Bank of America Corporation $BAC Position Boosted by Snider Financial Group

Key Points

• Snider Financial Group increased its Bank of America position by 74.2% in the third quarter, bringing its holdings to 26,042 shares valued at approximately $1.42 million. Institutional investors and hedge funds collectively own 70.71% of BAC.
• Bank of America’s latest quarterly results missed expectations, with EPS of $1.08 versus the $1.10 consensus and revenue of $29.96 billion versus estimates of $30.58 billion. Shares recently traded at $51.28, below their 50-day and 200-day moving averages.
• The company raised its quarterly dividend to $0.32 per share, representing a 2.5% annualized yield. Analysts maintain a Moderate Buy consensus rating, with an average price target of $62.52.

Snider Financial Group increased its position in Bank of America Corporation (NYSE:BAC - Free Report) by 74.2% in the third quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 26,042 shares of the financial services provider's stock after buying an additional 11,096 shares during the period. Snider Financial Group's holdings in Bank of America were worth $1,417,000 as of its most recent SEC filing.

Other hedge funds have also recently added to or reduced their stakes in the company. Legal & General Group Plc acquired a new position in shares of Bank of America in the 2nd quarter valued at $2,571,060,000. Deutsche Bank AG purchased a new stake in shares of Bank of America during the 2nd quarter valued at about $2,359,172,000. Bank of New York Mellon Corp purchased a new stake in shares of Bank of America during the second quarter valued at approximately $2,313,953,000. Amundi lifted its holdings in Bank of America by 12.5% in the 1st quarter. Amundi now owns 42,385,115 shares of the financial services provider's stock worth $2,066,274,000 after buying an additional 4,721,969 shares in the last quarter. Finally, Dimensional Fund Advisors LP lifted its stake in shares of Bank of America by 1.8% in the first quarter. Dimensional Fund Advisors LP now owns 31,135,112 shares of the financial services provider's stock worth $1,517,599,000 after acquiring an additional 561,413 shares in the last quarter. 70.71% of the stock is owned by institutional investors and hedge funds.

Bank of America Stock Performance

Shares of BAC stock traded down $0.42 during trading on Friday, reaching $51.28. The company had a trading volume of 64,306,447 shares, compared to its average volume of 41,999,672. The firm's 50 day simple moving average is $59.05 and its two-hundred day simple moving average is $56.69. The company has a debt-to-equity ratio of 1.17, a current ratio of 0.82 and a quick ratio of 0.82. Bank of America Corporation has a one year low of $46.12 and a one year high of $65.22. The company has a market capitalization of $358.59 billion, a PE ratio of 12.18, a PEG ratio of 0.84 and a beta of 1.21.

Bank of America (NYSE:BAC - Get Free Report) last released its earnings results on Wednesday, October 14th. The financial services provider reported $1.08 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.10 by ($0.02). Bank of America had a net margin of 16.80% and a return on equity of 12.15%. The business had revenue of $29.96 billion during the quarter, compared to analyst estimates of $30.58 billion. During the same period last year, the business earned $1.06 EPS. The business's quarterly revenue was up 3.2% compared to the same quarter last year. Sell-side analysts forecast that Bank of America Corporation will post 4.57 earnings per share for the current year.

Bank of America Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, September 25th. Investors of record on Friday, September 4th were given a dividend of $0.32 per share. This is a boost from Bank of America's previous quarterly dividend of $0.28. The ex-dividend date was Friday, September 4th. This represents a $1.28 dividend on an annualized basis and a yield of 2.5%. Bank of America's dividend payout ratio is currently 29.36%.

Analysts Set New Price Targets

A number of research analysts have commented on BAC shares. Barclays reduced their price objective on shares of Bank of America from $72.00 to $68.00 and set an "overweight" rating on the stock in a research note on Thursday. Argus set a $70.00 target price on Bank of America in a research report on Wednesday, July 15th. JPMorgan Chase & Co. reduced 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. HSBC initiated coverage on shares of Bank of America in a research report on Monday, September 28th. They issued a "buy" rating and a $65.00 target price for the company. Finally, Citigroup dropped their price objective on Bank of America from $66.00 to $60.00 and set a "buy" rating on the stock in a research note on Thursday. Twenty investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the company's stock. According to MarketBeat.com, Bank of America presently has an average rating of "Moderate Buy" and a consensus target price of $62.52.

Key Headlines 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

Bank of America Company Profile

Bank of America Corporation NYSE: BAC is a diversified financial services company serving individual consumers, small businesses, middle-market companies and large corporations. Its principal businesses include consumer banking, wealth and investment management, commercial banking, corporate and investment banking, and sales and trading.

Through its banking and financial services businesses, the company offers deposit accounts, credit cards, mortgages, home equity products, consumer and business loans, payment services, treasury management, brokerage services and investment advice.

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