Signal Advisors Wealth LLC Reduces Stock Position in Bank of America Corporation $BAC

Key Points

• Signal Advisors Wealth LLC significantly reduced its stake in Bank of America Corporation by 70.9%, now holding 10,624 shares valued at approximately $503,000.
• In the same timeframe, other institutional investors, including Deutsche Bank AG and Bank of New York Mellon Corp, increased their positions in Bank of America, with significant share acquisitions.
• Bank of America also announced a $40 billion stock repurchase plan and increased its quarterly dividend from $0.26 to $0.28, demonstrating confidence in its valuation and financial health.

Signal Advisors Wealth LLC lessened its position in shares of Bank of America Corporation (NYSE:BAC - Free Report) by 70.9% during the 2nd quarter, according to the company in its most recent 13F filing with the SEC. The firm owned 10,624 shares of the financial services provider's stock after selling 25,897 shares during the quarter. Signal Advisors Wealth LLC's holdings in Bank of America were worth $503,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Nicholas Hoffman & Company LLC. raised its position in Bank of America by 121.0% in the first quarter. Nicholas Hoffman & Company LLC. now owns 62,041 shares of the financial services provider's stock valued at $2,589,000 after purchasing an additional 33,963 shares during the period. Gradient Investments LLC raised its position in Bank of America by 7.8% in the first quarter. Gradient Investments LLC now owns 696,416 shares of the financial services provider's stock valued at $29,061,000 after purchasing an additional 50,296 shares during the period. Prosperity Wealth Management Inc. purchased a new stake in Bank of America in the first quarter valued at approximately $998,000. Alpha Cubed Investments LLC raised its position in Bank of America by 37.2% in the first quarter. Alpha Cubed Investments LLC now owns 65,038 shares of the financial services provider's stock valued at $2,714,000 after purchasing an additional 17,619 shares during the period. Finally, International Assets Investment Management LLC raised its position in Bank of America by 170.5% in the first quarter. International Assets Investment Management LLC now owns 238,473 shares of the financial services provider's stock valued at $9,951,000 after purchasing an additional 150,299 shares during the period. Hedge funds and other institutional investors own 70.71% of the company's stock.

Insider Buying and Selling

In related news, insider James P. Demare sold 148,391 shares of the firm's stock in a transaction dated 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 owned 223,407 shares in the company, valued at $10,180,656.99. This trade represents a 39.91% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.30% of the stock is currently owned by insiders.

Bank of America Stock Performance

BAC traded down $0.36 on Monday, reaching $51.90. The company had a trading volume of 15,150,307 shares, compared to its average volume of 41,713,273. The stock has a 50-day moving average price of $48.55 and a 200-day moving average price of $44.55. Bank of America Corporation has a 1 year low of $33.06 and a 1 year high of $52.66. 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 stock has a market capitalization of $384.38 billion, a PE ratio of 15.18, a P/E/G ratio of 2.03 and a beta of 1.34.

Bank of America (NYSE:BAC - Get Free Report) last announced its earnings results 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. Bank of America had a net margin of 14.81% and a return on equity of 10.25%. The business had revenue of ($22,273.00) million during the quarter, compared to analysts' expectations of $26.79 billion. During the same period in the prior year, the company earned $0.83 earnings per share. The business's revenue was up 4.3% compared to the same quarter last year. As a group, research analysts forecast that Bank of America Corporation will post 3.7 EPS for the current fiscal year.

Bank of America declared that its Board of Directors has initiated a share buyback plan on Wednesday, July 23rd that authorizes the company to repurchase $40.00 billion in shares. This repurchase authorization authorizes the financial services provider to repurchase 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. Investors of record on Friday, September 5th will be given a $0.28 dividend. The ex-dividend date is Friday, September 5th. 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 2.2%. Bank of America's payout ratio is 32.75%.

Analyst Upgrades and Downgrades

BAC has been the topic of a number of research analyst reports. HSBC lowered Bank of America from a "buy" rating to a "hold" rating and boosted their target price for the company from $47.00 to $51.00 in a research report on Monday, July 7th. Hsbc Global Res downgraded shares of Bank of America from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, July 8th. Wall Street Zen upgraded shares of Bank of America from a "sell" rating to a "hold" rating in a research note on Saturday, September 13th. Oppenheimer boosted their target price on shares of Bank of America from $55.00 to $57.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 30th. Finally, Citigroup boosted their target price on shares of Bank of America from $54.00 to $58.00 and gave the stock a "buy" rating in a research note on Friday. Sixteen analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $50.82.

About Bank of America

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.