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NYSE:BAC

Bank of America (BAC)

61.69
-0.17 (0.27%)
as of Aug 21, 2026, 8:00:00 pm Market Open.
709 watching
0
Investor Insights
star iconAug 22, 2026, 12:00 am

This summary was created by AI, based on 24 opinions in the last 12 months.

Bank of America (BAC) is currently viewed positively by various experts, highlighting its strong earnings potential amidst a favorable financial landscape. With last quarter's profit growth of 17%, the bank has seen its best earnings per share (EPS) in nearly two decades, buoyed by a favorable yield curve and improved net interest margins. While still trailing behind JPMorgan (JPM), BAC is recognized for its stability and potential for share buybacks or dividends due to loosening regulations. Although some experts express caution regarding market valuations and suggest there are better opportunities elsewhere, there remains optimism about BAC's resilience and growth trajectory. Waiting for a market pullback before investing is generally advised, but experts see BAC as a solid core holding within the U.S. banking sector.

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Consensus
Positive
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Valuation
Fair Value
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Similar
Citi, C
TOP PICK
Synthetic long Buy a January 2021 $30 call option to January 2021 (costing $3.60 today). Pay for this by selling a $30 put, so you're obligated to buy BAC at $30. If BAC goes above $30, then the call option is worth something and the put will expire. If below $30, the call will expire and the put will be exercised. He can take 50 cents into his pocket immediately. He has no cash outlay. He'd get dollar-for-dollar performance on the stock between now and Jan. 2021.
PAST TOP PICK
(A Top Pick Feb 12/18, Down 6%) He's bullish U.S. banks. BAC is doing a great job of re-structuring the company by bringing down costs and growing its core businesses. Also his Top Pick today.
TOP PICK
22% payout ratio vs. 40% among Canadian banks. BAC's payout ratio and dividend are rising. They're buying back shares. It's trading close to book value, $25.13. BAC faces no legal issues other headwinds. They have great growth prospects in Merill Lynch. They're cutting costs and using technology more aggressively to grow. Remember: BAC is Buffet's largest position. (Analysts’ price target is $33.09)
BUY
US banks are still correcting, not bouncing back as much as the market. BAC has announced a strong stock buyback program. You need to buy JPM as well as BAC and Citigroup. He's looking to buy this. The street is puzzled with this sector isn't doing better. There's a lot of pent-up upside in these names. Interest rates could be a catalyst.
BUY
Lots of upside in BAC and he expects this to return to $35. He likes it now.
BUY
BAC vs. Wells Fargo Both are well-run, with BAC trading at a slightly lower multiple, so he favours BAC. Also, Wells has a scandal to still deal with it and management issues, which is why he's stayed away from it. A rising yield curve boosts all the US banks, so that's's now a headwind as rate increases slow down. Both benefit from a strong US economy.
HOLD
They move with the market, and he thinks the Dow is toppy now. No reason to sell North American banks. The only reason to sell it now is to buy it back cheaper later.
BUY
JPM is the best of the pacl, while BAC is more a value play. He owns JP Morgan instead, run by a super CEO. Any portfolio should own one US bank. You can't go wrong with BAC. It's undervalued now.
COMMENT
He owns three US banks and one Canadian. He owns WFC-N instead of BAC-N, when it the market became worried about management changes there that created an oversold situation. BAC-N is a fine one as well.
TOP PICK
12% EPS growth. 9x earnings. 1x price-to-book. Return on tangible common equity is 16%. He feels there's more to follow as they gain market share. (Analysts’ price target is $32.63)
DON'T BUY
Bank of America vs Citigroup. There's some good opportunities but maybe not something you want to invest in right now. Deposits competition is heating up. Net interest margin moving the wrong way. Deposits costs are higher. Credit isn't terrible right now. Not that the banks are a terrible spot, you're probably going to do fine. Dividends are totally safe. But is this really going to get you a great return right now? Better places to be, and probably better countries.
SELL ON STRENGTH
For a trade for a couple of months you would be okay. We need this end of cycle to happen before the recession. He is looking to sell into strength.
DON'T BUY
BNS-T vs. BAC-N. He owns the Canadian banks. Most of the US banks have been bankrupt in his career. Canadian banks are better regulated. You might make more money in the US within a couple of years but not after 5 years.
BUY
Absolutely likes US banks. Thinks you can own both Canadian and US banks. JP Morgan has held up better than Goldman, though his clients own both. He'd absolutely buy BAC or JP Morgan, because recession fears are overblown, interest rates will go up slowly in US and this will benefit the banks. Valuations are quite attractive, balance sheets are better.
COMMENT
BAC or JPM? He owns JP Morgan, but likes BAC as well. Overall, JP Morgan has been a premium bank in the US since the recession. The US banks are trading extremely cheap -- he likes both.
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