Bank of America Corporation (NYSE:BAC) Shares Sold by Fjarde AP Fonden Fourth Swedish National Pension Fund

Key Points

• Fjarde AP Fonden Fourth Swedish National Pension Fund reduced its stake in Bank of America by 20.6%, selling 233,800 shares to hold 902,570 shares worth approximately $37.66 million.
• Several institutional investors, including Price T Rowe Associates and Capital World Investors, increased their holdings in Bank of America during the fourth quarter, signaling renewed confidence in the company's stock.
• Bank of America announced a dividend increase to $0.28 per share, with an annualized yield of 2.4%, and initiated a $40 billion share repurchase program, indicating strong financial health.

Fjarde AP Fonden Fourth Swedish National Pension Fund cut its stake in Bank of America Corporation (NYSE:BAC - Free Report) by 20.6% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 902,570 shares of the financial services provider's stock after selling 233,800 shares during the quarter. Fjarde AP Fonden Fourth Swedish National Pension Fund's holdings in Bank of America were worth $37,664,000 at the end of the most recent reporting period.

Other large investors also recently bought and sold shares of the company. Vega Investment Solutions acquired a new position in Bank of America in the fourth quarter valued at approximately $30,000. Marshall & Sterling Wealth Advisors Inc. acquired a new position in Bank of America in the fourth quarter valued at approximately $31,000. Spurstone Advisory Services LLC acquired a new position in Bank of America in the fourth quarter valued at approximately $34,000. Wood Tarver Financial Group LLC acquired a new position in shares of Bank of America during the 4th quarter worth approximately $38,000. Finally, Mascagni Wealth Management Inc. acquired a new position in shares of Bank of America during the 4th quarter worth approximately $40,000. 70.71% of the stock is owned by institutional investors and hedge funds.

Insiders Place Their Bets

In other news, insider James P. Demare sold 148,391 shares of the business's 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 transaction, the insider owned 223,407 shares of the company's stock, valued at approximately $10,180,656.99. The trade was a 39.91% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.30% of the company's stock.

Wall Street Analysts Forecast Growth

Several research analysts have recently weighed in on the company. Citigroup upped their target price on Bank of America from $50.00 to $54.00 and gave the stock a "buy" rating in a research note on Thursday, June 26th. The Goldman Sachs Group upped their target price on Bank of America from $46.00 to $52.00 and gave the stock a "buy" rating in a research note on Tuesday, June 10th. Oppenheimer upped their target price on Bank of America from $55.00 to $57.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 30th. Morgan Stanley upped their target price on Bank of America from $47.00 to $49.00 and gave the stock an "overweight" rating in a research note on Monday, June 23rd. Finally, Hsbc Global Res downgraded Bank of America from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, July 8th. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating and seventeen have given a buy rating to the company. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $50.13.

Bank of America Trading Down 1.7%

Bank of America stock traded down $0.80 during midday trading on Friday, reaching $46.91. 26,258,666 shares of the stock traded hands, compared to its average volume of 33,527,488. The company has a 50-day simple moving average of $46.69 and a two-hundred day simple moving average of $43.79. Bank of America Corporation has a 12-month low of $33.06 and a 12-month high of $49.31. The firm has a market cap of $347.46 billion, a PE ratio of 13.72, a price-to-earnings-growth ratio of 1.85 and a beta of 1.31. The company has a current ratio of 0.80, a quick ratio of 0.79 and a debt-to-equity ratio of 1.14.

Bank of America (NYSE:BAC - Get Free Report) last posted its quarterly earnings results on Wednesday, July 16th. The financial services provider reported $0.89 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.86 by $0.03. The company had revenue of ($22,273.00) million for the quarter, compared to analyst estimates of $26.79 billion. Bank of America had a return on equity of 10.25% and a net margin of 14.81%. Bank of America's revenue for the quarter was up 4.3% compared to the same quarter last year. During the same quarter last year, the company earned $0.83 EPS. Research analysts expect that Bank of America Corporation will post 3.7 earnings per share for the current fiscal year.

Bank of America declared that its board has initiated a share buyback plan on Wednesday, July 23rd that authorizes the company to repurchase $40.00 billion in outstanding shares. This repurchase authorization authorizes the financial services provider to reacquire up to 11.1% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's management believes its stock is undervalued.

Bank of America Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 26th. Shareholders of record on Friday, September 5th will be paid a $0.28 dividend. This is an increase from Bank of America's previous quarterly dividend of $0.26. This represents a $1.12 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date is Friday, September 5th. Bank of America's dividend payout ratio (DPR) is presently 32.75%.

Bank of America Company Profile

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.