When looking at valuations, Bank of America Corporation (BAC) has a cheap P/E of 11.32x as compared to industry average of 18.6x. It trades for 9.23 times the next 12 months of expected earnings. It is trading at rather expensive levels at just over 1.09x price/book and 4.08x price/sales. Compared to others, Bank of America Corporation is in a different league with regards to profitability, having net margins of 34.2%. To put some perspective around this, the industry’s average net margin is 33.03%. BAC’s ROE is 9.1%, which is considerably worse than the industry’s ROE of 16.94%.
Bank of America Corporation (NYSE:BAC) is now worth $261.12B thanks to 1.17% gain in recent trade and currently has a price tag of $26.03. The shares traded as low as $25.46 and had $26.04 an intraday high earlier Friday. Trading activity significantly weakened as the volume at ready counter decreased to 63,368,153 shares versus 83,892,820 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 68,129,930 shares. The stock is now 14.87% above against its bear-market low of $22.66 on December 24, 2018. It has retreated -26.97% since it’s 52-week high of $33.05 reached in March. Now the market price is down -14.8% on the year and up 5.64% YTD.
BAC’s 50 day simple moving average (SMA 50) price is $26.29 and its 200-day simple moving average (SMA 200) price is $29. The company’s stock currently has a total float of 9.81B shares. Its weekly volatility is hovering around 2.04% and felt 3.08% volatility in price over a month. On the upside, the share price will test short term resistance at around $26.23. On a downside, the stock is likely to find some support, which begins at $25.65. The failure to get near-term support could push it to $25.26.
Separately, it has been reported that multiple insider activity took place at Bank of America Corporation (BAC). Chief Ops & Tech Officer Bessant Catherine P sold 15,820 shares for $609,314 in transaction occurred on 2018/08/09. After making this transaction, the Chief Ops & Tech Officer owns a direct stake of 500,070 shares, worth $15,860,443, as per the last closing price. On 2017/08/10 Bramble Frank P, Director at BAC, dumped 86,763 shares at an average price of $24.16 per share. The selling total is valued at $2,600,840.
Director, Woods Thomas D had invested in 25,000 shares for $62,063 through a trade on 2017/04/27. Following this activity, the insider holds 595,250 shares worth $1,615,500 as of recent close. Wall Street’s most bullish Bank of America Corporation (NYSE:BAC) analysts are predicting the share price to blow past $37 per share during the next 12 months. The current median share price forecast by them is $32, suggesting that the stock could increase 22.94% in that time frame. The average price target of $31.79 calls for a nearly 22.13% increase in the stock price.
It had seen a positive analyst call from UBS, which upgraded the stock from Neutral to Buy on January 09. Analysts at Edward Jones, shed their negative views on January 09 by lifting it fromHold to Buy. The stock lost favor of Macquarie analysts who expressed their lack of confidence in it using a downgrade from Outperform to Neutral on January 07. Barclays, reiterated their call for Equal Weight, on January 02. On the other hand, they had set new target price to $34 versus $37.
Shares of Bank of America Corporation (BAC) have dropped -8.5% since the company’s Mar-19 earnings report. Over the past 12 fiscal quarters, Bank of America Corporation (NYSE:BAC) has topped consensus earnings estimates in 10 quarters (83%), missed earnings in 1 quarters (8%), whereas at 1 occasion EPS met analyst expectations. BAC last reported earnings on October 15, 2018 when it released Sep-18 results that exceeded expectations. The company raked in $0.67 per share, -91.66% change on the same period last year. That was better than consensus for $0.62. Revenue for the recent quarter stood at $22.93 billion, up 4% on last year and above the $22.69 billion predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $23.15 billion to $23.79 billion, which should be compared with $24.13 billion generated last year. EPS is seen in a range of $0.69 to $0.79, against the $0.67 reported a year ago.