WCG Wealth Advisors LLC Has $3.99 Million Position in Bank of America Corporation $BAC

Key Points

• WCG Wealth Advisors LLC reduced its stake in Bank of America by 12% during the 1st quarter, holding a total of $3.99 million worth of shares after selling 12,999 shares.
• Bank of America recently increased its quarterly dividend from $0.26 to $0.28 per share, representing a 2.3% dividend yield.
• The company has announced a stock buyback plan authorizing the reacquisition of up to $40 billion in outstanding shares, which signals the board's belief that the stock is undervalued.

WCG Wealth Advisors LLC reduced its stake in Bank of America Corporation (NYSE:BAC) by 12.0% in the 1st quarter, according to the company in its most recent filing with the SEC. The fund owned 95,489 shares of the financial services provider's stock after selling 12,999 shares during the quarter. WCG Wealth Advisors LLC's holdings in Bank of America were worth $3,985,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Vega Investment Solutions acquired a new stake in Bank of America in the 4th quarter worth approximately $30,000. Marshall & Sterling Wealth Advisors Inc. acquired a new stake in Bank of America in the 4th quarter worth approximately $31,000. Spurstone Advisory Services LLC acquired a new stake in Bank of America in the 4th quarter worth approximately $34,000. Wood Tarver Financial Group LLC acquired a new stake in Bank of America in the 4th quarter worth approximately $38,000. Finally, Mascagni Wealth Management Inc. acquired a new stake in Bank of America in the 4th quarter worth approximately $40,000. 70.71% of the stock is currently owned by institutional investors and hedge funds.

Bank of America Price Performance

Shares of NYSE:BAC opened at $49.4850 on Monday. Bank of America Corporation has a 1-year low of $33.06 and a 1-year high of $49.66. The firm has a market capitalization of $366.53 billion, a PE ratio of 14.47, a PEG ratio of 1.92 and a beta of 1.31. The business's 50 day moving average is $47.06 and its 200-day moving average is $43.81. The company has a current ratio of 0.80, a quick ratio of 0.79 and a debt-to-equity ratio of 1.14.

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 earnings per share for the quarter, topping the consensus estimate of $0.86 by $0.03. Bank of America had a return on equity of 10.25% and a net margin of 14.81%.The company had revenue of ($22,273.00) million for the quarter, compared to analyst estimates of $26.79 billion. During the same quarter last year, the firm earned $0.83 EPS. Bank of America's revenue for the quarter was up 4.3% compared to the same quarter last year. Sell-side analysts predict that Bank of America Corporation will post 3.7 earnings per share for the current year.

Bank of America Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 26th. Stockholders of record on Friday, September 5th will be issued a dividend of $0.28 per share. This represents a $1.12 annualized dividend and a dividend yield of 2.3%. The ex-dividend date of this dividend is Friday, September 5th. This is a boost from Bank of America's previous quarterly dividend of $0.26. Bank of America's payout ratio is 32.75%.

Bank of America announced that its Board of Directors has approved a stock buyback plan on Wednesday, July 23rd that authorizes the company to repurchase $40.00 billion in outstanding shares. This repurchase authorization authorizes the financial services provider to reacquire up to 11.1% of its shares through open market purchases. Shares repurchase plans are often an indication that the company's board of directors believes its shares are undervalued.

Wall Street Analysts Forecast Growth

BAC has been the topic of several recent analyst reports. Royal Bank Of Canada set a $53.00 price target on Bank of America and gave the stock an "outperform" rating in a research report on Monday, June 30th. Truist Financial lifted their price target on Bank of America from $51.00 to $53.00 and gave the stock a "buy" rating in a research report on Wednesday, July 9th. Phillip Securities downgraded Bank of America from a "strong-buy" rating to a "moderate buy" rating in a research report on Friday, July 25th. The Goldman Sachs Group lifted their price target on Bank of America from $46.00 to $52.00 and gave the stock a "buy" rating in a research report on Tuesday, June 10th. Finally, Cowen initiated coverage on Bank of America in a research report on Wednesday, May 14th. They issued a "buy" rating on the stock. Seventeen investment analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $50.13.

Insider Buying and Selling at Bank of America

In other news, insider James P. Demare sold 148,391 shares of Bank of America stock in a transaction that occurred 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 sale, the insider owned 223,407 shares of the company's stock, valued at approximately $10,180,656.99. This trade represents a 39.91% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 0.30% of the company's stock.

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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