Bank of America Corporation

BAC

NYSE · Large & Global Banks

$49.42

At close - Nov 6, 4:00 PM EST - USD

Market Cap$350.71B

P/E11.3x

52W High$65.22

Volume35.02M

VCP Research Verdict2026Q3

Reserve Reversal Clouds Bank of America's Earnings Quality Outlook

Bank of America's net interest income has recovered from $13.7B in 2024Q2 to $16.4B in 2026Q3, with latest-quarter NII growth of 8.0%, suggesting the franchise is benefiting from a stable net interest margin near 0.4% to 0.5%.

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MARKET ACTION

BAC price & volume

Price trend, volume and key moving averages

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Build the investment case

Start with the evidence for owning the stock and the risks that can break the thesis.

EXECUTIVE THESIS

The Investment Case

Full Analysis

Fundamental Trajectory

Net interest income climbed to $16.4B in 2026Q3 with an NIM holding near 0.5%, but earnings quality is clouded by a -$16.3B provision reversal in 2026Q1 that pushed the efficiency ratio to 146.4% and fee income to -$3.1B.

Analyst Consensus+33.5% target

Buy(54 analysts)

35 Buy18 Hold1 Sell

The Bull Case

Upside Catalysts

Strong Financial Performance

In Q1 2026, BAC reported an EPS of $1.11, exceeding expectations, with revenue increasing by 10.7% year-over-year.

Positive Analyst Sentiment

Out of 27 analysts, 22 have a 'Buy' rating, with a consensus price target of $61.02, indicating a potential upside of 13.91%.

Reliable Dividend Yield

BAC offers a dividend yield of 2.1% with a low payout ratio of 27.72%, providing a steady income stream.

The Bear Case

Key Downside Risks

Valuation Concerns

Some analysts suggest BAC may be overvalued in the current market environment.

Short-Term Volatility

The stock has faced short-term volatility, which may deter risk-averse investors.

Macroeconomic Uncertainties

Economic conditions and potential regulatory changes could introduce uncertainty for BAC's performance.

Market performance

Price History →

Trailing total returns as of 11/7/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).

YTD Return

BAC-10.10%

S&P 500 (^GSPC)+7.63%

1-Year Return

BAC-5.09%

S&P 500 (^GSPC)+9.69%

3-Year Return

BAC+85.74%

S&P 500 (^GSPC)+67.64%

5-Year Return

BAC+14.85%

S&P 500 (^GSPC)+55.88%

Test the fundamentals

Check whether operating performance supports the current valuation.

VALUATION & INTRINSIC VALUE

Valuation Scenarios

Valuation Analysis

Trailing P/EMedian

11.3x

Forward P/E

11.3x

EV/EBITDA0th %ile

10.7x

FCF YieldCash Flow

11.8%

Valuation vs 5-Year History

Multiple Range

Metric

Current

5Y Median

Historical Range

Percentile

P/E

11.3x

12.5x

40th· Fair

EV/EBITDA

10.7x

16.1x

0th· Low

Price/FCF

8.5x

32.9x

50th· Fair

Current Multiple

5Y Median (50th %ile)

Intrinsic Value Scenarios

DCF Projection

Bear$34.95-29.3%

Base (Fair)$68.65+38.9%

Bull$114.83+132.4%

$34.95 Bear$68.65 Base$114.83 Bull

Current Market Price: $49.42

Trades at a 28.0% discount to Base DCF ($68.65)

Open DCF & Valuation Models →Chart Terminal ↗

Growth & profitability

Annual revenue & EPS trend

Revenue FY25

$113.1B+11.0% YoY

Net income FY25

$30.51B+12.4% YoY

Free cash flow FY25

$12.61B+243.2% YoY

Operating margin FY25

33.3%+4.6 pts YoY

ROIC (FY25)3.5%

Avg ROIC 5Y-

ROE (FY25)10.2%

Piotroski Score8 / 9

Financial Statements →

Monitor what changed

Recent results and news deserve attention only when they alter the forward view.

