Zacks Research Lowers Earnings Estimates for Bank of America

Bank of America Corporation (NYSE:BAC) – Analysts at Zacks Research dropped their Q3 2025 earnings estimates for Bank of America in a report issued on Monday, September 29th. Zacks Research analyst Team now expects that the financial services provider will post earnings of $0.91 per share for the quarter, down from their previous forecast of $0.92. The consensus estimate for Bank of America’s current full-year earnings is $3.70 per share. Zacks Research also issued estimates for Bank of America’s Q3 2026 earnings at $1.05 EPS and FY2026 earnings at $4.20 EPS.

Bank of America (NYSE:BAC) last released its earnings results on Wednesday, July 16th. The financial services provider reported $0.89 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.86 by $0.03. Bank of America had a net margin of 14.81% and a return on equity of 10.25%. The business had revenue of ($22,273.00) million for the quarter, compared to analyst estimates of $26.79 billion. During the same quarter in the previous year, the business earned $0.83 earnings per share. Bank of America’s revenue for the quarter was up 4.3% on a year-over-year basis.

BAC has been the topic of several other research reports. HSBC lowered shares of Bank of America from a “buy” rating to a “hold” rating and upped their price objective for the company from $47.00 to $51.00 in a report on Monday, July 7th. Royal Bank Of Canada set a $53.00 target price on shares of Bank of America and gave the stock an “outperform” rating in a research report on Monday, June 30th. Robert W. Baird reissued a “neutral” rating and set a $52.00 target price on shares of Bank of America in a research report on Friday, June 27th. Oppenheimer decreased their price objective on shares of Bank of America from $57.00 to $56.00 and set an “outperform” rating for the company in a research note on Tuesday, September 23rd. Finally, Truist Financial increased their price objective on shares of Bank of America from $51.00 to $56.00 and gave the company a “buy” rating in a research note on Tuesday, September 23rd. Seventeen equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $52.63.

Bank of America Price Performance

Shares of NYSE BAC opened at $51.58 on Tuesday. The firm’s 50-day moving average price is $49.24 and its 200-day moving average price is $45.09. Bank of America has a 1-year low of $33.06 and a 1-year high of $52.88. The firm has a market capitalization of $382.05 billion, a P/E ratio of 15.08, a P/E/G ratio of 2.03 and a beta of 1.34. The company has a current ratio of 0.80, a quick ratio of 0.79 and a debt-to-equity ratio of 1.14.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the business. Rydar Equities Inc. bought a new position in Bank of America in the 2nd quarter valued at $418,000. Summit Financial Wealth Advisors LLC raised its position in shares of Bank of America by 5.4% during the 2nd quarter. Summit Financial Wealth Advisors LLC now owns 14,465 shares of the financial services provider’s stock valued at $684,000 after buying an additional 741 shares in the last quarter. Canal Capital Management LLC purchased a new stake in shares of Bank of America during the 2nd quarter valued at $207,000. Milestones Private Investment Advisors LLC purchased a new position in Bank of America in the 2nd quarter worth $233,000. Finally, American Trust raised its position in Bank of America by 64.0% in the 2nd quarter. American Trust now owns 7,939 shares of the financial services provider’s stock worth $376,000 after purchasing an additional 3,099 shares during the period. 70.71% of the stock is owned by institutional investors.

Insider Buying and Selling

In related news, insider James P. Demare sold 148,391 shares of the firm’s stock in a transaction that occurred on Friday, August 1st. The shares were sold at an average price of $45.57, for a total value of $6,762,177.87. Following the completion of the transaction, the insider directly owned 223,407 shares of the company’s stock, valued at approximately $10,180,656.99. This trade represents a 39.91% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 0.30% of the company’s stock.

Bank of America declared that its board has initiated a share repurchase plan on Wednesday, July 23rd that permits the company to repurchase $40.00 billion in outstanding shares. This repurchase authorization permits the financial services provider to buy up to 11.1% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s management believes its shares are undervalued.

Bank of America Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, September 26th. Investors of record on Friday, September 5th were issued a $0.28 dividend. This is a boost from Bank of America’s previous quarterly dividend of $0.26. The ex-dividend date of this dividend was Friday, September 5th. This represents a $1.12 annualized dividend and a yield of 2.2%. Bank of America’s payout ratio is 32.75%.

About Bank of America

Bank of America Corporation, through its subsidiaries, provides banking and financial products and services for individual consumers, small and middle-market businesses, institutional investors, large corporations, and governments worldwide. It operates in four segments: Consumer Banking, Global Wealth & Investment Management (GWIM), Global Banking, and Global Markets.