What to Expect From Bank of America Earnings
Bank of America is scheduled to report its third-quarter earnings Wednesday before the markets open.
Bank of America Corp. (NYSE: BAC) is set to report its earnings Wednesday before the markets open. Other major banks reported earnings Tuesday morning, including J.P. Morgan, Citigroup and Wells Fargo.
Thomson Reuters has consensus estimates for Bank of America earnings of -$0.09 per share on $21.36 billion in revenue. In the third quarter of last year it reported earnings of $0.20 per share and $21.53 billion in revenue. Looking ahead to the current quarter, estimates calls for $0.34 in earnings per share and revenue of $21.67 billion.
Of the three other major banks that have reported, only Citigroup has had a positive response in the first two hours of trading, up over 2%. Wells Fargo and J.P. Morgan were both down over 1%. It is worth noting that Bank of America also trades at a discount to book value similar to Citigroup.
As of last quarter, Bank of America’s tangible book value per share had increased 7% year-over-year to $14.24. The bank’s stated book value per share was $21.16 at the end of June, compared to $20.75 in March.
Bank of America has seen its shares rise about 11% over the third quarter to close at $17.05 from the open of $15.32. Shares during this time had a trading range of $14.84 to $17.20. However in the days ahead of the report, shares have fallen almost 6% from the relative high of $17.41 in early October to Monday’s close of $16.40.
Bank of America shares were trading at $16.43 Tuesday. The stock has a consensus analyst price target of $18.09 and a 52-week range of $13.80 to $18.03. The company has a market cap of roughly $173 billion.
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Chris Lange is a financial and geopolitical writer with more than a decade of experience covering a myriad of topics. He has published thousands of articles for 24/7 Wall St., with past coverage focused heavily on stocks, IPOs, healthcare, defense, global affairs, and technology.
His work has been quoted, or referenced by a number of outlets including Business Insider, USA Today, Yahoo Finance, MSN, The Motley Fool, and many other publications. A graduate of Southwestern University, he studied business with a focus on investments and has previous experience in banking and startups.
When not reading or writing the news, he is following his passion for Lacrosse, playing chess, or building solar projects with his dad.