OPERATING RESULTS

Recent Earnings

Earnings History

EPS Beat Rate11/12 (92%)

Revenue Beat Rate9/12 (75%)

Quarter	EPS (Act vs Est)	Revenue (Act vs Est)
Q4 2026Latest Oct 14, 2026	$1.08-1.8% vs $1.10	$30.0B-1.9% vs $30.6B
Q3 2026 Jul 14, 2026	$1.21+7.1% vs $1.13	$31.6B+2.5% vs $30.8B
Q2 2026 Apr 15, 2026	$1.11+9.9% vs $1.01	$30.3B+1.1% vs $29.9B
Q1 2026 Jan 14, 2026	$0.98+2.3% vs $0.96	$28.4B+2.2% vs $27.8B

Historical baseline: 12 quarters analyzedGAAP / Adjusted

MARKET COVERAGE

Latest News

4 Stories

PRNewsWire·1d ago

What Should Bank Of America Corporation Investors Know After 4.76% Stock Drop? The Law Offices of Frank R.

Lawsuit alleges Bank Of America Corporation made misleading statements to investors from August 1, 2025 to October 13, 2026; lead plaintiff motions are due December 15, 2026 LOS ANGELES, Nov. 6, 2026 /PRNewswire/ -- The Law Offices of Frank R. Cruz today announced a class action lawsuit against Bank Of America Corporation ("Bank of America" or the "Company") (NYSE: BAC) on behalf of investors who acquired the Company's securities from August 1, 2025 to October 13, 2026.

PRNewsWire·Oct 26, 2026

Bank of America, Blackstone, Citi and Morgan Stanley Announce Landmark $63 Billion Financing Structure to Enable AI Compute Capacity in Partnership with Broadcom

NEW YORK and CHARLOTTE, N.C. and PALO ALTO, Calif., Oct. 26, 2026 /PRNewswire/ -- Bank of America (NYSE: BAC), Blackstone (NYSE: BX), Citi (NYSE: C) and Morgan Stanley (NYSE: MS) (the "Lead Financial Partners") today announced a $63 billion transaction to enable the deployment of AI compute capacity, leveraging Broadcom Inc.'s (NASDAQ: AVGO) technology, for Anthropic. This transaction is part of the strategic compute capacity agreement previously announced by Broadcom, with expected deliveries starting in calendar 2027.

PRNewsWire·Oct 26, 2026

What Does Bank Of America Corporation's 4.76% Stock Drop Mean for Investors? The Law Offices of Howard G.

Suit alleges Bank Of America Corporation failed to disclose key facts to investors from August 1, 2025 through October 13, 2026; lead plaintiff deadline is December 15, 2026 BENSALEM TOWNSHIP, Pa., Oct. 26, 2026 /PRNewswire/ -- The Law Offices of Howard G.

Fool - Investing News·Oct 26, 2026

Warren Buffett Put $10 Billion Into 2 Banks When Their Stocks Were Under Pressure. Here's What Those Deals Teach Today.

Buffett became famous over his career by playing contrarian on numerous occasions.

Filtered for Bank of America CorporationMore Headlines

Compare before deciding

Benchmark BAC against direct peers instead of judging its metrics in isolation.

Peers Comparison

Key metrics vs top competitors for Bank of America Corporation (BAC)

Full Screener →

Company	Price	Market Cap	P/E Ratio	Rev Growth (1Y)	Net Margin	ROE	Div Yield
BACBank of America CorporationCurrent	$49.42	$350.71B	11.25	11%	26.98%	10.19%	2.56%
JPMJPMorgan Chase & Co.	$334.49	$896.27B	13.60	7.32%	32.48%	17.91%	1.79%
WFCWells Fargo & Company	$83.94	$256.87B	13.28	1.7%	25.71%	12.26%	2.01%
CCitigroup Inc.	$119.05	$204.16B	17.03	5.11%	19.09%	8.08%	2.42%
GSThe Goldman Sachs Group, Inc.	$865.82	$260.7B	11.76	8.92%	31.81%	17.9%	1.92%
MSMorgan Stanley	$181.44	$286.18B	17.79	14.48%	26.15%	17.15%	2.28%

Compare BAC vs Peers

Bank of America Corporation (BAC) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.

