Bank of America Corporation $BAC Stock Bought by Community Trust & Investment Co.

Key Points

• Community Trust & Investment Co. increased its Bank of America stake by 1,652.4% in the third quarter, adding 116,644 shares for a total holding valued at approximately $6.7 million.
• Institutional investors own 70.71% of Bank of America, with several major firms—including Legal & General, Deutsche Bank and Bank of New York Mellon—reporting substantial new positions.
• Bank of America reported quarterly EPS of $1.08 and revenue of $29.96 billion, both below analyst expectations, while raising its quarterly dividend to $0.32 per share. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $62.52.

Community Trust & Investment Co. lifted its stake in Bank of America Corporation (NYSE:BAC) by 1,652.4% during the 3rd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 123,703 shares of the financial services provider's stock after buying an additional 116,644 shares during the quarter. Community Trust & Investment Co.'s holdings in Bank of America were worth $6,733,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors have also recently modified their holdings of the stock. Legal & General Group Plc purchased a new position in Bank of America in the second quarter worth about $2,571,060,000. Deutsche Bank AG purchased a new stake in shares of Bank of America in the second quarter valued at approximately $2,359,172,000. Bank of New York Mellon Corp purchased a new stake in shares of Bank of America in the 2nd quarter worth $2,313,953,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in Bank of America during the 2nd quarter worth about $939,807,000. Finally, Canada Pension Plan Investment Board purchased a new stake in Bank of America during the second quarter worth $916,398,000. Institutional investors own 70.71% of the company's stock.

Bank of America Price Performance

BAC stock opened at $51.65 on Friday. 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 1 year low of $46.12 and a 1 year high of $65.22. The firm has a market capitalization of $361.15 billion, a P/E ratio of 12.27, a P/E/G ratio of 0.83 and a beta of 1.21. The business's 50-day moving average is $59.29 and its two-hundred day moving average is $56.72.

Bank of America (NYSE:BAC - Get Free Report) last released its quarterly earnings data on Wednesday, October 14th. The financial services provider reported $1.08 EPS for the quarter, missing analysts' consensus estimates of $1.10 by ($0.02). The business had revenue of $29.96 billion during the quarter, compared to analysts' expectations of $30.58 billion. Bank of America had a net margin of 16.80% and a return on equity of 12.15%. The company's revenue was up 3.2% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.06 EPS. Analysts anticipate that Bank of America Corporation will post 4.60 earnings per share for the current fiscal year.

Bank of America Increases Dividend

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

Trending Headlines about Bank of America

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

• Positive Sentiment: Net interest income increased 8% year over year to approximately $16.4 billion, while average loans rose 6% and deposits grew 2%. Management also targeted at least 8% net-interest-income growth in 2027, supported by loan and deposit expansion. BAC Q3 Earnings Call Highlights NII Growth and Trading Pressure
• Positive Sentiment: Consumer banking and wealth management remained areas of strength, with Merrill’s fee-based advisory assets reaching a record $1.9 trillion. Bank of America also returned $8.3 billion to shareholders through dividends and share repurchases. Merrill Lynch’s Fee-Based Advisory Assets Just Hit a Record $1.9 Trillion
• Positive Sentiment: Despite lower targets, several analysts retained favorable views. Baird upgraded BAC to “outperform,” while Citigroup, Truist and Keefe, Bruyette & Woods maintained buy or outperform ratings. The revised targets remain above the current share price.
• Neutral Sentiment: Bank of America said it has added roughly 1,000 contractors alongside 3,000 employees to address software vulnerabilities identified by advanced AI tools. The spending pressures near-term expenses but could reduce technology and operational risk over time. Bank of America hired 1,000 contractors to patch software flaws exposed by Anthropic’s Mythos
• Negative Sentiment: Regulators imposed more than $1.2 billion in penalties for failures involving anti-money-laundering, Bank Secrecy Act and sanctions compliance, including the failure to report more than $5 billion in suspicious transactions. The charge reduced reported third-quarter EPS and raised concerns about management’s controls and potential remediation costs. Bank of America profit hurt by $1.2 billion fine over anti-money laundering shortcomings
• Negative Sentiment: Third-quarter adjusted EPS of $1.08 and revenue of roughly $30.0 billion missed consensus estimates. Fixed-income trading revenue fell 17%, investment-banking activity weakened, expenses grew faster than revenue, and credit-loss provisions reached approximately $1.3 billion. Analysts subsequently lowered price targets, including Morgan Stanley, TD Cowen, Piper Sandler and Citigroup.
• Negative Sentiment: Multiple law firms announced investigations into potential securities-law violations or breaches of fiduciary duty following the penalty and earnings miss. These notices do not establish liability but add reputational and potential litigation risk for BAC investors.

Analyst Ratings Changes

A number of equities analysts have recently issued reports on BAC shares. Barclays reduced their price target on Bank of America from $72.00 to $68.00 and set an "overweight" rating on the stock in a research report on Thursday. Robert W. Baird raised shares of Bank of America from a "neutral" rating to an "outperform" rating and set a $62.00 price objective on the stock in a research note on Thursday. Truist Financial reduced their target price on Bank of America from $62.00 to $58.00 and set a "buy" rating for the company in a research note on Thursday. TD Cowen dropped their price target on Bank of America from $60.00 to $56.00 and set a "hold" rating for the company in a research report on Thursday. Finally, Morgan Stanley lowered their price objective on Bank of America from $67.00 to $61.00 and set an "overweight" rating on the stock in a research note on Thursday. Twenty equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company. According to data from MarketBeat, Bank of America presently has an average rating of "Moderate Buy" and a consensus target price of $62.52.

About Bank of America

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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