Mutual of America Capital Management LLC Cuts Stake in Bank of America Corporation $BAC

Key Points

• Mutual of America Capital Management trimmed its Bank of America stake by 2.3% in the fourth quarter, selling 17,245 shares and leaving it with 721,422 shares valued at about $39.7 million.
• Bank of America posted better-than-expected first-quarter results, with EPS of $1.11 versus the $1.00 consensus and revenue of $30.27 billion, up 10.7% year over year.
• The company also raised attention from analysts and investors, with several firms lifting price targets and the stock carrying a consensus “Moderate Buy” rating and average target of $61.06.

Mutual of America Capital Management LLC lessened its holdings in shares of Bank of America Corporation (NYSE:BAC - Free Report) by 2.3% in the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 721,422 shares of the financial services provider's stock after selling 17,245 shares during the period. Bank of America accounts for approximately 0.4% of Mutual of America Capital Management LLC's investment portfolio, making the stock its 23rd biggest position. Mutual of America Capital Management LLC's holdings in Bank of America were worth $39,678,000 as of its most recent SEC filing.

Other large investors also recently bought and sold shares of the company. Legacy Bridge LLC grew its stake in Bank of America by 182.3% during the 4th quarter. Legacy Bridge LLC now owns 511 shares of the financial services provider's stock valued at $28,000 after acquiring an additional 330 shares in the last quarter. Wiser Advisor Group LLC purchased a new stake in shares of Bank of America in the 3rd quarter valued at approximately $27,000. Collier Financial purchased a new stake in shares of Bank of America in the 3rd quarter valued at approximately $30,000. Joseph Group Capital Management purchased a new stake in shares of Bank of America in the 4th quarter valued at approximately $32,000. Finally, HFM Investment Advisors LLC grew its stake in shares of Bank of America by 566.0% in the 4th quarter. HFM Investment Advisors LLC now owns 626 shares of the financial services provider's stock valued at $34,000 after buying an additional 532 shares during the period. Hedge funds and other institutional investors own 70.71% of the company's stock.

Bank of America Price Performance

Bank of America stock opened at $51.48 on Tuesday. The firm has a market cap of $365.36 billion, a PE ratio of 12.74, a price-to-earnings-growth ratio of 0.87 and a beta of 1.21. Bank of America Corporation has a 52-week low of $43.36 and a 52-week high of $57.55. The company has a quick ratio of 0.81, a current ratio of 0.81 and a debt-to-equity ratio of 1.18. The company's 50 day moving average is $51.20 and its two-hundred day moving average is $52.30.

Bank of America (NYSE:BAC - Get Free Report) last released its earnings results on Wednesday, April 15th. The financial services provider reported $1.11 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.00 by $0.11. Bank of America had a net margin of 16.78% and a return on equity of 11.49%. The company had revenue of $30.27 billion for the quarter, compared to analyst estimates of $29.72 billion. During the same period in the prior year, the business earned $0.90 EPS. The firm's quarterly revenue was up 10.7% on a year-over-year basis. On average, research analysts expect that Bank of America Corporation will post 4.45 EPS for the current fiscal year.

Bank of America Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, June 26th. Stockholders of record on Friday, June 5th will be issued a $0.28 dividend. This represents a $1.12 dividend on an annualized basis and a dividend yield of 2.2%. The ex-dividend date is Friday, June 5th. Bank of America's dividend payout ratio (DPR) is presently 27.72%.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on the stock. Weiss Ratings reissued a "buy (b)" rating on shares of Bank of America in a research note on Friday, April 24th. Argus increased their price target on shares of Bank of America from $59.00 to $62.00 and gave the company a "buy" rating in a research note on Thursday, April 16th. The Goldman Sachs Group increased their price target on shares of Bank of America from $58.00 to $63.00 and gave the company a "buy" rating in a research note on Thursday, April 16th. HSBC increased their price target on shares of Bank of America from $55.00 to $60.00 and gave the company a "buy" rating in a research note on Thursday, April 16th. Finally, Robert W. Baird increased their price target on shares of Bank of America from $56.00 to $58.00 and gave the company a "neutral" rating in a research note on Thursday, April 16th. Twenty-two equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat.com, Bank of America has a consensus rating of "Moderate Buy" and a consensus price target of $61.06.

Insider Activity

In other news, insider Geoffrey S. Greener sold 126,756 shares of the firm's stock in a transaction on Tuesday, May 5th. The shares were sold at an average price of $53.01, for a total value of $6,719,335.56. Following the sale, the insider directly owned 1,373,397 shares in the company, valued at approximately $72,803,774.97. This trade represents a 8.45% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Thomas M. Scrivener sold 50,000 shares of the firm's stock in a transaction on 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 in the company, valued at $11,357,614.86. The trade was a 17.99% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 354,588 shares of company stock valued at $17,814,296 over the last quarter. Company insiders own 0.27% of the company's stock.

Key Bank of America News

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

• Positive Sentiment: Analysts and commentators continue to highlight Bank of America’s earnings power, with recent pieces pointing to its strong deposit franchise, attractive valuation, and resilient near-term outlook. Bank of America's Deposit Franchise Is the Hidden Asset Investors Keep Missing
• Positive Sentiment: Reuters-referenced reports say BAC expects second-quarter trading revenue to rise about 15% year over year, helped by elevated market volatility and stronger trading activity, which could lift results. Bank of America (BAC) Expects Q2 Trading Revenue to Jump 15%, Reuters Reports
• Positive Sentiment: Another recent note said Bank of America’s CEO sounded constructive on the near-term outlook, including better full-year net interest income trends, reinforcing confidence in the bank’s core business. Is Bank of America (BAC) the Best Undervalued Financial Stock to Buy Now?
• Neutral Sentiment: Several items focused on Bank of America Securities research in unrelated markets such as Indian IT, Amazon’s satellite internet plans, and Nvidia’s AI platform; these reinforce BAC’s broader market intelligence franchise but are unlikely to move the stock on their own. AI will expand opportunities for Indian IT; luxury housing demand remains strong: BofA Securities
• Neutral Sentiment: Coverage saying Bank of America kept a neutral view on AST SpaceMobile was about another company and does not materially affect BAC’s fundamentals. Bank of America and New Street Research Maintain Neutral Stance on AST SpaceMobile (ASTS) Amid Launch Delays
• Neutral Sentiment: Articles on BofA-hosted investor forums in Asia and quant markets indicate active client engagement and asset-management relationships, but they are not direct stock catalysts. BofA Securities Asia Forum Gathers Global Investors Amid Surge in Hedge Funds Allocations

Bank of America Profile

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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