Bank of America Corporation (BAC) Financial Ratios
30 years of historical data (1996–2025) · Financial Services · Banks - Diversified
EV/EBITDA
↓
13.95
↓-18% vs avg
5yr avg: 16.99
30Y Low6.1·High97.5
P/FCF
↑
33.63
↑+73% vs avg
5yr avg: 19.48
30Y Low0.9·High64.8
P/B Ratio
↓
1.40
+19% vs avg
5yr avg: 1.17
30Y Low0.2·High3.5
ROE
↓
10.2%
↓+0% vs avg
5yr avg: 10.1%
30Y Low-1%·High44%
Debt/EBITDA
↓
9.15
↓-42% vs avg
5yr avg: 15.88
30Y Low4.3·High45.4
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
BAC Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
Bank of America Corporation trades at 14.7x earnings, 19% above its 5-year average of 12.4x, sitting at the 48th percentile of its historical range. Compared to the Financial Services sector median P/E of 13.6x, the stock trades at a premium of 8%. On a free-cash-flow basis, the stock trades at 33.6x P/FCF, 73% above the 5-year average of 19.5x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $424.1B | $415.1B | $344.7B | $272.1B | $270.5B | $380.8B | $266.6B | $332.6B | $252.2B | $318.2B | $244.1B |
| Enterprise Value | $558.2B | $549.1B | $706.7B | $548.8B | $531.6B | $521.6B | $332.2B | $594.1B | $503.9B | $586.5B | $497.6B |
| P/E Ratio → | 14.71 | 14.40 | 13.65 | 10.93 | 10.38 | 12.46 | 16.21 | 12.81 | 9.44 | 18.92 | 14.73 |
| P/S Ratio | 2.21 | 2.17 | 1.79 | 1.58 | 2.35 | 4.06 | 2.84 | 2.93 | 2.30 | 3.20 | 2.61 |
| P/B Ratio | 1.40 | 1.37 | 1.17 | 0.93 | 0.99 | 1.41 | 0.98 | 1.26 | 0.95 | 1.19 | 0.92 |
| P/FCF | 33.63 | 32.91 | — | 6.05 | — | — | 7.02 | 5.38 | 6.38 | 32.26 | 14.13 |
| P/OCF | 33.63 | 32.91 | — | 6.05 | — | — | 7.02 | 5.38 | 6.38 | 32.26 | 14.13 |
P/E links to full P/E history page with 30-year chart
BAC EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
Bank of America Corporation's enterprise value stands at 14.0x EBITDA, 18% below its 5-year average of 17.0x. The Financial Services sector median is 11.4x, placing the stock at a 22% premium on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.87 | 3.67 | 3.19 | 4.62 | 5.56 | 3.54 | 5.23 | 4.60 | 5.90 | 5.31 |
| EV / EBITDA | 13.95 | 13.73 | 22.47 | 18.05 | 16.13 | 14.54 | 15.94 | 17.23 | 13.75 | 18.73 | 18.25 |
| EV / EBIT | 14.81 | 14.57 | 24.16 | 19.36 | 17.17 | 15.35 | 17.49 | 18.14 | 14.57 | 20.08 | 19.89 |
| EV / FCF | — | 43.54 | — | 12.20 | — | — | 8.74 | 9.62 | 12.75 | 59.46 | 28.80 |
BAC Profitability
Margins and return-on-capital ratios measuring operating efficiency
Bank of America Corporation earns an operating margin of 19.7%, roughly in line with the Financial Services sector average. Operating margins have expanded from 16.5% to 19.7% over the past 3 years, signaling improving operational efficiency. ROE of 10.2% is modest. ROIC of 3.5% represents below-average returns on invested capital versus a sector median of 5.5%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 56.1% | 56.1% | 49.9% | 54.8% | 80.3% | 99.8% | 79.2% | 77.2% | 80.0% | 84.2% | 85.5% |
| Operating Margin | 19.7% | 19.7% | 15.2% | 16.5% | 26.9% | 36.2% | 20.3% | 28.8% | 31.5% | 29.4% | 26.7% |
| Net Profit Margin | 15.9% | 15.9% | 14.1% | 15.4% | 23.9% | 34.1% | 19.1% | 24.1% | 25.7% | 18.3% | 19.0% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 10.2% | 10.2% | 9.2% | 9.4% | 10.1% | 11.8% | 6.7% | 10.3% | 10.6% | 6.8% | 6.8% |
| ROA | 0.9% | 0.9% | 0.8% | 0.9% | 0.9% | 1.1% | 0.7% | 1.1% | 1.2% | 0.8% | 0.8% |
| ROIC | 3.5% | 3.5% | 2.4% | 2.5% | 3.0% | 3.4% | 2.0% | 3.5% | 3.7% | 3.2% | 2.7% |
| ROCE | 4.5% | 4.5% | 3.5% | 3.9% | 5.2% | 5.8% | 3.4% | 6.1% | 6.5% | 5.6% | 4.7% |
BAC Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
Bank of America Corporation carries a Debt/EBITDA ratio of 9.1x, which is highly leveraged (115% above the sector average of 4.3x). Net debt stands at $134.1B ($365.9B total debt minus $231.8B cash). Interest coverage of just 0.5x is concerning — the company has limited headroom to absorb earnings volatility before struggling with debt service.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.21 | 1.21 | 2.23 | 2.12 | 1.82 | 1.84 | 1.66 | 1.62 | 1.65 | 1.64 | 1.54 |
| Debt / EBITDA | 9.15 | 9.15 | 20.94 | 20.34 | 15.13 | 13.83 | 21.72 | 12.47 | 11.91 | 13.95 | 15.08 |
| Net Debt / Equity | — | 0.44 | 1.22 | 0.95 | 0.96 | 0.52 | 0.24 | 0.99 | 0.95 | 1.00 | 0.95 |
| Net Debt / EBITDA | 3.35 | 3.35 | 11.51 | 9.10 | 7.92 | 3.93 | 3.15 | 7.58 | 6.87 | 8.57 | 9.30 |
