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Bank of America (BAC) Stock Moves -0.2%: What You Should Know

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Bank of America (BAC - Free Report) closed at $39.59 in the latest trading session, marking a -0.2% move from the prior day. This move was narrower than the S&P 500's daily loss of 1.69%. Meanwhile, the Dow lost 1.19%, and the Nasdaq, a tech-heavy index, added 0.14%.

Coming into today, shares of the nation's second-largest bank had lost 1.64% in the past month. In that same time, the Finance sector gained 5.85%, while the S&P 500 gained 7.88%.

Bank of America will be looking to display strength as it nears its next earnings release, which is expected to be April 18, 2022. On that day, Bank of America is projected to report earnings of $0.77 per share, which would represent a year-over-year decline of 10.47%. Our most recent consensus estimate is calling for quarterly revenue of $23.29 billion, up 2.07% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $3.26 per share and revenue of $93.93 billion, which would represent changes of -8.68% and +5.41%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Bank of America. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

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 0.75% lower. Bank of America is currently sporting a Zacks Rank of #3 (Hold).

Investors should also note Bank of America's current valuation metrics, including its Forward P/E ratio of 12.18. This valuation marks a premium compared to its industry's average Forward P/E of 11.99.

Also, we should mention that BAC has a PEG ratio of 1.74. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Banks - Major Regional industry currently had an average PEG ratio of 1.4 as of yesterday's close.

The Banks - Major Regional industry is part of the Finance sector. This group has a Zacks Industry Rank of 105, putting it in the top 42% 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.

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