BAC vs. WFC, C, UBS, JPM, QQQ, MS, HSBC, RY, AXP, and HDB
Should you be buying Bank of America stock or one of its competitors? The main competitors of Bank of America include Wells Fargo & Company (WFC), Citigroup (C), UBS Group (UBS), JPMorgan Chase & Co. (JPM), Invesco QQQ Trust (QQQ), Morgan Stanley (MS), HSBC (HSBC), Royal Bank of Canada (RY), American Express (AXP), and HDFC Bank (HDB). These companies are all part of the "finance" sector.
Bank of America vs.
Bank of America (NYSE:BAC) and Wells Fargo & Company (NYSE:WFC) are both large-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, profitability, earnings, dividends, media sentiment, valuation, community ranking, risk and analyst recommendations.
In the previous week, Bank of America had 9 more articles in the media than Wells Fargo & Company. MarketBeat recorded 37 mentions for Bank of America and 28 mentions for Wells Fargo & Company. Bank of America's average media sentiment score of 0.28 beat Wells Fargo & Company's score of -0.02 indicating that Bank of America is being referred to more favorably in the media.
Bank of America has a beta of 1.4, meaning that its stock price is 40% more volatile than the S&P 500. Comparatively, Wells Fargo & Company has a beta of 1.17, meaning that its stock price is 17% more volatile than the S&P 500.
Bank of America pays an annual dividend of $0.88 per share and has a dividend yield of 3.2%. Wells Fargo & Company pays an annual dividend of $1.20 per share and has a dividend yield of 3.2%. Bank of America pays out 27.6% of its earnings in the form of a dividend. Wells Fargo & Company pays out 38.2% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.
Bank of America has a net margin of 23.93% compared to Wells Fargo & Company's net margin of 15.91%. Bank of America's return on equity of 11.41% beat Wells Fargo & Company's return on equity.
Bank of America received 427 more outperform votes than Wells Fargo & Company when rated by MarketBeat users. Likewise, 66.68% of users gave Bank of America an outperform vote while only 64.67% of users gave Wells Fargo & Company an outperform vote.
Bank of America has higher revenue and earnings than Wells Fargo & Company. Bank of America is trading at a lower price-to-earnings ratio than Wells Fargo & Company, indicating that it is currently the more affordable of the two stocks.
68.3% of Bank of America shares are owned by institutional investors. Comparatively, 72.2% of Wells Fargo & Company shares are owned by institutional investors. 0.3% of Bank of America shares are owned by company insiders. Comparatively, 0.1% of Wells Fargo & Company shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Bank of America presently has a consensus price target of $40.16, indicating a potential upside of 45.29%. Wells Fargo & Company has a consensus price target of $52.09, indicating a potential upside of 40.03%. Given Bank of America's higher probable upside, research analysts clearly believe Bank of America is more favorable than Wells Fargo & Company.
Summary
Bank of America beats Wells Fargo & Company on 15 of the 20 factors compared between the two stocks.
New MarketBeat Followers Over Time
This chart shows the number of new MarketBeat users adding BAC and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
Skip ChartMedia Sentiment Over Time
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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Bank of America Competitors List