| Debt / FCF | — | 10.63 | — | 6.15 | — | — | 1.73 | 4.23 | 6.37 | 27.20 | 14.67 |
| Interest Coverage | 0.48 | 0.48 | 0.32 | 0.39 | 1.54 | 7.17 | 2.31 | 1.47 | 1.86 | 2.37 | 2.51 |
BAC Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
The current ratio of 0.42x is below 1.0, meaning current liabilities exceed current assets — though the company's $231.8B cash position helps mitigate short-term liquidity concerns. The current ratio has improved from 0.30x to 0.42x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.42 | 0.42 | 0.30 | 0.30 | 0.22 | 0.29 | 0.31 | 0.26 | 0.28 | 0.32 | 0.32 |
| Quick Ratio | 0.42 | 0.42 | 0.30 | 0.30 | 0.22 | 0.29 | 0.31 | 0.26 | 0.28 | 0.32 | 0.32 |
| Cash Ratio | 0.09 | 0.09 | 0.12 | 0.15 | 0.10 | 0.14 | 0.17 | 0.09 | 0.10 | 0.10 | 0.09 |
| Asset Turnover | — | 0.06 | 0.06 | 0.05 | 0.04 | 0.03 | 0.03 | 0.05 | 0.05 | 0.04 | 0.04 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
BAC Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Bank of America Corporation returns 7.3% to shareholders annually — split between a 2.3% dividend yield and 5.1% buyback yield. The payout ratio of 31.3% is conservative, leaving significant room for dividend growth or reinvestment. The earnings yield of 6.8% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.3% | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | 31.3% | 31.3% | 35.0% | 34.3% | 31.2% | 25.2% | 43.2% | 21.6% | 24.5% | 31.3% | 23.5% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 6.8% | 6.9% | 7.3% | 9.1% | 9.6% | 8.0% | 6.2% | 7.8% | 10.6% | 5.3% | 6.8% |
| FCF Yield | 3.0% | 3.0% | — | 16.5% | — | — | 14.2% | 18.6% | 15.7% | 3.1% | 7.1% |
| Buyback Yield | 5.1% | — | — | — | — | — | — | — | — | — | — |
| Total Shareholder Yield | 7.3% | — | — | — | — | — | — | — | — | — | — |
| Shares Outstanding | — | $7.5B | $7.8B | $8.1B | $8.2B | $8.6B | $8.8B | $9.4B | $10.2B | $10.8B | $11.0B |
Peer Comparison
Compare BAC with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 BACYou | $424B | 14.7 | 14.0 | 33.6 | 56.1% | 19.7% | 10.2% | 3.5% | 9.1 |
 JPM | $909B | 16.2 | 18.5 | 9.0 | 59.9% | 26.0% | 16.1% | 4.5% | 11.6 |
 WFC | $265B | 13.0 | 17.6 | — | 64.8% | 20.4% | 11.7% | 3.5% | 14.5 |
 C | $267B | 20.5 | 27.4 | 12.0 | 44.6% | 11.8% | 6.7% | 1.7% | 31.0 |
 GS | $348B | 21.4 | 33.0 | — | 47.5% | 17.5% | 13.9% | 2.2% | 25.4 |
 MS | $356B | 21.9 | 27.0 | 7.7 | 57.1% | 19.1% | 15.5% | 3.1% | 17.9 |
 USB | $90B | 12.6 | 11.8 | 11.4 | 62.8% | 22.2% | 12.2% | 5.2% | 7.6 |
 PNC | $91B | 14.0 | 12.7 | 9.7 | 71.7% | 27.1% | 12.1% | 5.4% | 6.7 |
 TFC | $62B | 12.7 | 13.5 | 10.8 | 62.2% | 20.9% | 8.2% | 3.6% | 9.9 |
 COF | $125B | 50.0 | 15.7 | 4.8 | 47.3% | 3.3% | 2.8% | 1.3% | 6.8 |
 CFG | $29B | 17.4 | 10.3 | 14.3 | 69.8% | 20.9% | 7.2% | 4.7% | 4.2 |
| Financial Services Median | — | 13.6 | 11.4 | 11.1 | 64.1% | 20.3% | 9.0% | 5.5% | 4.3 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
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Includes 30+ ratios · 30 years · Updated daily
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BAC — Frequently Asked Questions
Quick answers to the most common questions about buying BAC stock.
What is Bank of America Corporation's P/E ratio?
Bank of America Corporation's current P/E ratio is 14.7x. The historical average is 17.8x. This places it at the 48th percentile of its historical range.
What is Bank of America Corporation's EV/EBITDA?
Bank of America Corporation's current EV/EBITDA is 14.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 27.3x.
What is Bank of America Corporation's ROE?
Bank of America Corporation's return on equity (ROE) is 10.2%. The historical average is 11.3%.
Is BAC stock overvalued?
Based on historical data, Bank of America Corporation is trading at a P/E of 14.7x. This is at the 48th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is Bank of America Corporation's dividend yield?
Bank of America Corporation's current dividend yield is 2.25% with a payout ratio of 31.3%.
What are Bank of America Corporation's profit margins?
Bank of America Corporation has 56.1% gross margin and 19.7% operating margin. Operating margin between 10-20% is typical for established companies.
How much debt does Bank of America Corporation have?
Bank of America Corporation's Debt/EBITDA ratio is 9.1x, indicating high leverage. A ratio above 4x may signal elevated financial risk.