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) Stock Drops Despite Market Gains: Important Facts to Note
Read MoreHide Full Article
Bank of America (BAC - Free Report) closed the most recent trading day at $33.43, moving -0.51% from the previous trading session. This move lagged the S&P 500's daily gain of 0.45%.
Market participants will be closely following the financial results of Bank of America in its upcoming release. The company plans to announce its earnings on January 12, 2024. The company is predicted to post an EPS of $0.71, indicating a 16.47% decline compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $24.11 billion, down 1.71% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.44 per share and a revenue of $100.78 billion, indicating changes of +7.84% and +6.14%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for Bank of America. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.27% lower. Bank of America is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Bank of America is currently trading at a Forward P/E ratio of 9.78. For comparison, its industry has an average Forward P/E of 10.3, which means Bank of America is trading at a discount to the group.
It is also worth noting that BAC currently has a PEG ratio of 1.4. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Banks - Major Regional was holding an average PEG ratio of 1.75 at yesterday's closing price.
The Banks - Major Regional industry is part of the Finance sector. With its current Zacks Industry Rank of 92, this industry ranks in the top 37% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Bank of America (BAC) Stock Drops Despite Market Gains: Important Facts to Note
Bank of America (BAC - Free Report) closed the most recent trading day at $33.43, moving -0.51% from the previous trading session. This move lagged the S&P 500's daily gain of 0.45%.
Market participants will be closely following the financial results of Bank of America in its upcoming release. The company plans to announce its earnings on January 12, 2024. The company is predicted to post an EPS of $0.71, indicating a 16.47% decline compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $24.11 billion, down 1.71% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.44 per share and a revenue of $100.78 billion, indicating changes of +7.84% and +6.14%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for Bank of America. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.27% lower. Bank of America is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Bank of America is currently trading at a Forward P/E ratio of 9.78. For comparison, its industry has an average Forward P/E of 10.3, which means Bank of America is trading at a discount to the group.
It is also worth noting that BAC currently has a PEG ratio of 1.4. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Banks - Major Regional was holding an average PEG ratio of 1.75 at yesterday's closing price.
The Banks - Major Regional industry is part of the Finance sector. With its current Zacks Industry Rank of 92, this industry ranks in the top 37% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.