Bank of America (NYSE:BAC) Stock Gets Price Target Cut from TD Cowen

Bank of America (NYSE:BAC) had its price objective trimmed by TD Cowen from $60.00 to $56.00 in a report released on Thursday morning, Marketbeat Ratings reports. The brokerage currently has a hold rating on the financial services provider’s stock.

BAC has been the topic of a number of other research reports. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Bank of America in a research report on Tuesday, July 21st. JPMorgan Chase & Co. lowered their price objective on Bank of America from $68.00 to $62.00 and set an “overweight” rating for the company in a research report on Friday, October 2nd. Morgan Stanley cut their target price on shares of Bank of America from $67.00 to $61.00 and set an “overweight” rating on the stock in a research note on Thursday. Wells Fargo & Company cut their target price on shares of Bank of America from $69.00 to $64.00 and set an “overweight” rating on the stock in a research note on Thursday. Finally, Keefe, Bruyette & Woods reduced their target price on shares of Bank of America from $70.00 to $65.00 and set an “outperform” rating on the stock in a report on Thursday. Twenty analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $62.52.

Bank of America Stock Down 0.8%

Shares of NYSE BAC opened at $51.28 on Thursday. The stock has a market cap of $358.59 billion, a P/E ratio of 12.18, a PEG ratio of 0.83 and a beta of 1.21. The business’s fifty day simple moving average is $59.05 and its 200-day simple moving average is $56.69. Bank of America has a 12-month low of $46.12 and a 12-month high of $65.22. The company has a current ratio of 0.82, a quick ratio of 0.82 and a debt-to-equity ratio of 1.17.

Bank of America (NYSE:BAC) last released its earnings results on Wednesday, October 14th. The financial services provider reported $1.08 EPS for the quarter, missing the consensus estimate of $1.10 by ($0.02). Bank of America had a return on equity of 12.15% and a net margin of 16.80%. The company had revenue of $29.96 billion for the quarter, compared to analyst estimates of $30.58 billion. During the same period in the previous year, the firm earned $1.06 earnings per share. The company’s revenue for the quarter was up 3.2% compared to the same quarter last year. As a group, equities analysts predict that Bank of America will post 4.54 EPS for the current fiscal year.

Bank of America Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, September 25th. Investors of record on Friday, September 4th were issued a $0.32 dividend. This represents a $1.28 annualized dividend and a yield of 2.5%. This is a boost from Bank of America’s previous quarterly dividend of $0.28. The ex-dividend date of this dividend was Friday, September 4th. Bank of America’s dividend payout ratio is currently 30.40%.

Institutional Trading of Bank of America

A number of hedge funds and other institutional investors have recently bought and sold shares of BAC. Turim 21 Investimentos Ltda. acquired a new position in Bank of America during the second quarter worth about $25,000. Cherry Tree Wealth Management LLC grew its position in shares of Bank of America by 167.6% in the second quarter. Cherry Tree Wealth Management LLC now owns 479 shares of the financial services provider’s stock valued at $27,000 after purchasing an additional 300 shares during the last quarter. Principia Wealth Advisory LLC grew its position in shares of Bank of America by 69.9% in the second quarter. Principia Wealth Advisory LLC now owns 530 shares of the financial services provider’s stock valued at $30,000 after purchasing an additional 218 shares during the last quarter. Frazier Financial Advisors LLC acquired a new stake in shares of Bank of America in the second quarter valued at approximately $34,000. Finally, Vermillion Wealth Management Inc. increased its stake in shares of Bank of America by 199.1% during the 1st quarter. Vermillion Wealth Management Inc. now owns 658 shares of the financial services provider’s stock worth $32,000 after purchasing an additional 438 shares in the last quarter. 70.71% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting Bank of America

Here are the key news stories impacting Bank of America this week:

• Positive Sentiment: Analyst support and potential earnings recovery: Baird upgraded BAC to Outperform with a $62 price target, while other analysts maintained Buy or Outperform ratings despite reducing targets. Management also projected at least 8% net interest income growth in 2027, supported by loan and deposit expansion. Baird Upgrades Bank of America Stock Despite a Soft Quarter
• Positive Sentiment: Regulatory remediation is progressing: Bank of America said it has completed substantial work required under a consent order, potentially helping reduce longer-term compliance uncertainty. The bank’s CEO also described the U.S. economy as resilient and growing. Bank of America says it has completed a lot of work on consent order
• Neutral Sentiment: Preferred dividends declared: The board authorized regular cash dividends on multiple preferred-stock series, payable in November and December. The announcement supports the bank’s capital-distribution profile but does not represent a new increase in BAC common-stock dividends. Bank of America Declares Preferred Stock Dividends
• Negative Sentiment: Q3 earnings missed expectations: BAC reported adjusted earnings of $1.08 per share versus a $1.10 consensus, while revenue also fell short. A $1.2 billion anti-money-laundering and sanctions penalty reduced earnings, and expenses grew faster than revenue; weaker fixed-income trading and settlement costs added pressure. Bank of America Stock Sell-Off Looks Like a Buying Opportunity
• Negative Sentiment: Compliance and litigation overhang: Senator Elizabeth Warren criticized the penalty as insufficient, while several law firms announced investigations into potential securities claims and fiduciary-duty issues. These developments could increase legal costs and prolong reputational concerns. Rosen Law Firm Investigation

About Bank of America

Bank of America Corporation (NYSE: BAC) is a diversified financial services company headquartered in Charlotte, North Carolina. It provides banking, lending, investment, payments and financial management services to consumers, businesses, institutional investors and governments.

The company’s consumer banking operations offer checking and savings accounts, credit cards, mortgages, home equity lending, auto loans and other consumer financial products. Through Merrill, Bank of America provides wealth management, investment advisory, brokerage and retirement services.