We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Bank of America (BAC) Dips More Than Broader Markets: What You Should Know
Read MoreHide Full Article
Bank of America (BAC - Free Report) closed at $29.39 in the latest trading session, marking a -0.81% move from the prior day. This change lagged the S&P 500's daily loss of 0.15%. Meanwhile, the Dow gained 0.21%, and the Nasdaq, a tech-heavy index, lost 0.81%.
Prior to today's trading, shares of the nation's second-largest bank had gained 20.25% over the past month. This has outpaced the Finance sector's gain of 8.81% and the S&P 500's gain of 6.55% in that time.
Wall Street will be looking for positivity from BAC as it approaches its next earnings report date. This is expected to be April 15, 2019. The company is expected to report EPS of $0.66, up 6.45% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $23.56 billion, up 1.89% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.84 per share and revenue of $94.08 billion, which would represent changes of +8.81% and +3.11%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for BAC. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.53% higher. BAC is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, BAC is holding a Forward P/E ratio of 10.43. This valuation marks a discount compared to its industry's average Forward P/E of 10.5.
It is also worth noting that BAC currently has a PEG ratio of 1.3. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Banks - Major Regional stocks are, on average, holding a PEG ratio of 1.27 based on yesterday's closing prices.
The Banks - Major Regional industry is part of the Finance sector. This group has a Zacks Industry Rank of 181, putting it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow BAC in the coming trading sessions, be sure to utilize Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Bank of America (BAC) Dips More Than Broader Markets: What You Should Know
Bank of America (BAC - Free Report) closed at $29.39 in the latest trading session, marking a -0.81% move from the prior day. This change lagged the S&P 500's daily loss of 0.15%. Meanwhile, the Dow gained 0.21%, and the Nasdaq, a tech-heavy index, lost 0.81%.
Prior to today's trading, shares of the nation's second-largest bank had gained 20.25% over the past month. This has outpaced the Finance sector's gain of 8.81% and the S&P 500's gain of 6.55% in that time.
Wall Street will be looking for positivity from BAC as it approaches its next earnings report date. This is expected to be April 15, 2019. The company is expected to report EPS of $0.66, up 6.45% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $23.56 billion, up 1.89% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.84 per share and revenue of $94.08 billion, which would represent changes of +8.81% and +3.11%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for BAC. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.53% higher. BAC is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, BAC is holding a Forward P/E ratio of 10.43. This valuation marks a discount compared to its industry's average Forward P/E of 10.5.
It is also worth noting that BAC currently has a PEG ratio of 1.3. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Banks - Major Regional stocks are, on average, holding a PEG ratio of 1.27 based on yesterday's closing prices.
The Banks - Major Regional industry is part of the Finance sector. This group has a Zacks Industry Rank of 181, putting it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow BAC in the coming trading sessions, be sure to utilize Zacks.com.