Sierra Summit Advisors LLC Has $1.86 Million Holdings in Bank of America Corporation (NYSE:BAC)

Key Points

• Sierra Summit Advisors LLC increased its holdings in Bank of America by 57.2%, acquiring 16,237 shares to reach a total of 44,648 shares valued at approximately $1.86 million.
• Bank of America announced a $40 billion share repurchase program to reacquire up to 11.1% of its shares, indicating the board's belief that the stock is undervalued.
• The company plans to increase its quarterly dividend to $0.28 per share, up from the previous $0.26, reflecting a 2.4% yield for shareholders.

Sierra Summit Advisors LLC boosted its holdings in shares of Bank of America Corporation (NYSE:BAC - Free Report) by 57.2% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 44,648 shares of the financial services provider's stock after acquiring an additional 16,237 shares during the quarter. Sierra Summit Advisors LLC's holdings in Bank of America were worth $1,863,000 at the end of the most recent quarter.

A number of other institutional investors have also recently bought and sold shares of BAC. Hayek Kallen Investment Management raised its stake in shares of Bank of America by 2.0% during the 4th quarter. Hayek Kallen Investment Management now owns 12,022 shares of the financial services provider's stock worth $528,000 after purchasing an additional 233 shares in the last quarter. Continuum Advisory LLC raised its stake in shares of Bank of America by 1.4% in the 4th quarter. Continuum Advisory LLC now owns 16,707 shares of the financial services provider's stock valued at $734,000 after acquiring an additional 237 shares in the last quarter. Menard Financial Group LLC raised its stake in shares of Bank of America by 1.2% in the 4th quarter. Menard Financial Group LLC now owns 20,620 shares of the financial services provider's stock valued at $906,000 after acquiring an additional 240 shares in the last quarter. Northern Financial Advisors Inc raised its stake in shares of Bank of America by 1.8% in the 1st quarter. Northern Financial Advisors Inc now owns 14,383 shares of the financial services provider's stock valued at $600,000 after acquiring an additional 252 shares in the last quarter. Finally, Bank of Jackson Hole Trust raised its stake in shares of Bank of America by 1.4% in the 1st quarter. Bank of Jackson Hole Trust now owns 18,053 shares of the financial services provider's stock valued at $832,000 after acquiring an additional 257 shares in the last quarter. 70.71% of the stock is currently owned by institutional investors and hedge funds.

Bank of America Stock Up 2.5%

Shares of BAC opened at $46.03 on Friday. The company has a market capitalization of $340.94 billion, a P/E ratio of 13.46, a PEG ratio of 1.74 and a beta of 1.31. The company has a debt-to-equity ratio of 1.14, a current ratio of 0.80 and a quick ratio of 0.79. Bank of America Corporation has a one year low of $33.06 and a one year high of $49.31. The business's 50 day simple moving average is $46.43 and its 200-day simple moving average is $43.77.

Bank of America (NYSE:BAC - Get Free Report) last announced its quarterly earnings data on Wednesday, July 16th. The financial services provider reported $0.89 EPS for the quarter, beating analysts' consensus estimates of $0.86 by $0.03. The firm 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%. The business's quarterly revenue was up 4.3% compared to the same quarter last year. During the same period last year, the company earned $0.83 EPS. As a group, sell-side analysts predict that Bank of America Corporation will post 3.7 EPS for the current fiscal year.

Bank of America announced that its board has approved a share repurchase program on Wednesday, July 23rd that allows the company to buyback $40.00 billion in shares. This buyback authorization allows the financial services provider to reacquire up to 11.1% of its shares through open market purchases. Shares buyback programs are often a sign that the company's board believes its shares are 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 given a $0.28 dividend. This represents a $1.12 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date is Friday, September 5th. This is a positive change from Bank of America's previous quarterly dividend of $0.26. Bank of America's dividend payout ratio is 30.41%.

Insider Buying and Selling

In other Bank of America news, insider James P. Demare sold 148,391 shares of the stock in a transaction 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 directly owned 223,407 shares in the company, valued at approximately $10,180,656.99. This trade represents a 39.91% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 0.30% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research analysts recently weighed in on BAC shares. Citigroup raised their price objective on Bank of America from $50.00 to $54.00 and gave the company a "buy" rating in a research note on Thursday, June 26th. Truist Financial raised their target price on Bank of America from $51.00 to $53.00 and gave the company a "buy" rating in a report on Wednesday, July 9th. HSBC lowered Bank of America from a "buy" rating to a "hold" rating and raised their target price for the company from $47.00 to $51.00 in a report on Monday, July 7th. TD Cowen started coverage on Bank of America in a report on Thursday, May 15th. They issued a "buy" rating and a $53.00 target price on the stock. Finally, Hsbc Global Res lowered Bank of America from a "strong-buy" rating to a "hold" rating in a report on Tuesday, July 8th. One analyst has rated the stock with a sell rating, five have assigned a hold rating and seventeen have given a buy rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus target price of $50.13.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.