Cullinan Associates Inc. Sells 11,000 Shares of Bank of America Corporation $BAC

Key Points

• Cullinan Associates Inc. reduced its stake in Bank of America by 16.3%, selling 11,000 shares and leaving them with 56,325 shares valued at approximately $2.67 million.
• Bank of America’s quarterly dividend was recently increased to $0.28 per share, resulting in an annualized dividend of $1.12 and a dividend yield of 2.2%.
• Several analysts have boosted their price targets on Bank of America, with HSBC raising its target from $51 to $53, while Wells Fargo increased theirs from $56 to $60, and the consensus rating remains a "Moderate Buy."

Cullinan Associates Inc. lessened its stake in Bank of America Corporation (NYSE:BAC - Free Report) by 16.3% during the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 56,325 shares of the financial services provider's stock after selling 11,000 shares during the quarter. Cullinan Associates Inc.'s holdings in Bank of America were worth $2,665,000 at the end of the most recent reporting period.

Other large investors also recently modified their holdings of the company. Brighton Jones LLC lifted its holdings in Bank of America by 30.0% during the fourth quarter. Brighton Jones LLC now owns 108,872 shares of the financial services provider's stock worth $4,785,000 after acquiring an additional 25,143 shares during the period. Impact Capital Partners LLC lifted its holdings in Bank of America by 5.1% during the first quarter. Impact Capital Partners LLC now owns 9,606 shares of the financial services provider's stock worth $401,000 after acquiring an additional 465 shares during the period. Sivia Capital Partners LLC lifted its holdings in Bank of America by 8.8% during the first quarter. Sivia Capital Partners LLC now owns 15,227 shares of the financial services provider's stock worth $635,000 after acquiring an additional 1,230 shares during the period. Perennial Advisors LLC bought a new stake in Bank of America during the first quarter worth $360,000. Finally, Charter Oak Capital Management LLC raised its stake in shares of Bank of America by 6.5% in the first quarter. Charter Oak Capital Management LLC now owns 6,379 shares of the financial services provider's stock valued at $266,000 after buying an additional 390 shares during the period. Institutional investors own 70.71% of the company's stock.

Insider Activity

In other news, insider James P. Demare sold 148,391 shares of the stock in a transaction that occurred on Friday, August 1st. The stock was sold at an average price of $45.57, for a total value of $6,762,177.87. Following the completion of the transaction, the insider owned 223,407 shares of the company's stock, valued at approximately $10,180,656.99. This represents a 39.91% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 0.30% of the company's stock.

Analyst Ratings Changes

Several analysts have issued reports on the company. HSBC boosted their target price on Bank of America from $51.00 to $53.00 and gave the company a "hold" rating in a research note on Thursday. Phillip Securities lowered Bank of America from a "strong-buy" rating to a "moderate buy" rating in a research note on Friday, July 25th. Wells Fargo & Company boosted their target price on Bank of America from $56.00 to $60.00 and gave the company an "overweight" rating in a research note on Tuesday, September 16th. Royal Bank Of Canada boosted their target price on Bank of America from $53.00 to $56.00 and gave the company an "outperform" rating in a research note on Wednesday, October 1st. Finally, Evercore ISI boosted their target price on Bank of America from $49.00 to $55.00 and gave the company an "outperform" rating in a research note on Tuesday, September 30th. Nineteen analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $53.38.

Bank of America Trading Up 0.3%

NYSE BAC opened at $50.63 on Monday. Bank of America Corporation has a fifty-two week low of $33.06 and a fifty-two week high of $52.88. The company has a debt-to-equity ratio of 1.14, a quick ratio of 0.79 and a current ratio of 0.80. The stock has a 50 day simple moving average of $49.37 and a two-hundred day simple moving average of $45.30. The stock has a market cap of $374.98 billion, a P/E ratio of 14.80, a price-to-earnings-growth ratio of 1.96 and a beta of 1.33.

Bank of America (NYSE:BAC - Get Free Report) last released its quarterly earnings data on Wednesday, July 16th. The financial services provider reported $0.89 earnings per share for the quarter, topping the consensus estimate of $0.86 by $0.03. Bank of America had a return on equity of 10.25% and a net margin of 14.81%.The business had revenue of ($22,273.00) million during the quarter, compared to analysts' expectations of $26.79 billion. During the same quarter last year, the business posted $0.83 EPS. The business's revenue was up 4.3% on a year-over-year basis. On average, analysts forecast that Bank of America Corporation will post 3.7 earnings per share for the current year.

Bank of America declared that its Board of Directors has initiated a stock repurchase program on Wednesday, July 23rd that permits the company to repurchase $40.00 billion in shares. This repurchase authorization permits the financial services provider to buy up to 11.1% of its shares through open market purchases. Shares repurchase programs are generally a sign that the company's board believes its shares are undervalued.

Bank of America Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, September 26th. Stockholders of record on Friday, September 5th were given a $0.28 dividend. The ex-dividend date of this dividend was Friday, September 5th. This represents a $1.12 annualized dividend and a dividend yield of 2.2%. This is an increase from Bank of America's previous quarterly dividend of $0.26. Bank of America's dividend payout ratio is currently 32.75%.

About Bank of America

Bank of America Corporation, through its subsidiaries, provides banking and financial products and services for individual consumers, small and middle-market businesses, institutional investors, large corporations, and governments worldwide. It operates in four segments: Consumer Banking, Global Wealth & Investment Management (GWIM), Global Banking, and Global Markets.

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