Arrowstreet Capital Limited Partnership Cuts Position in Bank of America Corporation $BAC

Key Points

• Arrowstreet Capital trimmed its Bank of America stake by 2.8% in the first quarter, selling 318,791 shares and leaving it with 10.88 million shares worth about $530.5 million.
• Institutional ownership of BAC remains high at 70.71%, and several other hedge funds and asset managers also recently adjusted their positions in the stock.
• Bank of America’s latest earnings topped expectations, with EPS of $1.21 versus the $1.13 estimate, while analysts still view the shares as a Moderate Buy with a consensus price target of $63.77.

Arrowstreet Capital Limited Partnership decreased its position in Bank of America Corporation (NYSE:BAC - Free Report) by 2.8% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 10,881,052 shares of the financial services provider's stock after selling 318,791 shares during the quarter. Arrowstreet Capital Limited Partnership owned 0.15% of Bank of America worth $530,451,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Abound Financial LLC purchased a new position in Bank of America in the fourth quarter worth about $26,000. Legacy Bridge LLC raised its position in Bank of America by 182.3% during the fourth quarter. Legacy Bridge LLC now owns 511 shares of the financial services provider's stock valued at $28,000 after purchasing an additional 330 shares during the period. Wiser Advisor Group LLC purchased a new stake in Bank of America during the third quarter valued at approximately $27,000. CrossGen Wealth LLC bought a new stake in shares of Bank of America in the 4th quarter valued at approximately $30,000. Finally, Joseph Group Capital Management bought a new stake in shares of Bank of America in the 4th quarter valued at approximately $32,000. 70.71% of the stock is currently owned by institutional investors.

Bank of America News Summary

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

• Positive Sentiment: Bank of America’s own analysts said Alphabet’s post-earnings selloff looks like a buying opportunity, reinforcing BAC’s credibility as a market-moving research franchise and highlighting the firm’s influence in large-cap tech coverage. 4 Reasons to Buy Alphabet Stock After the CAPEX Shock: Bank of America
• Positive Sentiment: Bank of America extended the naming-rights deal for Bank of America Stadium with the Carolina Panthers, reinforcing a long-term brand partnership and its visibility in Charlotte and the Carolinas. Bank of America and Carolina Panthers Extend Naming Rights for Bank of America Stadium
• Positive Sentiment: The launch of new hybrid public-private investment funds by Wellington, Vanguard, and Blackstone through Merrill and Bank of America’s private bank could help drive more client assets and deepen wealth-management relationships. Global Market: Wellington, Vanguard, Blackstone launch hybrid public-private investment funds for wealthy clients
• Positive Sentiment: Bank of America’s preferred dividend confirmation and recent earnings backdrop underscore ongoing capital returns and support the valuation case for BAC shares. Bank of America (BAC) Preferred Dividend Update Keeps Valuation In Focus
• Neutral Sentiment: Several articles highlight BAC’s broader market influence, including comments on bank earnings, rate policy, and consumer health, but they do not appear to directly change Bank of America’s near-term earnings outlook. What Bank Earnings Just Revealed About the Health of the American Consumer
• Neutral Sentiment: Coverage of Bank of America’s consumer-service AI rollout and finance-leadership messaging is strategically positive, but likely a longer-term operational story rather than an immediate stock catalyst. Bank of America Equips Customer Service Reps With Gen AI
• Negative Sentiment: CEO commentary warning that inflation could force the Fed into a corner suggests a tougher macro backdrop, which could pressure loan demand, credit costs, and the banking sector broadly if rates stay restrictive. Bank of America CEO warns inflation will back Fed into a corner

Analyst Ratings Changes

Several research firms have recently weighed in on BAC. Oppenheimer downgraded Bank of America from an "outperform" rating to a "market perform" rating in a research report on Tuesday, June 30th. Evercore set a $63.00 price target on Bank of America and gave the stock an "outperform" rating in a research report on Monday, July 6th. UBS Group lifted their price objective on shares of Bank of America from $63.00 to $68.00 and gave the stock a "buy" rating in a research note on Tuesday, July 7th. HSBC boosted their price objective on shares of Bank of America from $55.00 to $60.00 and gave the company a "buy" rating in a research report on Thursday, April 16th. Finally, Autonomous Res lowered their target price on shares of Bank of America from $62.00 to $54.00 and set a "neutral" rating for the company in a report on Monday, April 6th. Twenty-one investment analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $63.77.

Insider Buying and Selling

In other news, insider Geoffrey S. Greener sold 126,756 shares of the firm's stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $53.01, for a total transaction of $6,719,335.56. Following the transaction, the insider directly owned 1,373,397 shares of the company's stock, valued at approximately $72,803,774.97. This trade represents a 8.45% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. 0.27% of the stock is owned by corporate insiders.

Bank of America Stock Performance

BAC stock opened at $61.30 on Friday. Bank of America Corporation has a twelve month low of $44.75 and a twelve month high of $62.12. The firm has a market cap of $435.02 billion, a price-to-earnings ratio of 14.06, a PEG ratio of 0.99 and a beta of 1.17. The business's fifty day simple moving average is $56.17 and its two-hundred day simple moving average is $53.29. The company has a quick ratio of 0.82, a current ratio of 0.83 and a debt-to-equity ratio of 1.23.

Bank of America (NYSE:BAC - Get Free Report) last issued its earnings results on Tuesday, July 14th. The financial services provider reported $1.21 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.13 by $0.08. Bank of America had a net margin of 17.56% and a return on equity of 12.20%. The firm had revenue of $8.08 billion during the quarter, compared to analyst estimates of $30.78 billion. During the same period in the previous year, the firm earned $0.89 earnings per share. The business's revenue was up 19.6% on a year-over-year basis. Analysts predict that Bank of America Corporation will post 4.65 earnings per share for the current year.

Bank of America Profile

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.

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