Closest Rival

vs JPM

Most directly comparable listed peer for BAC.

Scale Benchmark

vs V

Larger-name benchmark to compare BAC against a more recognizable public peer.

Peer Set

Compare Top 5

vs JPM, WFC, C, GS

Keep researching

Verify the primary filings, follow material updates, and answer the remaining questions.

BAC SEC Filings & Documents

Bank of America Corporation (BAC) SEC filings — annual & quarterly reports (10-K, 10-Q)

8-K Announcements

Material company update

Jul 24, 2026·SEC

Material company update

Jul 14, 2026·SEC

Material company update

Jul 14, 2026·SEC

10-Q Quarterly Reports

FY 2026

Oct 30, 2026·SEC

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BAC Frequently Asked Questions

Bank of America Corporation (BAC) stock FAQ — growth, dividends, profitability & financials explained

Growth & Financials

How fast is Bank of America Corporation growing?

Bank of America Corporation (BAC) grew revenue by 11.0% in fiscal year 2025, compared with the prior fiscal year.

Is BAC profitable?

Yes. Bank of America Corporation (BAC) earned $32.12B in net income over the trailing twelve months (a 26.1% net margin).

Dividend & Returns

Does BAC pay dividends?

Yes. Bank of America Corporation (BAC) pays a dividend that yields 2.56% at the current price, a moderate yield.

What is BAC's return on equity?

Bank of America Corporation (BAC) had a return on equity (ROE) of 10.2% in fiscal year 2025. That is in line with the market's typical 10-15%.

Industry Metrics

What is Bank of America Corporation's net interest margin?

Bank of America Corporation (BAC) has a net interest margin (NIM) of 1.8%. NIM has been under pressure due to interest rate environment.

What is Bank of America Corporation's efficiency ratio?

Bank of America Corporation (BAC) has an efficiency ratio of 61.7%. This is reasonable for a bank.

What if you invested $1,000 in BAC back in 1996?

Total return calculator · dividends reinvested · 30+ years of data

See returns →

Quarter

EPS (Act vs Est)

Revenue (Act vs Est)

Q4 2026Latest

Oct 14, 2026

$1.08-1.8%

vs $1.10

$30.0B-1.9%

vs $30.6B

Q3 2026

Jul 14, 2026

$1.21+7.1%

vs $1.13

$31.6B+2.5%

vs $30.8B

Q2 2026

Apr 15, 2026

$1.11+9.9%

vs $1.01

$30.3B+1.1%

vs $29.9B

Q1 2026

Jan 14, 2026

$0.98+2.3%

vs $0.96

$28.4B+2.2%

vs $27.8B

Company

Price

Market Cap

P/E Ratio

Rev Growth (1Y)

Net Margin

ROE

Div Yield

BACBank of America CorporationCurrent

$49.42

$350.71B

11.25

11%

26.98%

10.19%

2.56%

JPMJPMorgan Chase & Co.

$334.49

$896.27B

13.60

7.32%

32.48%

17.91%

1.79%

WFCWells Fargo & Company

$83.94

$256.87B

13.28

1.7%

25.71%

12.26%

2.01%

CCitigroup Inc.

$119.05

$204.16B

17.03

5.11%

19.09%

8.08%

2.42%

GSThe Goldman Sachs Group, Inc.

$865.82

$260.7B

11.76

8.92%

31.81%

17.9%

1.92%

MSMorgan Stanley

$181.44

$286.18B

17.79

14.48%

26.15%

17.15%

2.28%