Bank of America Corporation $BAC Stake Trimmed by Banque Pictet & Cie SA

Key Points

• Banque Pictet & Cie cut its Bank of America stake by 2.3% in the third quarter, selling 15,867 shares and retaining 688,550 shares valued at approximately $37.5 million. Other institutional investors increased their positions, with institutions collectively owning 70.71% of BAC.
• Bank of America’s third-quarter results fell short of expectations, with adjusted EPS of $1.08 versus a $1.10 consensus and revenue of $29.96 billion versus $30.58 billion expected. A $1.2 billion anti-money-laundering and sanctions penalty, higher expenses, and weaker fixed-income trading weighed on results.
• Despite recent target-price reductions, analysts maintain a generally positive view, with a “Moderate Buy” consensus and an average price target of $62.52 versus a recent share price of $51.28. The bank also raised its quarterly common dividend to $0.32 per share, implying a 2.5% annualized yield.

Banque Pictet & Cie SA reduced its holdings in Bank of America Corporation (NYSE:BAC - Free Report) by 2.3% in the third quarter, according to its most recent filing with the Securities & Exchange Commission. The institutional investor owned 688,550 shares of the financial services provider's stock after selling 15,867 shares during the period. Banque Pictet & Cie SA's holdings in Bank of America were worth $37,478,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other large investors have also recently made changes to their positions in BAC. Rise Advisors LLC lifted its holdings in shares of Bank of America by 5.8% during the 3rd quarter. Rise Advisors LLC now owns 13,240 shares of the financial services provider's stock valued at $721,000 after purchasing an additional 731 shares during the last quarter. Cyndeo Wealth Partners LLC lifted its holdings in Bank of America by 100.6% in the third quarter. Cyndeo Wealth Partners LLC now owns 68,415 shares of the financial services provider's stock valued at $3,724,000 after acquiring an additional 34,312 shares during the period. Selective Wealth Management Inc. boosted its position in Bank of America by 102.5% in the 3rd quarter. Selective Wealth Management Inc. now owns 17,754 shares of the financial services provider's stock worth $966,000 after purchasing an additional 8,985 shares in the last quarter. Hanson & Doremus Investment Management grew its stake in shares of Bank of America by 500.8% during the 3rd quarter. Hanson & Doremus Investment Management now owns 26,292 shares of the financial services provider's stock worth $1,431,000 after purchasing an additional 21,916 shares during the period. Finally, Aspiriant LLC grew its stake in shares of Bank of America by 34.3% during the 3rd quarter. Aspiriant LLC now owns 48,877 shares of the financial services provider's stock worth $2,660,000 after purchasing an additional 12,479 shares during the period. 70.71% of the stock is currently owned by institutional investors.

Key Stories 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

Analysts Set New Price Targets

Several research firms recently commented on BAC. HSBC started coverage on shares of Bank of America in a research report on Monday, September 28th. They set a "buy" rating and a $65.00 price target on the stock. TD Cowen lowered their target price on shares of Bank of America from $60.00 to $56.00 and set a "hold" rating on the stock in a research note on Thursday. Barclays dropped their target price on Bank of America from $72.00 to $68.00 and set an "overweight" rating on the stock in a research report on Thursday. Morgan Stanley lowered their price target on Bank of America from $67.00 to $61.00 and set an "overweight" rating on the stock in a research report on Thursday. Finally, Keefe, Bruyette & Woods lowered their price target on Bank of America from $70.00 to $65.00 and set an "outperform" rating on the stock in a research report on Thursday. Twenty equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $62.52.

Bank of America Stock Down 0.8%

NYSE BAC opened at $51.28 on Friday. The business's fifty day simple moving average is $59.05 and its 200-day simple moving average is $56.69. The company has a quick ratio of 0.82, a current ratio of 0.82 and a debt-to-equity ratio of 1.17. The firm has a market cap of $358.59 billion, a PE ratio of 12.18, a P/E/G ratio of 0.84 and a beta of 1.21. Bank of America Corporation has a 52 week low of $46.12 and a 52 week high of $65.22.

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

Bank of America Increases Dividend

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

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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