West Family Investments Inc. Invests $1.01 Million in Bank of America Corporation $BAC

Key Points

• West Family Investments acquired 17,738 Bank of America shares worth approximately $1.01 million during the second quarter. Institutional investors collectively own 70.71% of BAC.
• Bank of America reported stronger-than-expected quarterly results, with EPS of $1.21 and revenue of $31.56 billion, up 19.6% year over year.
• The bank raised its quarterly dividend from $0.28 to $0.32 per share, implying an annualized dividend of $1.28 and a 2.1% yield; analysts maintain a “Moderate Buy” consensus with an average $64.08 price target.

West Family Investments Inc. acquired a new position in Bank of America Corporation (NYSE:BAC - Free Report) during the 2nd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor acquired 17,738 shares of the financial services provider's stock, valued at approximately $1,011,000.

A number of other institutional investors and hedge funds have also bought and sold shares of the stock. Handelsbanken Fonder AB grew its position in Bank of America by 53.0% in the fourth quarter. Handelsbanken Fonder AB now owns 4,629,553 shares of the financial services provider's stock worth $254,625,000 after acquiring an additional 1,603,080 shares in the last quarter. Legal & General Group Plc raised its position in Bank of America by 3.4% during the fourth quarter. Legal & General Group Plc now owns 45,411,913 shares of the financial services provider's stock valued at $2,497,655,000 after purchasing an additional 1,487,809 shares in the last quarter. Mondrian Investment Partners LTD lifted its stake in Bank of America by 34.3% during the fourth quarter. Mondrian Investment Partners LTD now owns 2,175,401 shares of the financial services provider's stock worth $119,647,000 after purchasing an additional 555,063 shares during the last quarter. International Assets Investment Management LLC lifted its stake in Bank of America by 217.4% during the fourth quarter. International Assets Investment Management LLC now owns 327,949 shares of the financial services provider's stock worth $18,037,000 after purchasing an additional 224,627 shares during the last quarter. Finally, Renaissance Technologies LLC purchased a new position in shares of Bank of America in the 1st quarter worth about $67,507,000. 70.71% of the stock is owned by hedge funds and other institutional investors.

Bank of America Stock Down 0.2%

Shares of Bank of America stock opened at $61.73 on Friday. The company has a debt-to-equity ratio of 1.23, a quick ratio of 0.82 and a current ratio of 0.83. Bank of America Corporation has a 52-week low of $46.12 and a 52-week high of $65.22. The stock has a market capitalization of $431.66 billion, a price-to-earnings ratio of 14.16, a P/E/G ratio of 0.98 and a beta of 1.17. The company's 50 day moving average price is $60.60 and its 200-day moving average price is $54.67.

Bank of America (NYSE:BAC - Get Free Report) last posted its quarterly earnings results on Tuesday, July 14th. The financial services provider reported $1.21 EPS for the quarter, beating analysts' consensus estimates of $1.13 by $0.08. The company had revenue of $31.56 billion during the quarter, compared to analyst estimates of $30.78 billion. Bank of America had a net margin of 17.56% and a return on equity of 12.20%. The firm's revenue was up 19.6% compared to the same quarter last year. During the same period in the prior year, the business posted $0.89 EPS. Equities research analysts forecast that Bank of America Corporation will post 4.68 EPS for the current year.

Bank of America Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 25th. Shareholders of record on Friday, September 4th will be given a $0.32 dividend. The ex-dividend date is Friday, September 4th. This is a positive change from Bank of America's previous quarterly dividend of $0.28. This represents a $1.28 dividend on an annualized basis and a dividend yield of 2.1%. Bank of America's dividend payout ratio is presently 25.69%.

Wall Street Analyst Weigh In

BAC has been the topic of a number of research reports. Truist Financial raised their price objective on Bank of America from $64.00 to $65.00 and gave the company a "buy" rating in a report on Wednesday, July 15th. Argus set a $70.00 target price on Bank of America in a research note on Wednesday, July 15th. Jefferies Financial Group reiterated a "buy" rating and set a $75.00 price target on shares of Bank of America in a research report on Tuesday, July 14th. Royal Bank Of Canada lifted their price target on shares of Bank of America from $59.00 to $65.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 15th. Finally, Keefe, Bruyette & Woods raised their price objective on Bank of America from $67.00 to $70.00 and gave the company an "outperform" rating in a research note on Wednesday, July 15th. Twenty-one investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the company. Based on data from MarketBeat, Bank of America presently has an average rating of "Moderate Buy" and an average price target of $64.08.

Bank of America News Summary

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

• Positive Sentiment: Bank of America’s active participation in the August bond market demonstrates continued access to wholesale funding and allows it to extend maturities through senior unsecured offerings. Its latest quarterly results also showed strong earnings and revenue growth, providing a fundamental counterweight to near-term concerns. Bank of America's Stock Market Signal Flashes Warning
• Neutral Sentiment: Bank of America increased its indirect stake in Turkish industrial technology company Hidropar to 5.386%. The disclosure indicates portfolio or client-related investment activity, but it is not expected to materially affect BAC’s earnings. Bank of America Lifts Indirect Stake in Hidropar to 5.386%
• Neutral Sentiment: Bank of America crossed a disclosure threshold in Smith & Nephew, reflecting an updated shareholding. The move is unlikely to have a meaningful direct impact on BAC’s common stock. Smith & Nephew Discloses Updated Bank of America Shareholding
• Neutral Sentiment: Bank of America’s analysts issued views on HP, Home Depot and Nvidia. These calls may generate research-related attention, but they do not materially change BAC’s own fundamentals. Bank of America Sends Warning on HP Stock
• Negative Sentiment: A market commentary warns that crowded positioning in Bank of America could make any broader-market pullback sharper. Separate analysis questions whether BAC is undervalued after its recent bond issuance, while noting recent short-term share-price weakness. These factors are weighing on sentiment despite the bank’s solid earnings profile. Bank of America's Stock Market Signal Flashes Warning Is Bank of America Undervalued?
• Negative Sentiment: Analysis of Bank of America preferred stock suggests that more attractive alternatives may exist than Series GG. While this primarily affects preferred securities, it can modestly temper sentiment toward BAC’s capital-raising instruments. Bank of America Preferreds: Better Propositions Available Than Series GG

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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