Bank of America Corporation (NYSE:BAC) Stake Boosted by Allianz SE

Key Points

• Allianz SE increased its stake in Bank of America Corporation by 3% in Q1, bringing its total holdings to 335,080 shares, valued at approximately $13.98 million.
• Analysts have varied opinions on BAC, with price targets ranging from $42 to $57, and a consensus rating of "Moderate Buy".
• Bank of America announced a dividend increase, now at $0.28 per share, and has a share buyback plan allowing up to $40 billion in repurchases, indicating confidence in its stock value.

Allianz SE grew its stake in shares of Bank of America Corporation (NYSE:BAC - Free Report) by 3.0% during the 1st quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 335,080 shares of the financial services provider's stock after purchasing an additional 9,836 shares during the period. Allianz SE's holdings in Bank of America were worth $13,983,000 at the end of the most recent reporting period.

Several other institutional investors also recently made changes to their positions in BAC. Vega Investment Solutions purchased a new position in shares of Bank of America during the 4th quarter worth about $30,000. Marshall & Sterling Wealth Advisors Inc. purchased a new position in shares of Bank of America during the 4th quarter worth about $31,000. Spurstone Advisory Services LLC purchased a new position in shares of Bank of America during the 4th quarter worth about $34,000. Glass Jacobson Investment Advisors llc lifted its holdings in shares of Bank of America by 53.0% during the 4th quarter. Glass Jacobson Investment Advisors llc now owns 797 shares of the financial services provider's stock worth $35,000 after acquiring an additional 276 shares during the period. Finally, Wood Tarver Financial Group LLC acquired a new stake in Bank of America during the 4th quarter worth approximately $38,000. 70.71% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

A number of research firms recently issued reports on BAC. TD Cowen began coverage on shares of Bank of America in a research report on Thursday, May 15th. They set a "buy" rating and a $53.00 target price for the company. Oppenheimer increased their target price on shares of Bank of America from $55.00 to $57.00 and gave the stock an "outperform" rating in a research report on Wednesday, July 30th. Royal Bank Of Canada set a $53.00 target price on shares of Bank of America and gave the stock an "outperform" rating in a research report on Monday, June 30th. Hsbc Global Res downgraded shares of Bank of America from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, July 8th. Finally, Cfra Research increased their price objective on shares of Bank of America to $47.00 and gave the company a "buy" rating in a research report on Wednesday, April 16th. One equities research analyst has rated the stock with a sell rating, five have given a hold rating and seventeen have given a buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $50.13.

Insider Activity at Bank of America

In other news, insider James P. Demare sold 148,391 shares of the firm's stock in a transaction on Friday, August 1st. The stock was sold at an average price of $45.57, for a total transaction of $6,762,177.87. Following the transaction, the insider directly owned 223,407 shares of the company's stock, valued at approximately $10,180,656.99. This trade represents a 39.91% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 0.30% of the company's stock.

Bank of America Stock Performance

BAC stock traded up $0.17 during mid-day trading on Monday, reaching $45.83. The company had a trading volume of 31,031,291 shares, compared to its average volume of 42,026,776. The company has a quick ratio of 0.79, a current ratio of 0.80 and a debt-to-equity ratio of 1.14. The stock has a market capitalization of $339.46 billion, a P/E ratio of 13.40, a P/E/G ratio of 1.78 and a beta of 1.31. Bank of America Corporation has a one year low of $33.06 and a one year high of $49.31. The stock's 50-day simple moving average is $46.27 and its two-hundred day simple moving average is $43.77.

Bank of America (NYSE:BAC - Get Free Report) last posted its earnings results on Wednesday, July 16th. The financial services provider reported $0.89 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.86 by $0.03. The company had revenue of ($22,273.00) million for the quarter, compared to analysts' expectations of $26.79 billion. Bank of America had a return on equity of 10.25% and a net margin of 14.81%. The firm's quarterly revenue was up 4.3% compared to the same quarter last year. During the same period last year, the business posted $0.83 earnings per share. Research analysts anticipate that Bank of America Corporation will post 3.7 EPS for the current year.

Bank of America Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, September 26th. Stockholders of record on Friday, September 5th will be issued a dividend of $0.28 per share. This represents a $1.12 dividend on an annualized basis and a dividend yield of 2.4%. This is a positive change from Bank of America's previous quarterly dividend of $0.26. The ex-dividend date of this dividend is Friday, September 5th. Bank of America's dividend payout ratio is 30.41%.

Bank of America declared that its board has initiated a share repurchase program on Wednesday, July 23rd that permits the company to buyback $40.00 billion in outstanding shares. This buyback authorization permits the financial services provider to repurchase up to 11.1% of its shares through open market purchases. Shares buyback programs are usually an indication that the company's leadership believes its shares are undervalued.

About Bank of America

Bank of America Corporation, through its subsidiaries, provides banking and financial products and services for individual consumers, small and middle-market businesses, institutional investors, large corporations, and governments worldwide. It operates in four segments: Consumer Banking, Global Wealth & Investment Management (GWIM), Global Banking, and Global Markets.