-0.10%
6.20%
11.61%
15.79%
37.24%
1.16%
42.17%
AI Spotlight on BAC
Company Description
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.Its Consumer Banking segment offers traditional and money market savings accounts, certificates of deposit and IRAs, noninterest-and interest-bearing checking accounts, and investment accounts and products; and credit and debit cards, residential mortgages, and home equity loans, as well as direct and indirect loans, such as automotive, recreational vehicle, and consumer personal loans.The company's Global Wealth & Investment Management segment offers investment management, brokerage, banking, and trust and retirement products and services; and wealth management solutions, as well as customized solutions, including specialty asset management services.
Its Global Banking segment provides lending products and services, including commercial loans, leases, commitment facilities, trade finance, and commercial real estate and asset-based lending; treasury solutions, such as treasury management, foreign exchange, and short-term investing options and merchant services; working capital management solutions; and debt and equity underwriting and distribution, and merger-related and other advisory services.The company's Global Markets segment offers market-making, financing, securities clearing, settlement, and custody services, as well as risk management products using interest rate, equity, credit, currency and commodity derivatives, foreign exchange, fixed-income, and mortgage-related products.As of December 31, 2021, it served approximately 67 million consumer and small business clients with approximately 4,200 retail financial centers; approximately 16,000 ATMs; and digital banking platforms with approximately 41 million active users.
The company was founded in 1784 and is based in Charlotte, North Carolina.
Market Data
| Last Price | 46.67 |
| Change Percentage | -0.10% |
| Open | 46.7 |
| Previous Close | 46.72 |
| Market Cap ( Millions) | 355237 |
| Volume | 1692992 |
| Year High | 48.08 |
| Year Low | 32.35 |
| M A 50 | 45.9 |
| M A 200 | 41.45 |
Financial Ratios
| FCF Yield | -9.72% |
| Dividend Yield | 2.14% |
| ROE | 9.20% |
| Debt / Equity | 222.77% |
| Net Debt / EBIDTA | 28282.99% |
| Price To Book | 1.22 |
| Price Earnings Ratio | 13.33 |
| Price To FCF | -10.29 |
| Price To sales | 2.99 |
| EV / EBITDA | 435.66 |
News
- Jan -29 - Bank of America Names Maria Martinez to Board of Directors
- Jan -29 - Bank of America Declares First Quarter 2025 Stock Dividends
- Jan -29 - Bank of America Announces Redemption of $1,500,000,000 2.015% Fixed/Floating Rate Senior Notes, Due February 2026
- Jan -28 - Two Sigma Sells These Stocks Amidst Departure of Billionaire Founders
- Jan -27 - NMR vs. BAC: Which Stock Should Value Investors Buy Now?
- Jan -27 - Bank of America: NII Growth Poised To Accelerate
- Jan -25 - Is Bank of America a Millionaire Maker?
- Jan -25 - Broadcom, AI Plays Lead 5 Top Stocks To Watch Near Buy Points
- Jan -25 - Warren Buffett Could Make Over $3 Billion in Dividend Income in 2025 From These 5 Stocks
- Jan -25 - Above-Average Growth And Quality At Bank of America, At A Reasonable Price (Rating Upgrade)
- Jan -24 - Trump bashes CEOs of America's 2 biggest banks in front of Davos crowd
- Jan -23 - Trump Says JPMorgan, Bank of America Won't Do Business With Conservatives
- Jan -23 - Trump alleges Bank of America and JPMorgan are refusing to work with conservatives
- Jan -23 - Trump to Bank of America CEO: 'I hope you start opening your bank to conservatives'
- Jan -23 - Trump Asks BofA's Moynihan to Open Bank to Conservatives
- Jan -22 - Is Bank of America Stock Going to $53? 1 Wall Street Analyst Thinks So.
- Jan -22 - Ignore Buffett And Buy Bank of America (Technical Analysis)
- Jan -22 - Banks Kick Q4 Earnings Season Off With A Bang As CEO Sentiment Improves
- Jan -21 - Bank of America Announces Redemption of $1,500,000,000 Floating Rate Senior Notes, Due February 2026
- Jan -21 - BofA's Moynihan Sees 'Lots of Enthusiasm' for Deals
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Consumer Banking
Expected Growth : 4.5 %
What the company do ?
Consumer Banking from Bank of America Corporation provides financial services and products to individual consumers, including checking and savings accounts, credit cards, loans, and investment services.
Why we expect these perspectives ?
Consumer Banking growth of 4.5% at Bank of America Corporation is driven by increasing digital adoption, rising consumer spending, and a strong job market. Additionally, the segment benefits from the bank's investments in digital transformation, expansion of its mobile banking platform, and growth in credit card and mortgage lending.
Segment n°2 -> Global Banking
Expected Growth : 4.8 %
What the company do ?
Global Banking from Bank of America Corporation provides comprehensive financial solutions to large corporations, governments, and institutional clients worldwide.
Why we expect these perspectives ?
The 4.8% growth in Global Banking at Bank of America Corporation is driven by increasing loan demand, expansion in investment banking and markets, and growth in treasury services. Additionally, the segment benefits from a strong brand, diversified revenue streams, and a solid balance sheet, enabling the bank to capitalize on market opportunities and drive revenue growth.
