Bank of America Corporation $BAC Holdings Boosted by Hsbc Holdings PLC

Hsbc Holdings PLC raised its stake in Bank of America Corporation (NYSE:BAC) by 8.9% in the fourth quarter, HoldingsChannel.com reports. The fund owned 15,621,705 shares of the financial services provider’s stock after buying an additional 1,276,589 shares during the quarter. Bank of America accounts for 0.5% of Hsbc Holdings PLC’s portfolio, making the stock its 29th biggest position. Hsbc Holdings PLC’s holdings in Bank of America were worth $859,306,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors also recently made changes to their positions in BAC. Gunpowder Capital Management LLC dba Oliver Wealth Management acquired a new stake in shares of Bank of America during the 4th quarter worth approximately $109,000. Bayban bought a new stake in shares of Bank of America in the 4th quarter worth approximately $307,000. AG Campbell Advisory LLC acquired a new position in Bank of America during the 4th quarter valued at approximately $192,000. Rehmann Capital Advisory Group boosted its position in Bank of America by 8.7% during the 4th quarter. Rehmann Capital Advisory Group now owns 38,935 shares of the financial services provider’s stock valued at $2,141,000 after purchasing an additional 3,126 shares during the period. Finally, Hayek Kallen Investment Management grew its stake in Bank of America by 14.3% during the 4th quarter. Hayek Kallen Investment Management now owns 22,527 shares of the financial services provider’s stock worth $1,239,000 after buying an additional 2,810 shares during the last quarter. 70.71% of the stock is owned by institutional investors.

Bank of America Price Performance

Shares of NYSE BAC opened at $56.26 on Friday. Bank of America Corporation has a twelve month low of $44.75 and a twelve month high of $57.98. The company has a current ratio of 0.81, a quick ratio of 0.81 and a debt-to-equity ratio of 1.18. The firm has a 50-day moving average of $52.91 and a two-hundred day moving average of $52.54. The company has a market capitalization of $399.27 billion, a price-to-earnings ratio of 13.93, a PEG ratio of 0.95 and a beta of 1.18.

Bank of America (NYSE:BAC) last announced its quarterly earnings data on Wednesday, April 15th. The financial services provider reported $1.11 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.00 by $0.11. Bank of America had a net margin of 16.78% and a return on equity of 11.49%. The company had revenue of $30.27 billion for the quarter, compared to analysts’ expectations of $29.72 billion. During the same quarter in the previous year, the company posted $0.90 EPS. The business’s revenue was up 10.7% compared to the same quarter last year. As a group, analysts expect that Bank of America Corporation will post 4.45 earnings per share for the current fiscal year.

Bank of America Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, June 26th. Shareholders of record on Friday, June 5th will be given a $0.28 dividend. The ex-dividend date is Friday, June 5th. This represents a $1.12 annualized dividend and a yield of 2.0%. Bank of America’s payout ratio is 27.72%.

Wall Street Analyst Weigh In

Several brokerages have weighed in on BAC. Evercore dropped their target price on Bank of America from $70.00 to $61.00 and set an “outperform” rating on the stock in a research report on Friday, May 15th. Daiwa Securities Group boosted their price target on shares of Bank of America from $58.00 to $61.00 and gave the company an “overweight” rating in a report on Tuesday, April 28th. Jefferies Financial Group increased their price objective on shares of Bank of America from $60.00 to $65.00 and gave the stock a “buy” rating in a report on Thursday, April 16th. JPMorgan Chase & Co. cut their price objective on shares of Bank of America from $61.50 to $57.50 and set an “overweight” rating on the stock in a research report on Tuesday, April 7th. Finally, HSBC boosted their target price on shares of Bank of America from $55.00 to $60.00 and gave the company a “buy” rating in a research note on Thursday, April 16th. Twenty-two research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. According to data from MarketBeat.com, Bank of America presently has an average rating of “Moderate Buy” and an average target price of $61.06.

Key Stories Impacting Bank of America

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

• Positive Sentiment: Bank of America’s internal research is being cited as bullish for the bank sector, with commentary that higher rates can still support net interest income even as the Fed holds rates steady, which could help BAC’s earnings outlook. Fed Holds Rates But Signals Hike: Key Takeaways for Bank Investors
• Positive Sentiment: Bank of America also drew attention for its view that lower-income households may be stabilizing, suggesting the consumer backdrop could be improving and reducing recession fears that would hurt loan growth and credit quality. Miserable K-shaped economy might actually be fading, as lower-income families bounce back, says Bank of America
• Neutral Sentiment: Bank of America revealed a roughly 3% indirect stake in Qiagen and reported similar holdings disclosures for Umicore; these are portfolio/ownership updates and are unlikely to have a direct impact on BAC’s core banking results. Bank of America Reveals 3.01% Indirect Stake in Qiagen Umicore – Transparency notifications by Bank of America Corporation
• Neutral Sentiment: Reports that a Fed official spoke at a private Bank of America client dinner may attract headlines, but it appears more like a reputational/regulatory talking point than a direct earnings driver. The Fed’s vice chair of supervision spoke at a private dinner Bank of America hosted for clients hours after the central bank announced its latest policy decision
• Negative Sentiment: Bank of America is facing fresh scrutiny tied to regulators’ upcoming “debanking” findings, which could create policy and compliance concerns for large banks like BAC. Bank Of America (BAC) Faces Fresh Scrutiny As Regulators Ready Debanking Findings

Insider Transactions at Bank of America

In other Bank of America news, insider Geoffrey S. Greener sold 126,756 shares of the company’s stock in a transaction on Tuesday, May 5th. The stock was sold at an average price of $53.01, for a total value of $6,719,335.56. Following the transaction, the insider owned 1,373,397 shares of the company’s stock, valued at approximately $72,803,774.97. This represents a 8.45% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 0.27% of the company’s stock.

About Bank of America

Bank of America Corporation is a multinational financial services company headquartered in Charlotte, North Carolina. It provides a broad array of banking, investment, asset management and related financial and risk management products and services to individual consumers, small- and middle-market businesses, large corporations, governments and institutional investors. The firm operates through consumer banking, global wealth and investment management, global banking and markets businesses, offering capabilities across lending, deposits, payments, advisory and capital markets.

Its consumer-facing offerings include checking and savings accounts, mortgages, home equity lending, auto loans, credit cards and small business banking, supported by a nationwide branch network and digital channels.