JPMorgan Chase & Co. Cuts Bank of America (NYSE:BAC) Price Target to $62.00

Bank of America (NYSE:BAC) had its target price decreased by JPMorgan Chase & Co. from $68.00 to $62.00 in a research report released on Friday,Benzinga reports. JPMorgan Chase & Co. currently has an overweight rating on the financial services provider’s stock.

Several other research analysts have also weighed in on the company. Jefferies Financial Group lowered their price objective on Bank of America from $75.00 to $70.00 and set a “buy” rating for the company in a research report on Thursday, September 24th. Barclays lifted their target price on Bank of America from $71.00 to $72.00 and gave the company an “overweight” rating in a research report on Wednesday, July 15th. Wells Fargo & Company upped their price target on Bank of America from $67.00 to $69.00 and gave the company an “overweight” rating in a research note on Wednesday, July 15th. Citigroup increased their price target on Bank of America from $62.00 to $66.00 and gave the stock a “buy” rating in a report on Tuesday, June 23rd. Finally, Robert W. Baird raised their price objective on Bank of America from $58.00 to $62.00 and gave the stock a “neutral” rating in a research report on Wednesday, July 15th. Twenty analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $63.91.

Bank of America Stock Performance

NYSE:BAC opened at $53.78 on Friday. The company’s 50-day moving average is $60.89 and its two-hundred day moving average is $56.35. Bank of America has a 1-year low of $46.12 and a 1-year high of $65.22. The company has a debt-to-equity ratio of 1.23, a current ratio of 0.83 and a quick ratio of 0.82. The firm has a market capitalization of $376.04 billion, a price-to-earnings ratio of 12.33, a PEG ratio of 0.86 and a beta of 1.21.

Bank of America (NYSE:BAC) last announced its quarterly earnings results on Tuesday, July 14th. The financial services provider reported $1.21 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.13 by $0.08. The business had revenue of $31.56 billion during the quarter, compared to the consensus estimate of $30.78 billion. Bank of America had a net margin of 17.56% and a return on equity of 12.20%. The business’s revenue was up 19.6% compared to the same quarter last year. During the same quarter last year, the firm earned $0.89 EPS. Analysts forecast that Bank of America will post 4.63 EPS for the current year.

Bank of America Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, September 25th. Shareholders of record on Friday, September 4th were paid a dividend of $0.32 per share. This represents a $1.28 dividend on an annualized basis and a yield of 2.4%. This is a positive change from Bank of America’s previous quarterly dividend of $0.28. The ex-dividend date was Friday, September 4th. Bank of America’s payout ratio is currently 29.36%.

Institutional Investors Weigh In On Bank of America

A number of institutional investors have recently modified their holdings of BAC. First Citizens Financial Corp raised its holdings in shares of Bank of America by 25.3% in the 3rd quarter. First Citizens Financial Corp now owns 17,392 shares of the financial services provider’s stock valued at $947,000 after buying an additional 3,516 shares during the period. Polaris Financial Partners purchased a new position in Bank of America during the 3rd quarter valued at about $68,000. Boltwood Capital Management grew its position in Bank of America by 28.6% in the 3rd quarter. Boltwood Capital Management now owns 4,835 shares of the financial services provider’s stock valued at $263,000 after acquiring an additional 1,075 shares in the last quarter. First Financial Bank Trust Division grew its position in Bank of America by 14.7% in the 3rd quarter. First Financial Bank Trust Division now owns 231,099 shares of the financial services provider’s stock valued at $12,579,000 after acquiring an additional 29,681 shares in the last quarter. Finally, Burkett Financial Services LLC increased its stake in Bank of America by 1.6% during the third quarter. Burkett Financial Services LLC now owns 16,864 shares of the financial services provider’s stock worth $918,000 after purchasing an additional 266 shares during the period. 70.71% of the stock is owned by institutional investors and hedge funds.

More Bank of America News

Here are the key news stories impacting Bank of America this week:

• Positive Sentiment: RBC Capital reaffirmed its Buy rating on Bank of America, signaling continued confidence in the bank’s earnings outlook and valuation. RBC Capital Reaffirms Their Buy Rating on Bank of America
• Positive Sentiment: JPMorgan maintained an Overweight rating and Truist kept a Buy rating, although both firms lowered their price targets to $62. The targets still imply roughly 15% upside from the referenced share price, offering some support despite more cautious valuation assumptions.
• Positive Sentiment: Bank of America’s Personal Retirement Strategy surpassed $100 billion in assets, while Merrill Managed exceeded $10 billion. The milestones point to growing demand for fee-generating retirement and wealth-management services. Bank of America Personal Retirement Strategy Surpasses $100 Billion
• Neutral Sentiment: Bank of America strategists warned that a risk-off market could persist until the dollar’s rally peaks. The commentary may pressure market sentiment, but it is primarily a macro outlook rather than a change to BAC’s fundamentals. BofA’s Hartnett Sees Risk-Off Mood Lasting Until Dollar Peaks
• Neutral Sentiment: The Federal Reserve’s proposed stress-test changes could reduce volatility in banks’ capital requirements and improve planning visibility, though the ultimate impact on BAC’s capital returns remains uncertain. Fed Revamps Bank Stress Tests
• Negative Sentiment: Bank stocks have extended their recent decline as Treasury yields rose sharply. Higher rates can increase funding costs, pressure bond portfolios and reduce investor appetite for financial shares. Bank Stocks Extend Second-Half Slump
• Negative Sentiment: Merrill Lynch agreed to pay $39 million to settle claims that customers received below-market interest on idle cash in retirement accounts. The settlement is manageable relative to BAC’s size but adds legal and reputational pressure. Bank of America to Pay $39 Million Settlement

About Bank of America

Bank of America Corporation (NYSE:BAC) is a diversified financial services company serving individual consumers, small businesses, middle-market companies and large corporations. Its principal businesses include consumer banking, wealth and investment management, commercial banking, corporate and investment banking, and sales and trading.

Through its banking and financial services businesses, the company offers deposit accounts, credit cards, mortgages, home equity products, consumer and business loans, payment services, treasury management, brokerage services and investment advice.