Bank of America Corporation $BAC Shares Sold by Arrowstreet Capital Limited Partnership

Key Points

• Arrowstreet Capital reduced its Bank of America stake by 10.9% in the fourth quarter, selling 1.38 million shares and leaving it with about 11.2 million shares valued at roughly $616 million.
• Bank of America reported better-than-expected quarterly results, posting EPS of $1.11 versus $1.00 expected and revenue of $30.27 billion versus $29.72 billion forecast, with revenue up 10.7% year over year.
• The company also announced a quarterly dividend of $0.28 per share, implying an annualized yield of about 2.0%, while analysts remain broadly positive with a consensus Moderate Buy rating and a $61.06 price target.

Arrowstreet Capital Limited Partnership trimmed its position in shares of Bank of America Corporation (NYSE:BAC - Free Report) by 10.9% in the fourth quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund owned 11,199,843 shares of the financial services provider's stock after selling 1,375,816 shares during the period. Arrowstreet Capital Limited Partnership owned approximately 0.15% of Bank of America worth $615,991,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also made changes to their positions in the company. Ally Financial Inc. acquired a new stake in shares of Bank of America during the 4th quarter worth $2,750,000. CreativeOne Wealth LLC increased its holdings in shares of Bank of America by 2.9% during the 4th quarter. CreativeOne Wealth LLC now owns 85,464 shares of the financial services provider's stock worth $4,701,000 after buying an additional 2,426 shares during the last quarter. Burton Enright Welch acquired a new stake in shares of Bank of America during the 4th quarter worth $3,156,000. Parkside Financial Bank & Trust increased its holdings in shares of Bank of America by 4.0% during the 4th quarter. Parkside Financial Bank & Trust now owns 59,786 shares of the financial services provider's stock worth $3,288,000 after buying an additional 2,312 shares during the last quarter. Finally, Fortis Capital Management LLC acquired a new stake in Bank of America in the 4th quarter valued at $234,000. 70.71% of the stock is currently owned by institutional investors and hedge funds.

Bank of America Stock Performance

NYSE:BAC opened at $55.96 on Friday. The company has a debt-to-equity ratio of 1.18, a current ratio of 0.81 and a quick ratio of 0.81. The firm has a 50-day moving average of $52.29 and a two-hundred day moving average of $52.41. The stock has a market cap of $397.15 billion, a P/E ratio of 13.85, a PEG ratio of 0.95 and a beta of 1.18. Bank of America Corporation has a 1-year low of $43.66 and a 1-year high of $57.55.

Bank of America (NYSE:BAC - Get Free Report) last posted its quarterly earnings data on Wednesday, April 15th. The financial services provider reported $1.11 earnings per share for the quarter, beating analysts' consensus estimates of $1.00 by $0.11. The company had revenue of $30.27 billion during the quarter, compared to analysts' expectations of $29.72 billion. Bank of America had a net margin of 16.78% and a return on equity of 11.49%. The firm's revenue for the quarter was up 10.7% on a year-over-year basis. During the same period in the prior year, the company posted $0.90 EPS. On average, research analysts expect that Bank of America Corporation will post 4.45 earnings per share for the current fiscal year.

Bank of America Dividend Announcement

The company also recently disclosed 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. This represents a $1.12 dividend on an annualized basis and a yield of 2.0%. The ex-dividend date of this dividend is Friday, June 5th. Bank of America's dividend payout ratio is presently 27.72%.

Trending Headlines about Bank of America

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

• Positive Sentiment: Analysts and commentary highlighted BAC’s strong Q1 results, robust deposit base, and improving revenue prospects in markets and wealth management, supporting the case for continued momentum. Bank Of America (BAC) Stock Valuation After Strong Q1 Results And Upgraded Markets Revenue Outlook
• Positive Sentiment: Bank of America announced regular preferred-stock dividend declarations, reinforcing its capital-return profile and signaling balance-sheet stability. Bank of America Declares Preferred Stock Dividends Payable in July and August 2026
• Positive Sentiment: One report noted that Erste Group raised its FY2027 EPS estimate for BAC, suggesting some analysts see earnings power improving over time. Bank of America Corporation
• Neutral Sentiment: BofA’s own market commentary warned investors that optimism is elevated and that an AI-driven bubble may be vulnerable, but these views are more about the broader market than BAC’s fundamentals. Bank of America Sends a Stark Warning on the S&P 500
• Negative Sentiment: A DOJ subpoena report tied BAC to a sweeping bank industry probe into customer account closures, which could create legal, regulatory, and reputational overhang. JPMorgan, Bank of America receive subpoena from DOJ
• Negative Sentiment: Another article argued BAC has been going sideways and lagging the S&P 500 over the past six months, which may temper enthusiasm despite recent gains. 3 Reasons to Sell BAC and 1 Stock to Buy Instead

Analyst Upgrades and Downgrades

Several brokerages recently issued reports on BAC. Weiss Ratings reiterated a "buy (b)" rating on shares of Bank of America in a report on Friday, April 24th. Royal Bank Of Canada reiterated an "outperform" rating and issued a $59.00 price target on shares of Bank of America in a report on Thursday, April 16th. Daiwa Securities Group increased their price target on Bank of America from $58.00 to $61.00 and gave the company an "overweight" rating in a report on Tuesday, April 28th. Oppenheimer increased their price target on Bank of America from $58.00 to $61.00 and gave the company an "outperform" rating in a report on Thursday, April 16th. Finally, Piper Sandler increased their price target on Bank of America from $53.00 to $59.00 and gave the company a "neutral" rating in a report on Thursday, April 16th. Twenty-two equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $61.06.

Insiders Place Their Bets

In other Bank of America news, insider Geoffrey S. Greener sold 126,756 shares of the company's stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $53.01, for a total value of $6,719,335.56. Following the completion of the transaction, the insider directly owned 1,373,397 shares of the company's stock, valued at $72,803,774.97. This represents a 8.45% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. 0.27% of the stock is currently owned by insiders.

Bank of America Company 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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