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Bank of America (BAC) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Bank of America (BAC - Free Report) closed at $34.41, marking a -0.89% move from the previous day. This move lagged the S&P 500's daily loss of 0.22%. Meanwhile, the Dow lost 0.47%, and the Nasdaq, a tech-heavy index, lost 0.05%.
Heading into today, shares of the nation's second-largest bank had gained 2.94% over the past month, lagging the Finance sector's gain of 3.86% and the S&P 500's gain of 4.59% in that time.
Wall Street will be looking for positivity from Bank of America as it approaches its next earnings report date. In that report, analysts expect Bank of America to post earnings of $0.81 per share. This would mark a year-over-year decline of 4.71%. Our most recent consensus estimate is calling for quarterly revenue of $23.58 billion, up 3.59% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.21 per share and revenue of $93.59 billion. These totals would mark changes of -10.08% and +5.03%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Bank of America. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.79% lower. Bank of America is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Bank of America is holding a Forward P/E ratio of 10.82. For comparison, its industry has an average Forward P/E of 10.36, which means Bank of America is trading at a premium to the group.
Meanwhile, BAC's PEG ratio is currently 1.55. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Banks - Major Regional stocks are, on average, holding a PEG ratio of 1.32 based on yesterday's closing prices.
The Banks - Major Regional industry is part of the Finance sector. This group has a Zacks Industry Rank of 85, putting it in the top 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Bank of America (BAC) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Bank of America (BAC - Free Report) closed at $34.41, marking a -0.89% move from the previous day. This move lagged the S&P 500's daily loss of 0.22%. Meanwhile, the Dow lost 0.47%, and the Nasdaq, a tech-heavy index, lost 0.05%.
Heading into today, shares of the nation's second-largest bank had gained 2.94% over the past month, lagging the Finance sector's gain of 3.86% and the S&P 500's gain of 4.59% in that time.
Wall Street will be looking for positivity from Bank of America as it approaches its next earnings report date. In that report, analysts expect Bank of America to post earnings of $0.81 per share. This would mark a year-over-year decline of 4.71%. Our most recent consensus estimate is calling for quarterly revenue of $23.58 billion, up 3.59% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.21 per share and revenue of $93.59 billion. These totals would mark changes of -10.08% and +5.03%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Bank of America. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.79% lower. Bank of America is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Bank of America is holding a Forward P/E ratio of 10.82. For comparison, its industry has an average Forward P/E of 10.36, which means Bank of America is trading at a premium to the group.
Meanwhile, BAC's PEG ratio is currently 1.55. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Banks - Major Regional stocks are, on average, holding a PEG ratio of 1.32 based on yesterday's closing prices.
The Banks - Major Regional industry is part of the Finance sector. This group has a Zacks Industry Rank of 85, putting it in the top 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.