Grimes & Company Inc. Has $13.50 Million Stock Holdings in Bank of America Corporation $BAC

Key Points

• Grimes & Company Inc. increased its holdings in Bank of America by 4.4% during the 2nd quarter, now owning 285,283 shares valued at $13.5 million.
• The company recently declared a quarterly dividend of $0.28 per share, raising it from the previous $0.26, with a current annualized yield of 2.2%.
• Bank of America has announced a share buyback plan allowing the repurchase of $40 billion in shares, indicating management's belief that the stock is undervalued.

Grimes & Company Inc. boosted its holdings in shares of Bank of America Corporation (NYSE:BAC) by 4.4% during the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 285,283 shares of the financial services provider's stock after buying an additional 11,898 shares during the period. Grimes & Company Inc.'s holdings in Bank of America were worth $13,500,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds also recently made changes to their positions in BAC. Brighton Jones LLC raised its holdings in shares of Bank of America by 30.0% in the fourth quarter. Brighton Jones LLC now owns 108,872 shares of the financial services provider's stock valued at $4,785,000 after purchasing an additional 25,143 shares during the last quarter. Impact Capital Partners LLC raised its holdings in shares of Bank of America by 5.1% in the first quarter. Impact Capital Partners LLC now owns 9,606 shares of the financial services provider's stock valued at $401,000 after purchasing an additional 465 shares during the last quarter. Sivia Capital Partners LLC raised its holdings in shares of Bank of America by 8.8% in the first quarter. Sivia Capital Partners LLC now owns 15,227 shares of the financial services provider's stock valued at $635,000 after purchasing an additional 1,230 shares during the last quarter. Perennial Advisors LLC purchased a new stake in shares of Bank of America in the first quarter valued at about $360,000. Finally, Charter Oak Capital Management LLC raised its holdings 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 purchasing an additional 390 shares during the last quarter. Hedge funds and other institutional investors own 70.71% of the company's stock.

Bank of America Price Performance

BAC opened at $50.63 on Monday. The company has a market capitalization of $374.98 billion, a price-to-earnings ratio of 14.80, a PEG ratio of 1.96 and a beta of 1.33. The company has a quick ratio of 0.79, a current ratio of 0.80 and a debt-to-equity ratio of 1.14. The firm has a 50-day moving average price of $49.37 and a 200-day moving average price of $45.30. Bank of America Corporation has a twelve month low of $33.06 and a twelve month high of $52.88.

Bank of America (NYSE:BAC - Get Free Report) last posted its earnings results 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 net margin of 14.81% and a return on equity of 10.25%. The firm had revenue of ($22,273.00) million during the quarter, compared to the consensus estimate of $26.79 billion. During the same quarter last year, the company earned $0.83 earnings per share. The company's revenue was up 4.3% on a year-over-year basis. Equities analysts expect that Bank of America Corporation will post 3.7 EPS for the current year.

Bank of America Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, September 26th. Shareholders of record on Friday, September 5th were paid a $0.28 dividend. The ex-dividend date of this dividend was Friday, September 5th. This represents a $1.12 dividend on an annualized basis and a yield of 2.2%. This is a boost from Bank of America's previous quarterly dividend of $0.26. Bank of America's dividend payout ratio is presently 32.75%.

Bank of America announced that its board has approved a share buyback plan on Wednesday, July 23rd that permits the company to buyback $40.00 billion in shares. This buyback authorization permits the financial services provider to repurchase up to 11.1% of its stock through open market purchases. Stock buyback plans are often a sign that the company's leadership believes its stock is undervalued.

Analysts Set New Price Targets

Several analysts have recently commented on the stock. Robert W. Baird reiterated a "neutral" rating and issued a $52.00 target price on shares of Bank of America in a report on Friday, June 27th. Wells Fargo & Company increased their target price on shares of Bank of America from $56.00 to $60.00 and gave the company an "overweight" rating in a report on Tuesday, September 16th. TD Cowen raised their price objective on shares of Bank of America from $54.00 to $59.00 and gave the stock a "buy" rating in a report on Friday. Phillip Securities downgraded shares of Bank of America from a "strong-buy" rating to a "moderate buy" rating in a report on Friday, July 25th. Finally, HSBC raised their price objective on shares of Bank of America from $51.00 to $53.00 and gave the stock a "hold" rating in a report on Thursday. Nineteen analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $53.38.

Insider Buying and Selling

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 shares were sold at an average price of $45.57, for a total value of $6,762,177.87. Following the completion of the sale, the insider directly owned 223,407 shares in the company, valued at approximately $10,180,656.99. The trade was a 39.91% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. 0.30% of the stock is currently owned by corporate insiders.

Bank of America 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.

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