Segment n°3 -> Global Wealth and Investment Management
Expected Growth : 4.2 %
What the company do ?
Global Wealth and Investment Management from Bank of America Corporation provides investment and wealth management solutions to individuals, families, and institutions.
Why we expect these perspectives ?
The 4.2% growth in Global Wealth and Investment Management at Bank of America Corporation is driven by increasing demand for investment products, robust asset management, and strong advisory services. Additionally, the segment benefits from the bank's digital transformation, expanded wealth management capabilities, and strategic acquisitions, resulting in increased client assets and revenue growth.
Segment n°4 -> Global Markets
Expected Growth : 5.2 %
What the company do ?
Global Markets from Bank of America Corporation provides sales, trading, and research services to institutional clients across fixed income, currencies, commodities, and equities.
Why we expect these perspectives ?
The 5.2% growth in Global Markets from Bank of America Corporation is driven by increasing trading volumes, strong equity market performance, and a rise in investment banking fees. Additionally, the segment has benefited from a favorable interest rate environment, growth in foreign exchange and commodities trading, and a solid performance in debt and equity underwriting.
Segment n°5 -> All Other
Expected Growth : 4.0 %
What the company do ?
All Other from Bank of America Corporation refers to the residual segment that includes all other businesses and equity investments not allocated to other segments.
Why we expect these perspectives ?
The 4.0% growth in All Other segment of Bank of America Corporation is driven by increasing investment in digital transformation, expansion of wealth management services, and growth in global markets. Additionally, the segment benefits from the bank's diversified revenue streams, including investment banking, and a favorable interest rate environment.
Segment n°6 -> Reconciliations
Expected Growth : 4.5 %
What the company do ?
Reconciliations from Bank of America Corporation refer to the process of verifying and matching internal financial records with bank statements to ensure accuracy and detect discrepancies.
Why we expect these perspectives ?
Bank of America's 4.5% growth is driven by strong consumer spending, low unemployment, and rising interest rates. Additionally, the bank's focus on digital transformation, cost savings initiatives, and strategic investments in key businesses such as Merrill Edge and Global Markets have contributed to its growth momentum.
Bank Of America Corporation Products
| Product Range | What is it ? |
|---|---|
| Consumer Banking | Provides checking and savings accounts, credit cards, home loans, and personal loans to individuals. |
| Global Wealth and Investment Management | Offers investment and wealth management services, including brokerage, investment advisory, and retirement services. |
| Global Banking | Provides corporate and investment banking services, including lending, treasury services, and investment banking. |
| Global Markets | Provides sales, trading, and research services for institutional clients across various asset classes. |
| Merrill Edge | Offers self-directed online brokerage services and investment advice for individuals. |
| U.S. Trust | Provides wealth management and investment services to high net worth individuals and families. |
| Business Banking | Offers financial solutions, including credit, cash management, and investment services, to small and medium-sized businesses. |
Bank of America Corporation's Porter Forces
Threat Of Substitutes
Bank of America Corporation operates in a highly competitive industry, and customers have various alternatives to choose from. However, the switching costs are relatively high, which reduces the threat of substitutes.
Bargaining Power Of Customers
Bank of America Corporation has a large customer base, which reduces the bargaining power of individual customers. Additionally, the bank offers a wide range of financial products and services, making it difficult for customers to negotiate better terms.
Bargaining Power Of Suppliers
Bank of America Corporation has a diverse supplier base, which reduces the bargaining power of individual suppliers. The bank's large scale of operations also gives it significant negotiating power over its suppliers.
Threat Of New Entrants
The banking industry has significant barriers to entry, including regulatory hurdles and high capital requirements. This reduces the threat of new entrants and allows established players like Bank of America Corporation to maintain their market share.
Intensity Of Rivalry
The banking industry is highly competitive, with many established players competing for market share. Bank of America Corporation faces intense competition from other major banks, which can lead to pricing pressures and reduced profitability.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 53.41% |
| Debt Cost | 10.82% |
| Equity Weight | 46.59% |
| Equity Cost | 10.82% |
| WACC | 10.82% |
| Leverage | 114.63% |
Bank of America Corporation : Quality Control
Bank of America Corporation passed 2 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| EWBC | East West Bancorp, Inc. operates as the bank holding company for East West Bank that provides a range of personal and commercial banking services to businesses and individuals. It operates … |
| JPM | JPMorgan Chase & Co. operates as a financial services company worldwide. It operates through four segments: Consumer & Community Banking (CCB), Corporate & Investment Bank (CIB), Commercial Banking (CB), and … |
| WFC | Wells Fargo & Company, a diversified financial services company, provides banking, investment, mortgage, and consumer and commercial finance products and services in the United States and internationally. It operates through … |
| TFC | Truist Financial Corporation, a holding company, provides banking and trust services in the Southeastern and Mid-Atlantic United States. The company operates through three segments: Consumer Banking and Wealth, Corporate and … |
| C | Citigroup Inc., a diversified financial services holding company, provides various financial products and services to consumers, corporations, governments, and institutions in North America, Latin America, Asia, Europe, the Middle East, … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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