In the latest close session, Bank of America (BAC) was up +1.73% at $55.95. The stock exceeded the S&P 500, which registered a gain of 0.19% for the day. On the other hand, the Dow registered a gain of 0.66%, and the technology-centric Nasdaq decreased by 0.03%.
Heading into today, shares of the nation's second-largest bank had gained 1.55% over the past month, lagging the Finance sector's gain of 2.08% and outpacing the S&P 500's gain of 0.54%.
Market participants will be closely following the financial results of Bank of America in its upcoming release. The company plans to announce its earnings on January 14, 2026. On that day, Bank of America is projected to report earnings of $0.96 per share, which would represent year-over-year growth of 17.07%. At the same time, our most recent consensus estimate is projecting a revenue of $27.34 billion, reflecting a 7.87% rise from the equivalent quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $3.8 per share and a revenue of $109.35 billion, signifying shifts of +15.85% and 0%, respectively, from the last year.
Investors might also notice recent changes to analyst estimates for Bank of America. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.48% lower. Bank of America currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, Bank of America is holding a Forward P/E ratio of 12.69. For comparison, its industry has an average Forward P/E of 15.63, which means Bank of America is trading at a discount to the group.
The Financial - Investment Bank industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 85, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Bank of America Corporation (BAC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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