Bank of America Co. (NYSE:BAC) has been on the radar of twenty ratings firms, who have given it a consensus rating of “Hold,” as reported by Bloomberg. It would seem that two research analysts have recently recommended selling the stock, while seven have recommended holding onto it and nine have advised investors to buy shares. The average target price given by analysts who have been following the company for the past year is $36.77.
Bank of America announced that it will pay a quarterly dividend on June 30th, which was welcomed news for shareholders. Investors who own shares prior to June 2nd will receive a payment of $0.22 per share from the financial services provider. Those who invested in BAC after the ex-dividend date of June 1st will not qualify for this dividend payment. This represents a total of $0.88 in dividends per share over one year and an annualized dividend yield of 3.13%. Presently, Bank of America’s payout ratio stands at just over 26%.
Institutional investors are also making their presence felt with regards to Bank of America’s stock offering; Berkshire Hathaway Inc purchased an additional 22,751,400 shares in Q1, growing its position by 2.3%; Vanguard Group Inc followed suit and now owns just over 602 million shares after purchasing an additional 3,313,229 during Q3; Moneta Group Investment Advisors LLC grew its own position by a staggering percentage increase of 108,111% during Q4; while Price T Rowe Associates Inc raised its profile in this stock by purchasing almost ten times their existing holdings during Q4 with buying activity that amounted to more than $23 million in market value; lastly but not least, Geode Capital Management LLC acquired an additional 1.5% stake in Q1.
Bank Of America recently reported net income available to common shareholders that beat estimates, driven by strong growth in loans and deposit volumes. The bank’s annual revenue was $91.24 billion, with a net income of over $21 billion as of the end of 2018.
It is clear that Bank of America is weathering the storms currently battering the financial sector, with investors satisfied by its steady performance and healthy dividend payout ratio. While it may not be setting any records just yet, Bank of America’s resilience speaks volumes for its future prospects. As the financial sector continues to recover from turbulent times, investors are increasingly looking for stability and consistency — qualities that Bank of America seems to possess in abundance.
Bank of America: Riding the Waves of Market Uncertainty
Bank of America: Financial Giant in the Midst of Ups and Downs
In today’s ever-changing financial market, Bank of America (NYSE:BAC) has experienced a series of highs and lows as indicated by recent reports. Keefe, Bruyette & Woods had raised their price objective on the institution from $28.00 to $29.00, giving it an “underperform” rating in a research report that was released on April 19th. Citigroup also provided mixed reviews about BofA when it lowered their price objective from $38.00 to $33.00 and assigned a “neutral” rating to the stock in the same report. Goldman Sachs Group, Barclays, and Odeon Capital Group also weighed in with lowered price targets for the bank.
BofA was not immune to insider selling either as revealed by disclosures filed with the Securities Exchange Commission (SEC) that showed insider Matthew M. Koder selling 105,054 shares of stock that earned him over $3 million dollars.
Meanwhile, Bank of America announced that it is paying out quarterly dividends this June 30th at a rate of $.22 per share to all shareholders recorded on June 2nd; thus far constituting a dividend yield of approximately 3%.
Reviewing BofA’s market performance reveals an opening stock rate of $28.11 today, owing certain exceptions or conditions as seen throughout its one-year low-high span ($26.32 – $38.60). Further observations include a current market cap value standing at over $224 billion USD; P/E ratio rested at 8.44; P/E/G ratio settled at around 1.19 with a beta standing at a prospective figure nearing 1.36.
Earnings-wise, unlike earlier stated reviews mentioned above, Bank of America recently made analysts happy when they presented Q1 earnings reports displaying impressive numbers demonstrating an increase in earnings per share to a value of $0.94 as well as beating market revenue estimations by over $980 million USD.
While the future of BofA’s place in the financial market remains obscure and unsure, it is clear that whatever actions this institution takes will have a ripple effect on those around them. Investors should keep an eye out for more news regarding Bank of America’s performance in the near future.
Source: beststocks.com
