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Bank of America (BAC) Stock Dips While Market Gains: Key Facts
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Bank of America (BAC - Free Report) closed at $39.88 in the latest trading session, marking a -0.28% move from the prior day. The stock trailed the S&P 500, which registered a daily gain of 0.11%. At the same time, the Dow lost 0.3%, and the tech-heavy Nasdaq gained 0.56%.
Prior to today's trading, shares of the nation's second-largest bank had gained 7.36% over the past month. This has outpaced the Finance sector's gain of 4.44% and the S&P 500's gain of 5.06% in that time.
The investment community will be paying close attention to the earnings performance of Bank of America in its upcoming release. The company's upcoming EPS is projected at $0.81, signifying a 7.95% drop compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $25.26 billion, indicating a 0.24% upward movement from the same quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $3.23 per share and a revenue of $101.43 billion, representing changes of -5.56% and +2.89%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Bank of America. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.25% upward. Bank of America presently features a Zacks Rank of #3 (Hold).
From a valuation perspective, Bank of America is currently exchanging hands at a Forward P/E ratio of 12.37. This denotes a premium relative to the industry's average Forward P/E of 11.35.
Also, we should mention that BAC has a PEG ratio of 1.77. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Banks - Major Regional stocks are, on average, holding a PEG ratio of 1.77 based on yesterday's closing prices.
The Banks - Major Regional industry is part of the Finance sector. With its current Zacks Industry Rank of 49, this industry ranks in the top 20% of all industries, numbering over 250.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Bank of America (BAC) Stock Dips While Market Gains: Key Facts
Bank of America (BAC - Free Report) closed at $39.88 in the latest trading session, marking a -0.28% move from the prior day. The stock trailed the S&P 500, which registered a daily gain of 0.11%. At the same time, the Dow lost 0.3%, and the tech-heavy Nasdaq gained 0.56%.
Prior to today's trading, shares of the nation's second-largest bank had gained 7.36% over the past month. This has outpaced the Finance sector's gain of 4.44% and the S&P 500's gain of 5.06% in that time.
The investment community will be paying close attention to the earnings performance of Bank of America in its upcoming release. The company's upcoming EPS is projected at $0.81, signifying a 7.95% drop compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $25.26 billion, indicating a 0.24% upward movement from the same quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $3.23 per share and a revenue of $101.43 billion, representing changes of -5.56% and +2.89%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Bank of America. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.25% upward. Bank of America presently features a Zacks Rank of #3 (Hold).
From a valuation perspective, Bank of America is currently exchanging hands at a Forward P/E ratio of 12.37. This denotes a premium relative to the industry's average Forward P/E of 11.35.
Also, we should mention that BAC has a PEG ratio of 1.77. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Banks - Major Regional stocks are, on average, holding a PEG ratio of 1.77 based on yesterday's closing prices.
The Banks - Major Regional industry is part of the Finance sector. With its current Zacks Industry Rank of 49, this industry ranks in the top 20% of all industries, numbering over 250.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.