Bank of America (BAC) Buy, Sell or Hold

Bank of America (BAC)

50.56

-0.52 (1.02%)

as of Oct 23, 2026, 8:00:00 pm Market Closed.

708 watching

WEAK BUY

There is a conflict in the banking thesis. There is relatively low loan growth so you could see an increase of capital on balance sheets and could fund increases in dividends, but we are facing global financial issues. NA banks are well capitalized and somewhat insulated. He has a small weight in banks and it has not worked out but there is dividend support. He would own some, but not a big position.

COMMENT

Some of the headwinds that are in front of the US multinational banks are increased government regulations and scrutiny on similarity to what they did in 2008. This bank is highly involved in the US real estate and mortgage business, which needs to improve. Longer term this is okay, but there are still a lot of bumps along the way.

TOP PICK

Likes this stock a lot now. Risk has been reduced now. Could easily do a quadruple. Likes what the CEO has done. It is his big play in the banking sector and he is happy to have it. Thinks dividend will be 5 cents in a couple of years.

TOP PICK

Trades at .4X Book Value, which is around $20. Management is doing a very good job. Cutting costs. Making the bank smaller. Have very good core businesses. Loan losses have been going down each quarter for the last 4 or 5 quarters.

DON'T BUY

The thing about the “deposit based” banks is that they have a lot of things going against them. Yield curve is flat. Federal Reserve has done quantitative easing that forced the long and of the curve down, which took a major source of income away from the banks. Still trying to climb out of the housing troubles.

DON'T BUY

You should look at how well a bank did in 2007/8. How strong is their ability to correctly price loans. This is a pretty challenged organization. As soon as you get above 1 trillion US in assets, they’ve pretty much cross sold every product they could hope to sell in every market in which they could hope to be successful and so they move up the risk curve.

SELL

In a diversified portfolio, he would probably have of most of his bank weighting in Canada. US banks are a completely different animal. Wave suffered on the back of the housing problems. Slowly working their way out of it. A flat yield curve where long rates are about the same as short rates, more or less engineered by the Federal Reserve, takes away a very, very big revenue and earnings component of the banks.

PAST TOP PICK

(Top Pick Mar 24/11, Down 33.56%)

TOP PICK

A still have legal and litigation problems. Every quarter is going to be different. Some quarters make a lot of money and some lose a lot of money. Management wants to increase the dividends. He can see it as an over $30 stock but they are still not completely out of the woods.

SELL

Financials in the US have done a pretty decent job. Right at the 50 day moving average level. Everything is coalescing right around the current level. If it goes down to $8.60 or below, you’re probably going to see $7.20-$7.50. If you own and you made good money, take your money and run.

COMMENT

Purchase a Jan/14 Call with a $10 strike price? He prefers buying the common. The problem with the options is that you are so much at the mercy of timing. You don't know what could happen next January that could set the bank back temporarily.

DON'T BUY

Long options: You can lose 100% of your money if you do this so use a very small portion of your money. B of A has issued a lot of stock at the bottom so it has a long way to go. There is easier money to be made.

BUY ON WEAKNESS

He likes the US banks, but the charts are all way up so they have discounted a lot of the good news already. Wait for a market pull back of 7-10% and then buy it. Prefers Canadian banks for the dividend tax credit.

PAST TOP PICK

(Top Pick Mar 24/11, Down 26.48%) Thinks US banking is the place to be. .7 times tangible book. A great opportunity to own the stock.

SELL

He is warmer to the American banks and so there is more growth potential as they turn around. BAC is not one of his favorites. He prefers regional banks. Not a big fan of brokerage or management at BAC. Likes BB&T

Showing 1,006 to 1,020 of 1,348 entries

Most Recent Experts

Stephanie Link, Chief investment strategist, Hightower

Hightower

Jason Snipe, CIO, Odyssey Capital Advisors

Odyssey Capital Advisors

Rob Sechan, Managing Partner, New Edge Capital

New Edge Capital

Jim Lebenthal

Cerity Partners

Tim Regan

Kingwest & Company

Stockchase, in its reporting on what has been discussed by individuals on business television programs (in particular Business News Network), neither recommends nor promotes any investment strategies.

We paraphrase the experts by hand, we watch the shows and write down what we understood from the experts’ comments. We are human and can make mistakes, help us fix any errors. If you see something that you know is not right or if there is a problem with the site, feel free to email us at : [email protected].

Bank of America (BAC)