Capital Research Global Investors Raises Position in Bank of America Corporation $BAC

Key Points

• Capital Research Global Investors increased its Bank of America stake by 18.8% to 3,845,010 shares (about $198.4M), and institutional investors now own roughly 70.71% of BAC.
• Management expects higher net interest income (~+7%) and ~10% growth in investment banking fees in Q1, supported by trading strength and digital/AI initiatives, though shares are down about 13% YTD.
• Bank of America recently beat quarterly EPS estimates ($0.98 vs. $0.96), reported revenue up ~12.3% YoY, and declared a quarterly dividend of $0.28 (annualized $1.12, ~2.3% yield).

Capital Research Global Investors lifted its holdings in shares of Bank of America Corporation (NYSE:BAC - Free Report) by 18.8% during the third quarter, according to its most recent disclosure with the SEC. The fund owned 3,845,010 shares of the financial services provider's stock after acquiring an additional 608,187 shares during the period. Capital Research Global Investors owned approximately 0.05% of Bank of America worth $198,364,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also recently modified their holdings of the stock. Capital World Investors increased its position in shares of Bank of America by 11.0% in the 3rd quarter. Capital World Investors now owns 144,371,118 shares of the financial services provider's stock valued at $7,448,816,000 after acquiring an additional 14,275,810 shares during the period. Capital International Sarl grew its stake in Bank of America by 3.9% during the 3rd quarter. Capital International Sarl now owns 738,720 shares of the financial services provider's stock valued at $38,111,000 after purchasing an additional 27,620 shares during the last quarter. Capital International Inc. CA raised its stake in shares of Bank of America by 44.2% in the third quarter. Capital International Inc. CA now owns 1,687,217 shares of the financial services provider's stock worth $87,044,000 after purchasing an additional 517,360 shares during the last quarter. Legal & General Group Plc lifted its holdings in shares of Bank of America by 3.4% during the third quarter. Legal & General Group Plc now owns 43,924,104 shares of the financial services provider's stock worth $2,266,045,000 after purchasing an additional 1,458,551 shares during the period. Finally, Sienna Gestion purchased a new stake in Bank of America in the third quarter valued at approximately $1,265,000. 70.71% of the stock is owned by hedge funds and other institutional investors.

Bank of America News Roundup

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

• Positive Sentiment: BofA expects higher net interest income (about +7%) and ~10% growth in investment banking fees for Q1, which supports earnings upside from core banking and capital markets. BofA expects rising interest income, investment banking fees in first quarter
• Positive Sentiment: Analysts note fee-income tailwinds from stronger capital‑markets momentum (IB, trading, wealth), which should lift non‑interest revenue in Q1. BAC's Fee Income to Benefit From Solid Q1 Capital Markets Performance
• Positive Sentiment: Management commentary and memos indicate strong trading revenue and heightened client engagement in Q1, reinforcing the view of improved market‑driven revenue streams. Bank of America sees strong trading revenue in Q1, co-president says
• Positive Sentiment: Digital and AI initiatives are expanding client interactions and platform usage (Zelle, Erica, CashPro), which supports cross‑sell, lower cost-to-serve, and long‑term revenue growth. BofA AI and Digital Innovations Fuel 30 Billion Client Interactions
• Positive Sentiment: BofA is bolstering its tech and M&A capabilities by hiring senior tech bankers, aimed at capturing deal activity in a competitive segment. Bank of America poaches four top tech bankers to boost tech dealmaking, memos show
• Neutral Sentiment: BofA presented at the RBC Global Financial Institutions conference — useful detail for modeling but no new guidance; transcript provides management color. Bank of America Corporation (BAC) Presents at RBC Capital Markets Global Financial Institutions Conference 2026 Transcript
• Neutral Sentiment: Regulatory transparency disclosures show BofA holdings in several non‑bank names (Galapagos, Qiagen, Umicore) — operationally immaterial to BAC but noted by markets. Qiagen discloses Bank of America’s 3.05% stake following AFM notification
• Negative Sentiment: Shares have slid materially year‑to‑date (~13% YTD in recent coverage), raising valuation and sentiment concerns that can amplify downside on broader market weakness. Bank of America Stock Slides 12.9% YTD: Time to Buy the Dip or Wait?
• Negative Sentiment: Macro risk commentary (Korea bubble, geopolitical/market risk) from BofA strategists can pressure investor risk appetite and weigh on bank multiples despite solid company fundamentals. Korea stock-market action was ‘textbook bubble,’ say Bank of America strategists

Bank of America Trading Down 0.1%

Shares of Bank of America stock opened at $48.50 on Thursday. The firm has a 50-day simple moving average of $52.86 and a two-hundred day simple moving average of $52.51. The company has a market cap of $348.05 billion, a P/E ratio of 12.66, a price-to-earnings-growth ratio of 1.18 and a beta of 1.28. Bank of America Corporation has a fifty-two week low of $33.06 and a fifty-two week high of $57.55. The company has a debt-to-equity ratio of 1.15, a quick ratio of 0.80 and a current ratio of 0.80.

Bank of America (NYSE:BAC - Get Free Report) last posted its earnings results on Wednesday, January 14th. The financial services provider reported $0.98 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.96 by $0.02. The business had revenue of $4.53 billion for the quarter, compared to analyst estimates of $27.73 billion. Bank of America had a net margin of 16.23% and a return on equity of 11.07%. The company's revenue for the quarter was up 12.3% on a year-over-year basis. During the same period in the prior year, the company posted $0.82 EPS. As a group, equities analysts predict that Bank of America Corporation will post 3.7 earnings per share for the current fiscal year.

Bank of America Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, March 27th. Investors of record on Friday, March 6th will be paid a $0.28 dividend. The ex-dividend date of this dividend is Friday, March 6th. This represents a $1.12 dividend on an annualized basis and a yield of 2.3%. Bank of America's dividend payout ratio (DPR) is currently 29.24%.

Wall Street Analysts Forecast Growth

BAC has been the subject of a number of recent research reports. Piper Sandler raised their price target on shares of Bank of America from $56.00 to $57.00 and gave the stock a "neutral" rating in a research report on Thursday, January 15th. Barclays increased their price objective on shares of Bank of America from $59.00 to $71.00 and gave the stock an "overweight" rating in a research note on Monday, January 5th. Erste Group Bank cut shares of Bank of America from a "strong-buy" rating to a "hold" rating in a report on Wednesday, March 4th. TD Cowen lowered their price target on shares of Bank of America from $66.00 to $64.00 and set a "buy" rating on the stock in a report on Thursday, January 15th. Finally, The Goldman Sachs Group lifted their price objective on Bank of America from $65.00 to $67.00 and gave the company a "buy" rating in a research note on Monday, January 26th. Twenty-one research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company's stock. According to data from MarketBeat.com, Bank of America currently has an average rating of "Moderate Buy" and an average target price of $60.30.

Insider Buying and Selling at Bank of America

In other news, insider Thomas M. Scrivener sold 50,000 shares of the business's stock in a transaction dated Thursday, March 5th. The shares were sold at an average price of $49.82, for a total transaction of $2,491,000.00. Following the completion of the sale, the insider owned 227,973 shares of the company's stock, valued at $11,357,614.86. The trade was a 17.99% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider James P. Demare sold 83,832 shares of the firm's stock in a transaction dated Wednesday, March 4th. The shares were sold at an average price of $50.00, for a total transaction of $4,191,600.00. Following the completion of the transaction, the insider directly owned 307,240 shares in the company, valued at $15,362,000. This represents a 21.44% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.30% of the stock is currently owned by insiders.

About Bank of America

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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