159,722 Shares in Bank of America Corporation $BAC Purchased by ARS Wealth Advisors Group LLC

Key Points

• ARS Wealth Advisors Group LLC acquired 159,722 shares of Bank of America, valued at approximately $7.56 million, in the second quarter, highlighting continued institutional interest in the stock.
• Bank of America announced a $40 billion stock buyback plan, which allows for the repurchase of up to 11.1% of its outstanding shares, indicating the board's belief that the shares are undervalued.
• The company also increased its quarterly dividend from $0.26 to $0.28 per share, resulting in a 2.1% dividend yield, demonstrating its commitment to returning value to shareholders.

ARS Wealth Advisors Group LLC acquired a new position in Bank of America Corporation (NYSE:BAC - Free Report) in the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund acquired 159,722 shares of the financial services provider's stock, valued at approximately $7,558,000.

Other institutional investors and hedge funds have also modified their holdings of the company. Nicholas Hoffman & Company LLC. lifted its stake in shares of Bank of America by 121.0% in the first quarter. Nicholas Hoffman & Company LLC. now owns 62,041 shares of the financial services provider's stock worth $2,589,000 after buying an additional 33,963 shares during the last quarter. Gradient Investments LLC boosted its holdings in Bank of America by 7.8% in the 1st quarter. Gradient Investments LLC now owns 696,416 shares of the financial services provider's stock valued at $29,061,000 after purchasing an additional 50,296 shares during the period. Prosperity Wealth Management Inc. acquired a new stake in Bank of America in the 1st quarter worth $998,000. Alpha Cubed Investments LLC grew its position in Bank of America by 37.2% in the 1st quarter. Alpha Cubed Investments LLC now owns 65,038 shares of the financial services provider's stock worth $2,714,000 after purchasing an additional 17,619 shares during the last quarter. Finally, International Assets Investment Management LLC increased its holdings in shares of Bank of America by 170.5% during the 1st quarter. International Assets Investment Management LLC now owns 238,473 shares of the financial services provider's stock worth $9,951,000 after purchasing an additional 150,299 shares during the period. 70.71% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of research analysts have recently commented on BAC shares. The Goldman Sachs Group upped their price objective on shares of Bank of America from $46.00 to $52.00 and gave the company a "buy" rating in a research report on Tuesday, June 10th. Robert W. Baird reiterated a "neutral" rating and issued a $52.00 price objective on shares of Bank of America in a research report on Friday, June 27th. Citigroup boosted their price objective on Bank of America from $54.00 to $58.00 and gave the company a "buy" rating in a research report on Friday. Phillip Securities lowered Bank of America from a "strong-buy" rating to a "moderate buy" rating in a research note on Friday, July 25th. Finally, Oppenheimer raised their target price on Bank of America from $55.00 to $57.00 and gave the stock an "outperform" rating in a research report on Wednesday, July 30th. Sixteen analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average price target of $50.82.

Bank of America Price Performance

Shares of BAC traded up $0.14 during mid-day trading on Friday, reaching $52.27. The company had a trading volume of 98,925,969 shares, compared to its average volume of 35,208,044. Bank of America Corporation has a twelve month low of $33.06 and a twelve month high of $52.66. The company has a debt-to-equity ratio of 1.14, a current ratio of 0.80 and a quick ratio of 0.79. The company's 50-day moving average is $48.55 and its 200-day moving average is $44.52. The company has a market capitalization of $387.16 billion, a P/E ratio of 15.28, a P/E/G ratio of 2.02 and a beta of 1.34.

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

Bank of America Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, September 26th. Investors of record on Friday, September 5th will be given a dividend of $0.28 per share. This is an increase from Bank of America's previous quarterly dividend of $0.26. The ex-dividend date is Friday, September 5th. This represents a $1.12 dividend on an annualized basis and a dividend yield of 2.1%. Bank of America's dividend payout ratio is 32.75%.

Bank of America announced that its Board of Directors has initiated a share repurchase program on Wednesday, July 23rd that permits the company to buyback $40.00 billion in shares. This buyback authorization permits the financial services provider to buy up to 11.1% of its stock through open market purchases. Stock buyback programs are generally a sign that the company's leadership believes its stock is undervalued.

Insider Activity

In related news, insider James P. Demare sold 148,391 shares of the stock in a transaction dated Friday, August 1st. The shares were sold at an average price of $45.57, for a total transaction of $6,762,177.87. Following the completion of the sale, the insider owned 223,407 shares in the company, valued at $10,180,656.99. This trade represents a 39.91% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. 0.30% of the stock is owned by company insiders.

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.