One of the largest financial organizations in the world, Bank of America (NYSE: BAC) offers a broad range of banking, investing, asset management, and other financial and risk management products and services to individuals, small- and middle-market enterprises, and large corporations. The business has connections with 99% of the Fortune 500 corporations in the United States and serves clients in more than 150 countries.
The good news is that JP Morgan keeps Bank of America with an Overweight rating while lowering the target price for the shares from $169 to $155.
The average 12-month analyst target price for Bank of America Corp is USD 42.00, according on 16 analysts’ predictions for the company’s shares.
A strong Buy is the typical analyst recommendation for Bank of America Corp. Based on 3 good signs and 12 negative signals, the stock analysis of Bank of America Corp. by Stock Target Advisor is Bearish.
The stock price of Bank of America Corp. was USD 30.66 at the most recent close. The stock price of Bank of America Corp. has changed by -1.38% over the previous week, -12.25% over the previous month, and -30.85% over the previous year.
Table of Contents
- 1 Positives
- 2 Negatives
- 2.1 High volatility
- 2.2 lower than average total returns
- 2.3 Excessive in comparison to wages
- 2.4 Compared to book value, it is overpriced
- 2.5 low equity return
- 2.6 inadequate capitalization
- 2.7 poor asset return
- 2.8 extremely leveraged
- 2.9 Poor cash flow
- 2.10 low growth in earnings
- 2.11 Low Growth in Revenue
- 2.12 Low Growth in Dividends
market capitalization is high
This organization is among the top quartile and is one of the biggest in its industry. These businesses are typically more reliable.
superior returns on risk
In the top quartile, this stock has outperformed its sector rivals on a risk-adjusted basis over the course of at least a 12-month holding period.
a high dividend yield
The stock has outperformed its industry rivals over the past 5 years (for a hold duration of at least 12 months) and is in the top percentile in terms of average annual dividend returns. For investors seeking high-income yields, this could be an excellent purchase, especially if it is excelling on a total return basis.
Over the past five years, this company’s total returns have been erratic and higher above the industry average. If you plan to invest in such a stock, be sure your risk tolerance is adequate.
lower than average total returns
In terms of annual average total returns during the previous five years, the company lagged behind its competitors.
Excessive in comparison to wages
The stock is trading above the sector median and at a premium to its peers in terms of price to earnings.
Compared to book value, it is overpriced
On a price-to-book value basis, the stock is selling at a premium to the median of its peer group.
low equity return
In comparison to its peers, the management of the company has produced a lower-than-average return on equity during the past four quarters.
In comparison to its peers, the management of the company produced a lower median return on invested capital during the past four quarters.
poor asset return
In comparison to its peers, the management of the company produced a lower median return on assets during the past four quarters.
In terms of debt to equity, the company is heavily leveraged and in the bottom half of its sector rivals. Check the news, though, and study the sector and management remarks. This can be high at times since the business is attempting to grow quickly.
Poor cash flow
The last four quarters saw a negative total cash flow for the organization.
low growth in earnings
Compared to its industry, this stock’s five-year median earnings growth was lower than average.
Low Growth in Revenue
In the prior five years, this stock’s revenue growth was lower than the sector average.
Low Growth in Dividends
In the preceding five years, this stock’s dividend growth was lower than the sector average.