Bank of America Corporation $BAC Stock Acquired by NorthCrest Asset Manangement LLC

Key Points

• NorthCrest Asset Management increased its Bank of America position by 12.5% in the third quarter, adding 87,489 shares for a total of 788,540 shares valued at approximately $42.9 million. Institutional investors collectively own 70.71% of BAC.
• Bank of America’s latest quarterly results exceeded expectations, with earnings of $1.21 per share and revenue of $31.56 billion, up 19.6% year over year. The company also raised its quarterly dividend to $0.32 per share, implying a 2.3% yield.
• Analysts maintain a “Moderate Buy” consensus with an average price target of $64.22, compared with the stock’s reported price of $54.53. However, higher borrowing costs and weakness across bank stocks remain potential pressures on lending, funding costs and investment-banking activity.

NorthCrest Asset Manangement LLC grew its position in shares of Bank of America Corporation (NYSE:BAC - Free Report) by 12.5% during the third quarter, according to its most recent filing with the SEC. The firm owned 788,540 shares of the financial services provider's stock after acquiring an additional 87,489 shares during the period. Bank of America comprises about 1.0% of NorthCrest Asset Manangement LLC's holdings, making the stock its 17th largest holding. NorthCrest Asset Manangement LLC's holdings in Bank of America were worth $42,920,000 at the end of the most recent reporting period.

Other institutional investors have also recently made changes to their positions in the company. Scott Capital Advisors LLC grew its holdings in Bank of America by 29.1% in the third quarter. Scott Capital Advisors LLC now owns 8,554 shares of the financial services provider's stock worth $458,000 after purchasing an additional 1,928 shares during the period. Kearns & Associates LLC lifted its holdings in shares of Bank of America by 16.4% during the third quarter. Kearns & Associates LLC now owns 22,700 shares of the financial services provider's stock valued at $1,236,000 after purchasing an additional 3,200 shares during the last quarter. Gallagher Capital Advisors LLC boosted its position in shares of Bank of America by 101.4% in the 3rd quarter. Gallagher Capital Advisors LLC now owns 21,822 shares of the financial services provider's stock worth $1,188,000 after purchasing an additional 10,988 shares in the last quarter. Armstrong Advisory Group Inc. boosted its position in shares of Bank of America by 8.0% in the 3rd quarter. Armstrong Advisory Group Inc. now owns 30,611 shares of the financial services provider's stock worth $1,666,000 after purchasing an additional 2,261 shares in the last quarter. Finally, Marquette Asset Management LLC grew its stake in shares of Bank of America by 194.4% in the 3rd quarter. Marquette Asset Management LLC now owns 1,802 shares of the financial services provider's stock worth $98,000 after buying an additional 1,190 shares during the last quarter. Institutional investors own 70.71% of the company's stock.

Bank of America Price Performance

NYSE BAC opened at $54.53 on Tuesday. The business's fifty day moving average price is $59.93 and its 200-day moving average price is $56.63. The stock has a market capitalization of $381.31 billion, a price-to-earnings ratio of 12.51, a PEG ratio of 0.87 and a beta of 1.21. The company has a debt-to-equity ratio of 1.23, a current ratio of 0.83 and a quick ratio of 0.82. Bank of America Corporation has a 1-year low of $46.12 and a 1-year high of $65.22.

Bank of America (NYSE:BAC - Get Free Report) last posted its quarterly earnings data on Tuesday, July 14th. The financial services provider reported $1.21 EPS for the quarter, beating analysts' consensus estimates of $1.13 by $0.08. Bank of America had a return on equity of 12.20% and a net margin of 17.56%. The company had revenue of $31.56 billion during the quarter, compared to analysts' expectations of $30.78 billion. During the same quarter in the prior year, the business earned $0.89 earnings per share. Bank of America's revenue for the quarter was up 19.6% compared to the same quarter last year. On average, equities analysts predict that Bank of America Corporation will post 4.61 earnings per share for the current year.

Bank of America Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, September 25th. Shareholders of record on Friday, September 4th were paid a dividend of $0.32 per share. The ex-dividend date was Friday, September 4th. This represents a $1.28 dividend on an annualized basis and a dividend yield of 2.3%. This is an increase from Bank of America's previous quarterly dividend of $0.28. Bank of America's dividend payout ratio is presently 29.36%.

Analyst Ratings Changes

A number of brokerages have issued reports on BAC. Barclays lifted their price objective on Bank of America from $71.00 to $72.00 and gave the company an "overweight" rating in a research note on Wednesday, July 15th. Oppenheimer cut Bank of America from an "outperform" rating to a "market perform" rating in a research note on Tuesday, June 30th. Truist Financial decreased their target price on shares of Bank of America from $65.00 to $62.00 and set a "buy" rating for the company in a report on Thursday, October 1st. Wells Fargo & Company upped their target price on shares of Bank of America from $67.00 to $69.00 and gave the stock an "overweight" rating in a research note on Wednesday, July 15th. Finally, Rothschild & Co Redburn set a $72.00 price target on shares of Bank of America in a report on Tuesday, October 6th. Nineteen analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $64.22.

Key Headlines Impacting Bank of America

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

• Positive Sentiment: Bank of America’s earnings setup includes a favorable comparison with the prior quarter: it previously exceeded consensus estimates for both earnings and revenue, while revenue increased 19.6% year over year. Investors will be looking for evidence that lending and fee-based businesses remain resilient. Is Bank of America's Stock a Buy Ahead of Its Q3 Earnings Report on Oct. 14?
• Neutral Sentiment: The options market is pricing in a relatively muted reaction to the earnings release, suggesting traders are not positioning for an unusually large move. The report and management’s outlook will determine whether the stock can recover. Bank of America Earnings Preview: Options Market Signals a Muted Reaction
• Neutral Sentiment: Bank of America’s research division is warning that market risks are increasing but continues to recommend select stocks. The commentary highlights a more cautious investment backdrop rather than a direct change to BAC’s fundamentals. Bank of America Warns of Growing Market Risks
• Negative Sentiment: Rising government borrowing costs and yields are raising concerns about slower dealmaking and lending growth, while potentially increasing banks’ funding costs. These pressures could weigh on BAC’s net interest income and investment-banking results. Q3 Earnings Season Begins: Global Week Ahead
• Negative Sentiment: A broader selloff across bank stocks has pushed many financial shares into correction territory, adding sector-wide pressure to BAC ahead of earnings. Investors remain focused on whether high rates are hurting loan demand, credit quality and market valuations. Why bank stocks shocked everyone by getting thrashed

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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