Bank of America Corporation (BAC) Evaluates New Credit Cards With 10% Rate

Bank of America Corporation (NYSE:BAC) is among the most profitable financial stocks to invest in. On January 22, Reuters reported that Bank of America Corporation (NYSE:BAC) is weighing options to introduce new credit cards offering a 10% interest rate to meet President Donald Trump’s demands, according to a source familiar with the matter.

Separately, TD Cowen trimmed the price target on Bank of America Corporation (NYSE:BAC) to $64 from $66 and maintained a Buy rating on January 15. This downward price adjustment, suggesting an upside potential of 23%, comes after the bank’s fourth-quarter 2025 results, in which it surpassed market expectations by delivering a core EPS of $0.98. This was mainly fueled by a pullback in provisions and slight net interest income upside.

Since the company’s earnings announcement on January 14, BAC has declined by approximately 2%. TD Cowen attributed this drop to the bank’s near-term operating leverage projection of 200 basis points for FY26, now at the bottom end of its medium-term range of 200 to 300 basis points. Despite this, TD Cowen remains optimistic about Bank of America Corporation (NYSE:BAC)’s overall performance.

Bank of America Corporation (NYSE:BAC) is a North Carolina-based provider of various financial products and services. Founded in 1784, the bank operates through four segments: Consumer Banking, Global Wealth & Investment Management (GWIM), Global Banking, and Global Markets.

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