Nordea Investment Management AB Has $83.17 Million Stock Position in Bank of America Corporation $BAC

Key Points

• Nordea Investment Management AB reduced its stake in Bank of America by 7%, now holding approximately $83.17 million worth of shares after selling 130,864 shares in Q2.
• Bank of America reported a quarterly EPS of $1.06, surpassing analyst expectations, with revenue of $28.09 billion, marking a year-over-year increase of 10.8%.
• The company initiated a $40 billion stock buyback program and increased its quarterly dividend to $0.28 per share, reflecting confidence in its stock value.

Nordea Investment Management AB decreased its position in Bank of America Corporation (NYSE:BAC) by 7.0% in the 2nd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 1,749,976 shares of the financial services provider's stock after selling 130,864 shares during the period. Nordea Investment Management AB's holdings in Bank of America were worth $83,168,000 as of its most recent SEC filing.

Several other large investors have also recently added to or reduced their stakes in BAC. Deutsche Bank AG raised its holdings in Bank of America by 45.1% in the 1st quarter. Deutsche Bank AG now owns 48,112,090 shares of the financial services provider's stock valued at $2,007,718,000 after acquiring an additional 14,960,086 shares in the last quarter. Unisphere Establishment raised its holdings in Bank of America by 1,642.5% in the 1st quarter. Unisphere Establishment now owns 4,195,000 shares of the financial services provider's stock valued at $175,057,000 after acquiring an additional 3,954,250 shares in the last quarter. Kingstone Capital Partners Texas LLC acquired a new position in Bank of America in the 2nd quarter valued at approximately $164,623,000. Maverick Capital Ltd. acquired a new position in Bank of America in the 1st quarter valued at approximately $152,098,000. Finally, AMF Tjanstepension AB raised its holdings in Bank of America by 62.9% in the 2nd quarter. AMF Tjanstepension AB now owns 8,904,561 shares of the financial services provider's stock valued at $421,564,000 after acquiring an additional 3,438,876 shares in the last quarter. Institutional investors and hedge funds own 70.71% of the company's stock.

Insider Buying and Selling

In other Bank of America news, insider James P. Demare sold 148,391 shares of the company's stock in a transaction on Friday, August 1st. The stock was sold at an average price of $45.57, for a total transaction 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. This represents a 39.91% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.30% of the stock is currently owned by company insiders.

Bank of America Stock Up 1.7%

NYSE BAC opened at $51.28 on Friday. The firm has a market cap of $379.83 billion, a PE ratio of 13.97, a price-to-earnings-growth ratio of 1.96 and a beta of 1.33. Bank of America Corporation has a one year low of $33.06 and a one year high of $52.88. The stock's 50 day simple moving average is $50.11 and its 200 day simple moving average is $45.82. The company has a debt-to-equity ratio of 1.12, a current ratio of 0.79 and a quick ratio of 0.79.

Bank of America (NYSE:BAC - Get Free Report) last released its quarterly earnings results on Wednesday, October 15th. The financial services provider reported $1.06 EPS for the quarter, topping analysts' consensus estimates of $0.93 by $0.13. The business had revenue of $28.09 billion for the quarter, compared to analyst estimates of $27.05 billion. Bank of America had a return on equity of 10.76% and a net margin of 15.70%.Bank of America's revenue for the quarter was up 10.8% on a year-over-year basis. During the same period in the prior year, the company earned $0.81 EPS. As a group, sell-side analysts forecast 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 stock repurchase program on Wednesday, July 23rd that permits the company to buyback $40.00 billion in outstanding shares. This buyback authorization permits the financial services provider to buy up to 11.1% of its shares through open market purchases. Shares buyback programs are often an indication that the company's board believes its shares are undervalued.

Bank of America Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, September 26th. Investors of record on Friday, September 5th were given a dividend of $0.28 per share. This is a boost from Bank of America's previous quarterly dividend of $0.26. The ex-dividend date was Friday, September 5th. This represents a $1.12 dividend on an annualized basis and a yield of 2.2%. Bank of America's dividend payout ratio is currently 30.52%.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on the company. Hsbc Global Res lowered Bank of America from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, July 8th. Baird R W lowered Bank of America from a "strong-buy" rating to a "hold" rating in a research note on Friday, June 27th. Evercore ISI upped their price objective on Bank of America from $55.00 to $57.00 and gave the company an "outperform" rating in a research note on Thursday. Wall Street Zen upgraded Bank of America from a "sell" rating to a "hold" rating in a research note on Sunday. Finally, Wells Fargo & Company upped their price objective 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. Twenty-one equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $57.29.

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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