(BAC) Bank of America - Overview
Sector: Financial Services | Industry: Banks - Diversified | Exchange: NYSE (USA) | Market Cap: 359.797m USD | Total Return: 21.7% in 12m
Industry Rotation: +2.6
Avg Turnover: 1.54B
EPS Trend: 52.0%
Qual. Beats: 1
Rev. Trend: 91.4%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
Confidence
Bank of America Corporation (BAC) is a global financial institution operating through four primary segments: Consumer Banking, Global Wealth & Investment Management, Global Banking, and Global Markets. The firm provides a comprehensive suite of services including retail banking, commercial lending, investment management, and capital markets operations to individuals, corporations, and government entities.
As a diversified bank, the company utilizes a universal banking model that balances high-volume consumer deposits with fee-based institutional advisory and trading services. This structure allows the institution to manage interest rate sensitivity by generating revenue from both net interest income and non-interest sources such as asset management and underwriting fees. In the current regulatory environment, diversified banks are subject to stringent capital requirements and annual stress testing to ensure systemic stability.
Investors can further examine these fundamental metrics and historical valuation trends on ValueRay. Founded in 1784 and headquartered in Charlotte, North Carolina, Bank of America remains a central pillar of the global financial infrastructure.
- Net interest income fluctuates based on Federal Reserve benchmark rate adjustments
- Consumer credit health and delinquency rates impact loan loss provision levels
- Wealth management asset growth drives recurring fee revenue in GWIM segment
- Investment banking fee recovery depends on global corporate deal-making volume
- Operating leverage improves through digital transformation and physical branch network optimization
| Net Income: 31.70b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA 1.48 > 1.0 |
| NWC/Revenue: -760.9% < 20% (prev -1.22k%; Δ 455.2% < -1%) |
| CFO/TA 0.02 > 3% & CFO 56.57b > Net Income 31.70b |
| Net Debt (141.12b) to EBITDA (41.74b): 3.38 < 3 |
| Current Ratio: 0.54 > 1.5 & < 3 |
| Outstanding Shares: last quarter (7.42b) vs 12m ago -4.55% < -2% |
| Gross Margin: 63.18% > 18% (prev 0.52%; Δ 6.27k% > 0.5%) |
| Asset Turnover: 5.11% > 50% (prev 4.32%; Δ 0.79% > 0%) |
| Interest Coverage Ratio: 0.39 > 6 (EBITDA TTM 41.74b / Interest Expense TTM 76.46b) |
| A: -0.38 (Total Current Assets 1539.08b - Total Current Liabilities 2869.55b) / Total Assets 3496.19b |
| B: 0.08 (Retained Earnings 267.76b / Total Assets 3496.19b) |
| C: 0.01 (EBIT TTM 29.58b / Avg Total Assets 3422.80b) |
| D: 0.09 (Book Value of Equity 275.67b / Total Liabilities 3195.52b) |
| Altman-Z'' Score: -2.10 = D |
| DSRI: 0.83 (Receivables 96.08b/95.99b, Revenue 174.85b/144.68b) |
| GMI: 0.82 (GM 63.18% / 52.10%) |
| AQI: 0.72 (AQ_t 0.56 / AQ_t-1 0.77) |
| SGI: 1.21 (Revenue 174.85b / 144.68b) |
| TATA: -0.01 (NI 31.70b - CFO 56.57b) / TA 3496.19b) |
| Beneish M-Score: -3.35 (Cap -4..+1) = AA |
Over the past week, the price has changed by +3.29%, over one month by -3.72%, over three months by +1.39% and over the past year by +21.73%.
- StrongBuy: 15
- Buy: 7
- Hold: 3
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 63 | 22.3% |
P/E Forward = 11.4155
P/S = 3.2831
P/B = 1.3049
P/EG = 0.9061
Revenue TTM = 174.85b USD
EBIT TTM = 29.58b USD
EBITDA TTM = 41.74b USD
Long Term Debt = 300.76b USD (from longTermDebt, last quarter)
Short Term Debt = 57.63b USD (from shortTermDebt, last quarter)
Debt = 383.59b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 141.12b USD (from netDebt column, last quarter)
Enterprise Value = 493.53b USD (359.80b + Debt 383.59b - CCE 249.87b)
Interest Coverage Ratio = 0.39 (Ebit TTM 29.58b / Interest Expense TTM 76.46b)
EV/FCF = 8.72x (Enterprise Value 493.53b / FCF TTM 56.57b)
FCF Yield = 11.46% (FCF TTM 56.57b / Enterprise Value 493.53b)
FCF Margin = 32.35% (FCF TTM 56.57b / Revenue TTM 174.85b)
Net Margin = 18.13% (Net Income TTM 31.70b / Revenue TTM 174.85b)
Gross Margin = 63.18% ((Revenue TTM 174.85b - Cost of Revenue TTM 64.38b) / Revenue TTM)
Gross Margin QoQ = none% (prev 60.12%)
Tobins Q-Ratio = 0.14 (Enterprise Value 493.53b / Total Assets 3496.19b)
Interest Expense / Debt = 4.59% (Interest Expense 17.61b / Debt 383.59b)
Taxrate = 17.49% (1.82b / 10.40b)
NOPAT = 24.40b (EBIT 29.58b * (1 - 17.49%))
Current Ratio = 0.54 (Total Current Assets 1539.08b / Total Current Liabilities 2869.55b)
Debt / Equity = 1.28 (Debt 383.59b / totalStockholderEquity, last quarter 300.67b)
Debt / EBITDA = 3.38 (Net Debt 141.12b / EBITDA 41.74b)
Debt / FCF = 2.49 (Net Debt 141.12b / FCF TTM 56.57b)
Total Stockholder Equity = 301.92b (last 4 quarters mean from totalStockholderEquity)
RoA = 0.93% (Net Income 31.70b / Total Assets 3496.19b)
RoE = 10.50% (Net Income TTM 31.70b / Total Stockholder Equity 301.92b)
RoCE = 4.91% (EBIT 29.58b / Capital Employed (Equity 301.92b + L.T.Debt 300.76b))
RoIC = 3.78% (NOPAT 24.40b / Invested Capital 645.92b)
WACC = 6.54% (E(359.80b)/V(743.39b) * Re(9.47%) + D(383.59b)/V(743.39b) * Rd(4.59%) * (1-Tc(0.17)))
Discount Rate = 9.47% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -100.00 | Cagr: -3.64%
[DCF] Terminal Value 77.92% ; FCFF base≈35.76b ; Y1≈23.48b ; Y5≈10.74b
[DCF] Fair Price = 21.30 (EV 292.25b - Net Debt 141.12b = Equity 151.13b / Shares 7.10b; r=6.54% [WACC]; 5y FCF grow -40.0% → 3.0% )
EPS Correlation: 52.03 | EPS CAGR: 7.49% | SUE: 2.32 | # QB: 1
Revenue Correlation: 91.35 | Revenue CAGR: 34.43% | SUE: 0.01 | # QB: 0
EPS current Quarter (2026-06-30): EPS=1.09 | Chg30d=+0.84% | Revisions=+41% | Analysts=15
EPS next Quarter (2026-09-30): EPS=1.14 | Chg30d=+0.40% | Revisions=+29% | Analysts=15
EPS current Year (2026-12-31): EPS=4.47 | Chg30d=+2.63% | Revisions=+82% | GrowthEPS=+17.4% | GrowthRev=+7.1%
EPS next Year (2027-12-31): EPS=5.04 | Chg30d=+1.09% | Revisions=+52% | GrowthEPS=+12.6% | GrowthRev=+4.8%
[Analyst] Revisions Ratio: +82%