued at $41,544,809,570.79. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. In other Bank of America news, major shareholder Berkshire Hathaway Inc sold 5,420,599 shares of Bank of America stock in a transaction on Wednesday, July 24th. The shares were sold at an average price of $42.39, for a total transaction of $229,779,191.61. Following the sale, the insider now owns 980,061,561 shares of the company’s stock, valued at $41,544,809,570.79. The trade was a 0.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Bernard A. Mensah sold 92,000 shares of the company’s stock in a transaction dated Tuesday, August 27th. The shares were sold at an average price of $39.80, for a total transaction of $3,661,600.00. Following the sale, the insider now directly owns 96,082 shares of the company’s stock, valued at approximately $3,824,063.60. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 138,284,099 shares of company stock worth $5,593,609,660. 0.29% of the stock is owned by corporate insiders.

Bank of America Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, December 27th. Stockholders of record on Friday, December 6th will be paid a dividend of $0.26 per share. This represents a $1.04 annualized dividend and a dividend yield of 2.46%. The ex-dividend date of this dividend is Friday, December 6th. Bank of America’s payout ratio is currently 35.99%.

Bank of America announced that its board has approved a stock buyback program on Wednesday, July 24th that permits the company to repurchase $25.00 billion in shares. This repurchase authorization permits the financial services provider to buy up to 7.6% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s board believes its shares are undervalued.

About Bank of America

Bank of America Corporation, through its subsidiaries, provides banking and financial products and services for individual consumers, small and middle-market businesses, institutional investors, large corporations, and governments worldwide. It operates in four segments: Consumer Banking, Global Wealth & Investment Management (GWIM), Global Banking, and Global Markets.