Q3 EPS Estimates for Bank of America Cut by Zacks Research

Key Points

• Zacks Research has lowered its Q3 2025 EPS estimate for Bank of America to $0.91 from $0.92, while the full-year consensus estimate remains at $3.70 per share.
• Bank of America has recently initiated a stock repurchase program allowing up to $40 billion in buybacks, indicating confidence in their stock valuation.
• The company increased its quarterly dividend from $0.26 to $0.28 per share, reflecting a 2.1% yield for investors.

Bank of America Corporation (NYSE:BAC - Free Report) - Equities research analysts at Zacks Research dropped their Q3 2025 earnings per share (EPS) estimates for shares of Bank of America in a research note issued on Monday, September 29th. Zacks Research analyst Team now expects that the financial services provider will post earnings of $0.91 per share for the quarter, down from their prior estimate of $0.92. The consensus estimate for Bank of America's current full-year earnings is $3.70 per share. Zacks Research also issued estimates for Bank of America's Q3 2026 earnings at $1.05 EPS and FY2026 earnings at $4.20 EPS.

A number of other research firms have also issued reports on BAC. Morgan Stanley boosted their price objective on Bank of America from $50.00 to $66.00 and gave the company an "overweight" rating in a research note on Monday. Hsbc Global Res lowered Bank of America from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, July 8th. Phillip Securities lowered Bank of America from a "strong-buy" rating to a "moderate buy" rating in a research note on Friday, July 25th. Baird R W lowered Bank of America from a "strong-buy" rating to a "hold" rating in a research note on Friday, June 27th. Finally, Royal Bank Of Canada set a $53.00 target price on Bank of America and gave the stock an "outperform" rating in a research note on Monday, June 30th. Sixteen equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $51.82.

Bank of America Stock Performance

NYSE:BAC opened at $52.36 on Tuesday. The company has a debt-to-equity ratio of 1.14, a quick ratio of 0.79 and a current ratio of 0.80. Bank of America has a 52-week low of $33.06 and a 52-week high of $52.88. The firm has a market cap of $387.83 billion, a price-to-earnings ratio of 15.31, a PEG ratio of 2.02 and a beta of 1.34. The business's fifty day moving average is $49.16 and its 200 day moving average is $45.05.

Bank of America (NYSE:BAC - Get Free Report) last released its quarterly earnings data on Wednesday, July 16th. The financial services provider reported $0.89 earnings per share (EPS) for the quarter, beating analysts' consensus estimates 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 period in the previous year, the company posted $0.83 EPS. The firm's revenue for the quarter was up 4.3% compared to the same quarter last year.

Institutional Investors Weigh In On Bank of America

Several institutional investors have recently bought and sold shares of BAC. Nova Wealth Management Inc. boosted its holdings in Bank of America by 75.2% during the 2nd quarter. Nova Wealth Management Inc. now owns 529 shares of the financial services provider's stock valued at $25,000 after acquiring an additional 227 shares during the period. Quaker Wealth Management LLC boosted its holdings in Bank of America by 246.5% during the 2nd quarter. Quaker Wealth Management LLC now owns 523 shares of the financial services provider's stock valued at $25,000 after acquiring an additional 880 shares during the period. RMG Wealth Management LLC purchased a new stake in Bank of America during the 2nd quarter valued at about $28,000. CGC Financial Services LLC boosted its holdings in Bank of America by 585.4% during the 2nd quarter. CGC Financial Services LLC now owns 610 shares of the financial services provider's stock valued at $29,000 after acquiring an additional 521 shares during the period. Finally, Wealth Preservation Advisors LLC lifted its holdings in Bank of America by 48.7% in the 2nd quarter. Wealth Preservation Advisors LLC now owns 681 shares of the financial services provider's stock worth $32,000 after buying an additional 223 shares during the period. 70.71% of the stock is currently owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In related news, insider James P. Demare sold 148,391 shares of the stock in a transaction dated 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 completion of the sale, the insider directly owned 223,407 shares in the company, valued at $10,180,656.99. This represents a 39.91% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. 0.30% of the stock is owned by corporate insiders.

Bank of America announced that its board has authorized a stock repurchase program on Wednesday, July 23rd that allows the company to repurchase $40.00 billion in shares. This repurchase authorization allows the financial services provider to reacquire up to 11.1% of its stock through open market purchases. Stock repurchase programs are often an indication that the company's board believes its stock is undervalued.

Bank of America Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, September 26th. Investors of record on Friday, September 5th were issued a dividend of $0.28 per share. The ex-dividend date was Friday, September 5th. This represents a $1.12 annualized dividend and a yield of 2.1%. This is a boost from Bank of America's previous quarterly dividend of $0.26. Bank of America's dividend payout ratio (DPR) is currently 32.75%.

Bank of America Company 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.