Bank Of America Stock Buy Hold or Sell Recommendation
| BAC Stock | USD 47.77 0.02 0.04% |
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Bank of America is 'Strong Hold'. Macroaxis provides Bank of America buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding BAC positions.
Check out Bank of America Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For information on how to trade Bank Stock refer to our How to Trade Bank Stock guide. In addition, we conduct extensive research on individual companies such as Bank and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Bank of America. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in nation.
Bank |
Execute Bank of America Buy or Sell Advice
The Bank recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Bank of America. Macroaxis does not own or have any residual interests in Bank of America or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Bank of America's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Hold
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Bank of America Trading Alerts and Improvement Suggestions
| About 63.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from thelincolnianonline.com: Diageo Hits New 52-Week Low Heres What Happened |
Bank of America Returns Distribution Density
The distribution of Bank of America's historical returns is an attempt to chart the uncertainty of Bank of America's future price movements. The chart of the probability distribution of Bank of America daily returns describes the distribution of returns around its average expected value. We use Bank of America price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Bank of America returns is essential to provide solid investment advice for Bank of America.
| Mean Return | 0.29 | Value At Risk | -1.41 | Potential Upside | 2.19 | Standard Deviation | 1.59 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Bank of America historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Bank Stock Institutional Investors
| Shares | Capital World Investors | 2024-09-30 | 71.2 M | Northern Trust Corp | 2024-09-30 | 58 M | Legal & General Group Plc | 2024-06-30 | 57.5 M | Ameriprise Financial Inc | 2024-06-30 | 53.8 M | Dodge & Cox | 2024-09-30 | 53.2 M | Bank Of New York Mellon Corp | 2024-06-30 | 50.5 M | Amvescap Plc. | 2024-06-30 | 45.7 M | Fisher Asset Management, Llc | 2024-09-30 | 45.2 M | Charles Schwab Investment Management Inc | 2024-09-30 | 42.6 M | Berkshire Hathaway Inc | 2024-06-30 | 1 B | Vanguard Group Inc | 2024-09-30 | 660 M |
Bank of America Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change In Cash | (15.8B) | 218.9B | (32.2B) | (118.0B) | 102.9B | 108.0B | |
| Free Cash Flow | 61.8B | 38.0B | (7.2B) | (6.3B) | 45.0B | 47.2B | |
| Depreciation | 1.7B | 1.8B | 1.9B | 2.0B | 2.1B | 2.2B | |
| Other Non Cash Items | 15.0B | 18.3B | (3.1B) | 12.5B | 12.8B | 13.4B | |
| Dividends Paid | 5.9B | 7.7B | 8.1B | 8.6B | 9.1B | 5.0B | |
| Net Income | 27.4B | 17.9B | 32.0B | 27.5B | 26.5B | 27.8B | |
| End Period Cash Flow | 161.6B | 380.5B | 348.2B | 230.2B | 333.1B | 349.7B | |
| Investments | (157.2B) | (265.8B) | (468.8B) | (108.0B) | (35.4B) | (37.2B) | |
| Net Borrowings | (20.3B) | 9.4B | 56.3B | 38.3B | 44.1B | 46.3B | |
| Change To Netincome | (18.8B) | (19.4B) | (41.7B) | (21.3B) | (19.1B) | (18.2B) |
Bank of America Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Bank of America or Banks sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Bank of America's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Bank stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.10 | |
β | Beta against Dow Jones | 1.50 | |
σ | Overall volatility | 1.62 | |
Ir | Information ratio | 0.10 |
Bank of America Volatility Alert
Bank of America has low volatility with Treynor Ratio of 0.19, Maximum Drawdown of 9.84 and kurtosis of 10.24. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Bank of America's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Bank of America's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Bank of America Implied Volatility
Bank of America's implied volatility exposes the market's sentiment of Bank of America stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Bank of America's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Bank of America stock will not fluctuate a lot when Bank of America's options are near their expiration.
Bank of America Fundamentals Vs Peers
Comparing Bank of America's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Bank of America's direct or indirect competition across all of the common fundamentals between Bank of America and the related equities. This way, we can detect undervalued stocks with similar characteristics as Bank of America or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Bank of America's fundamental indicators could also be used in its relative valuation, which is a method of valuing Bank of America by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Bank of America to competition |
| Fundamentals | Bank of America | Peer Average |
| Return On Equity | 0.0809 | -0.31 |
| Return On Asset | 0.0073 | -0.14 |
| Profit Margin | 0.25 % | (1.27) % |
| Operating Margin | 0.31 % | (5.51) % |
| Current Valuation | 360.93 B | 16.62 B |
| Shares Outstanding | 7.67 B | 571.82 M |
| Shares Owned By Insiders | 10.07 % | 10.09 % |
| Shares Owned By Institutions | 63.34 % | 39.21 % |
| Number Of Shares Shorted | 63.84 M | 4.71 M |
| Price To Earning | 11.71 X | 28.72 X |
| Price To Book | 1.34 X | 9.51 X |
| Price To Sales | 3.87 X | 11.42 X |
| Revenue | 98.58 B | 9.43 B |
| Gross Profit | 92.41 B | 27.38 B |
| EBITDA | 30.37 B | 3.9 B |
| Net Income | 26.52 B | 570.98 M |
| Cash And Equivalents | 733.43 B | 2.7 B |
| Cash Per Share | 91.42 X | 5.01 X |
| Total Debt | 334.3 B | 5.32 B |
| Debt To Equity | 7.37 % | 48.70 % |
| Book Value Per Share | 35.37 X | 1.93 K |
| Cash Flow From Operations | 44.98 B | 971.22 M |
| Short Ratio | 2.02 X | 4.00 X |
| Earnings Per Share | 2.76 X | 3.12 X |
| Price To Earnings To Growth | 2.12 X | 4.89 X |
| Target Price | 47.79 | |
| Number Of Employees | 213 K | 18.84 K |
| Beta | 1.33 | -0.15 |
| Market Capitalization | 366.38 B | 19.03 B |
| Total Asset | 3.18 T | 29.47 B |
| Retained Earnings | 224.67 B | 9.33 B |
| Annual Yield | 0.02 % | |
| Five Year Return | 2.06 % |
Note: Purchase by Thomas Woods of 25000 shares of B of A [view details]
Bank of America Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Bank . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Bank of America Buy or Sell Advice
When is the right time to buy or sell Bank of America? Buying financial instruments such as Bank Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
Use Investing Ideas to Build Portfolios
In addition to having Bank of America in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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ESG Investing
Sustainable investments that promote the conservation of the natural world, social resposibility, freindly employees policies and strong governance. The ESG Investing theme has 51 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize ESG Investing Theme or any other thematic opportunities.
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Check out Bank of America Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For information on how to trade Bank Stock refer to our How to Trade Bank Stock guide.You can also try the Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Is Diversified Banks space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Bank of America. If investors know Bank will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Bank of America listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.10) | Dividend Share 0.98 | Earnings Share 2.76 | Revenue Per Share 11.95 | Quarterly Revenue Growth (0.01) |
The market value of Bank of America is measured differently than its book value, which is the value of Bank that is recorded on the company's balance sheet. Investors also form their own opinion of Bank of America's value that differs from its market value or its book value, called intrinsic value, which is Bank of America's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Bank of America's market value can be influenced by many factors that don't directly affect Bank of America's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Bank of America's value and its price as these two are different measures arrived at by different means. Investors typically determine if Bank of America is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Bank of America's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.