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

DON'T BUY

This is a gamble on what the government will do on dilatation. They could be bailed out by the government again. Why bother when you can buy Canadian Banks. It’s not a buy, but a trade.

Wealthica Track your Stocks in your Watch List

DON'T BUY

Not huge fans of us financial companies. Shill thinks there are problems that are going to unfold. Their leverage ratios have had to come down dramatically. Severe dilution and being forced to raise equity at prices they never dreamed of.

DON'T BUY

There are assets on the books of these banks that may or may not be worth what they are listed at. He looks at banks now and asks where the dividend growth will come from.

TOP PICK

(A Top Pick Oct 23/08. Down 22.7%.) Yield curve is very steep by borrowing short and buying US treasuries. Interest margins have come down aggressively over the last 10-15 years and margins are going to go up because pricing is more realistic. This is a by for the next 4-5 years but you can wait for a pullback before buying.

WATCH

Net interest spreads are very wide but issue is still non-performing loans. How much will they increase? When they start coming down, that is when you want to buy US banks. Risk/reward is quite attractive but not sure we are there yet, but pretty close.

SELL

Not a fan of this bank. The long-term track record of value creation is suspect. Grown to be the largest bank in the US through acquisitions and the timing and the price they paid hasn't been great.

DON'T BUY

It looks like most of the US banks are ready to break out of their funk. What you don't know is what is lurking in the weeds on the balance sheet.

DON'T BUY

Even insiders don’t have a complete handle on where they are today in the US banks. He discounts this into the price he is willing to pay for a US bank. The franchise over the long term has great promise. He would go elsewhere, such as insurance.

BUY

If US housing turns around this bank will do well. This is a core way to play it. Has no problem going in right now.

TOP PICK

Best franchise in the US. Deals they have done with Country Wide and Merryl will work out over a longer period of time. Risk is mashing together an investment bank with a retail bank effectively. Buy it here or on a pull back – we have a tough time in September.

DON'T BUY

Some real serious problems both in assets it acquired during the credit crisis and in its own assets in commercial real estate. Wouldn't go into any of the US banks at the moment. Wait for a couple of quarters to be sure that all the loans that have been reserved for are written off.

HOLD

Trading at a significant discount to its underlying value. BV is at around $30. $3 normalized earnings per share isn't out of the question. This is his only holding in US banks.

TOP PICK

It has been quite volatile. Buy now and sell December $19 Call options. Options are quite rich and very liquid. It is an interesting play. Risk is that the stock takes off. You would make your profit but cap your profit.

COMMENT

There is no longer any danger of it going to zero but it will be very volatile. Have a lot of commercial real estate, leveraged buyout loans and credit cards on the books. Would prefer JP Morgan (JPM-N), which is a better bank with better management.

PAST TOP PICK

(A Top Pick May 28/08. Down 50.47%.) Has been trading in and out of this and says he has never lost money on it. Turns out this one is the survivor and will come out stronger. Good chance they could earn $5-$6 a share in the next 2 quarters. You are buying it at 3X earnings or 50% of BV.

Showing 1,156 to 1,170 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)