Bank of America Corporation $BAC Stock Purchased by Nisa Investment Advisors LLC

Key Points

• Nisa Investment Advisors increased its Bank of America stake by 3.3% in the third quarter, purchasing 65,917 additional shares to hold 2.09 million shares valued at approximately $113.5 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 new positions.
• Bank of America’s latest quarter fell slightly short of analyst expectations, while analysts maintain a “Moderate Buy” consensus with an average price target of $62.82; the company also raised its quarterly dividend to $0.32 per share.

Nisa Investment Advisors LLC lifted its stake in Bank of America Corporation (NYSE:BAC - Free Report) by 3.3% during the 3rd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 2,085,801 shares of the financial services provider's stock after buying an additional 65,917 shares during the period. Bank of America makes up approximately 0.3% of Nisa Investment Advisors LLC's holdings, making the stock its 27th largest holding. Nisa Investment Advisors LLC's holdings in Bank of America were worth $113,530,000 as of its most recent SEC filing.

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

Bank of America News Summary

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

• Positive Sentiment: Bank of America’s second-quarter average loans rose 8% year over year while deposits increased 2%. Despite the uneven growth, net interest income climbed 9%, suggesting the bank is generating stronger returns from its deposit base and lending franchise. Bank of America Deposit Franchise Article
• Positive Sentiment: Bank of America was upgraded to a Buy rating by JLPascual. Other recent commentary indicated that the previously announced regulatory fine and earnings-related weakness may already be reflected in the stock, supporting the potential for a recovery. Bank of America Buy Upgrade
• Neutral Sentiment: The bank launched another investment-grade bond offering, including perpetual notes, shortly after raising $8 billion. The issuance may strengthen funding and capital flexibility, although it also adds financing costs and highlights continued reliance on wholesale markets. Bank of America Bond Sale
• Neutral Sentiment: Bank of America disclosed higher indirect stakes in Qiagen, ICU Girişim Sermayesi and Link Bilgisayar. These appear to be investment or regulatory ownership disclosures rather than changes to the core banking business. Qiagen Stake Disclosure
• Negative Sentiment: Multiple law firms announced or promoted securities-fraud investigations and class actions tied to alleged investor misstatements concerning anti-money-laundering and sanctions-compliance failures. The litigation follows more than $1.2 billion in federal penalties and creates potential legal costs and reputational damage. BAC Securities Class Action Alert
• Negative Sentiment: The latest reported quarter missed consensus estimates on both earnings and revenue, while broad bank stocks remain under pressure from rising Treasury yields and uncertainty over Federal Reserve policy. Bank Stocks Under Pressure

Bank of America Price Performance

BAC opened at $50.59 on Wednesday. The company has a debt-to-equity ratio of 1.17, a quick ratio of 0.82 and a current ratio of 0.82. The stock has a market capitalization of $353.77 billion, a PE ratio of 12.02, a price-to-earnings-growth ratio of 0.86 and a beta of 1.21. The stock's 50 day moving average price is $58.52 and its 200-day moving average price is $56.77. 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 quarterly earnings results 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). Bank of America had a return on equity of 12.15% and a net margin of 16.80%. The business had revenue of $29.96 billion during the quarter, compared to analysts' expectations of $30.58 billion. During the same period in the previous year, the business earned $1.06 EPS. The business's revenue was up 3.2% compared to the same quarter last year. On average, equities research analysts predict that Bank of America Corporation will post 4.54 EPS for the current 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 an increase from Bank of America's previous quarterly dividend of $0.28. Bank of America's payout ratio is presently 30.40%.

Analyst Ratings Changes

Several research analysts have recently issued reports on the stock. Morgan Stanley cut their target price on shares of Bank of America from $67.00 to $61.00 and set an "overweight" rating on the stock in a report on Thursday, October 15th. Wells Fargo & Company lowered their price target on shares of Bank of America from $69.00 to $64.00 and set an "overweight" rating for the company in a report on Thursday, October 15th. Citigroup lowered their price target on shares of Bank of America from $66.00 to $60.00 and set a "buy" rating for the company in a report on Thursday, October 15th. Robert W. Baird raised shares of Bank of America from a "neutral" rating to an "outperform" rating and set a $62.00 price target for the company in a research report on Thursday, October 15th. Finally, Royal Bank Of Canada cut their price target on shares of Bank of America from $65.00 to $60.00 and set an "outperform" rating on the stock in a report on Thursday, October 15th. Twenty 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, Bank of America has an average rating of "Moderate Buy" and an average target price of $62.82.

About Bank of America

Bank of America Corporation NYSE: BAC is a diversified financial services company headquartered in Charlotte, North Carolina. It provides banking, lending, investment, payments and financial management services to consumers, businesses, institutional investors and governments.

The company's consumer banking operations offer checking and savings accounts, credit cards, mortgages, home equity lending, auto loans and other consumer financial products. Through Merrill, Bank of America provides wealth management, investment advisory, brokerage and retirement services.

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