What to Expect From Bank of America Earnings
Bank of America is scheduled to report its third-quarter financial results before the markets open on Wednesday.
Bank of America Corp. (NYSE: BAC) is scheduled to report its third-quarter financial results before the markets open on Wednesday. The consensus estimates from Thomson Reuters call for $0.33 in earnings per share (EPS) on $20.77 billion in revenue. The same period from the previous year had a net loss of $0.04 per share on $21.43 billion in revenue.
This company has continued a methodical march back to financial health and is a true big money center bank liked by Jefferies. Bank of America is a ubiquitous presence in the United States, providing various banking and financial products and services for individual consumers, small and middle market businesses, institutional investors, corporations and governments in the United States and internationally.
Operating 5,100 banking centers, 16,300 ATMs, call centers and online and mobile banking platforms, the company continues to open new markets and expand share, which Jefferies feels the company excels in. The Merrill Lynch brokerage arm has continued to supply the bank with outstanding revenues and growth.
With the potential for strong commercial lending and credit card originations, and trading at nearly 10 times 2016 estimated earnings, the stock makes good sense now.
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A few analysts issued calls ahead of Bank of America’s earnings report:
- JPMorgan reiterated a Buy rating.
- Sandler O’Neill reiterated a Hold rating.
- Oppenheimer reiterated an Outperform rating and lowered its price target to $19 from $21.
- Goldman Sachs has a Buy rating but lowered its price target to $19 from $20.
So far in 2015, Bank of America has underperformed the market, with the stock is down 12.4% year to date, while over the past 52 weeks the stock is only down 4.7%.
Shares of Bank of America were down 0.3% at $15.48 on Tuesday afternoon. The stock has a consensus analyst price target of $18.90 and a 52-week trading range of $14.60 to $18.48.
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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.
