BAC Fundamental Analysis - BANK OF AMERICA CORP

Fundamental Rating

BAC gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 392 industry peers in the Banks industry. BAC has a bad profitability rating. Also its financial health evaluation is rather negative. BAC is valied quite expensively at the moment, while it does show a decent growth rate. Finally BAC also has an excellent dividend rating.

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1. Profitability

1.1 Basic Checks

In the past year BAC was profitable.

BAC had a negative operating cash flow in the past year.

BAC had positive earnings in each of the past 5 years.

In multiple years BAC reported negative operating cash flow during the last 5 years.

1.2 Ratios

BAC's Return On Assets of 0.77% is in line compared to the rest of the industry. BAC outperforms 43.88% of its industry peers.

BAC's Return On Equity of 8.88% is in line compared to the rest of the industry. BAC outperforms 54.85% of its industry peers.

		Industry Rank	Sector Rank
ROA	0.77%
ROE	8.88%
ROIC	N/A

ROA(3y)0.81%

ROA(5y)0.79%

ROE(3y)8.89%

ROE(5y)8.81%

ROIC(3y)N/A

ROIC(5y)N/A

1.3 Margins

BAC has a better Profit Margin (25.44%) than 61.48% of its industry peers.

BAC's Profit Margin has declined in the last couple of years.

BAC does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.

		Industry Rank	Sector Rank
OM	N/A
PM (TTM)	25.44%
GM	N/A

OM growth 3YN/A

OM growth 5YN/A

PM growth 3Y-9.96%

PM growth 5Y-2.56%

GM growth 3YN/A

GM growth 5YN/A

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ROA

ROE

ROIC

Operating and Profit Margin

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2. Health

2.1 Basic Checks

BAC does not have a ROIC to compare to the WACC, probably because it is not profitable.

Compared to 1 year ago, BAC has less shares outstanding

Compared to 5 years ago, BAC has less shares outstanding

The debt/assets ratio for BAC is higher compared to a year ago.

2.2 Solvency

BAC has a Debt/Equity ratio of 2.54. This is a high value indicating a heavy dependency on external financing.

BAC has a worse Debt to Equity ratio (2.54) than 90.82% of its industry peers.

		Industry Rank	Sector Rank
Debt/Equity	2.54
Debt/FCF	N/A
Altman-Z	N/A

ROIC/WACCN/A

WACC11.68%

2.3 Liquidity

		Industry Rank	Sector Rank
Current Ratio	N/A
Quick Ratio	N/A

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WACC

Debt/Equity

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Altman-Z score

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3. Growth

3.1 Past

The Earnings Per Share has been growing slightly by 4.91% over the past year.

Measured over the past 5 years, BAC shows a small growth in Earnings Per Share. The EPS has been growing by 3.50% on average per year.

BAC shows a small growth in Revenue. In the last year, the Revenue has grown by 6.31%.

BAC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.23% yearly.

EPS 1Y (TTM)4.91%

EPS 3Y-0.4%

EPS 5Y3.5%

EPS Q2Q%7.23%

Revenue 1Y (TTM)6.31%

Revenue growth 3Y4.57%

Revenue growth 5Y2.23%

Sales Q2Q%4.19%

3.2 Future

BAC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.12% yearly.

Based on estimates for the next years, BAC will show a small growth in Revenue. The Revenue will grow by 4.74% on average per year.

EPS Next Y12.67%

EPS Next 2Y14.51%

EPS Next 3Y14.13%

EPS Next 5Y9.12%

Revenue Next Year6.4%

Revenue Next 2Y6.19%

Revenue Next 3Y5.74%

Revenue Next 5Y4.74%

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

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4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 15.17, the valuation of BAC can be described as correct.

Compared to the rest of the industry, the Price/Earnings ratio of BAC indicates a slightly more expensive valuation: BAC is more expensive than 67.35% of the companies listed in the same industry.

BAC's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.67.

With a Price/Forward Earnings ratio of 12.03, BAC is valued correctly.

Based on the Price/Forward Earnings ratio, BAC is valued a bit more expensive than 66.58% of the companies in the same industry.

Compared to an average S&P500 Price/Forward Earnings ratio of 23.13, BAC is valued a bit cheaper.

		Industry Rank	Sector Rank
PE	15.17
Fwd PE	12.03

4.2 Price Multiples

		Industry Rank	Sector Rank
P/FCF	N/A
EV/EBITDA	N/A

4.3 Compensation for Growth

The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.

A more expensive valuation may be justified as BAC's earnings are expected to grow with 14.13% in the coming years.

PEG (NY)1.2

PEG (5Y)4.33

EPS Next 2Y14.51%

EPS Next 3Y14.13%

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5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 5.84%, BAC is a good candidate for dividend investing.

Compared to an average industry Dividend Yield of 3.52, BAC pays a better dividend. On top of this BAC pays more dividend than 88.78% of the companies listed in the same industry.

Compared to an average S&P500 Dividend Yield of 2.41, BAC pays a better dividend.

		Industry Rank	Sector Rank
Dividend Yield	5.84%

5.2 History

On average, the dividend of BAC grows each year by 13.83%, which is quite nice.

BAC has paid a dividend for at least 10 years, which is a reliable track record.

BAC has not decreased their dividend for at least 10 years, which is a reliable track record.

Dividend Growth(5Y)13.83%

Div Incr Years11

Div Non Decr Years15

5.3 Sustainability

BAC pays out 35.80% of its income as dividend. This is a sustainable payout ratio.

The dividend of BAC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.

DP35.8%

EPS Next 2Y14.51%

EPS Next 3Y14.13%

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BANK OF AMERICA CORP

NYSE:BAC (9/30/2025, 10:19:09 AM)

51.895

-0.52 (-1%)

Chartmill FA Rating

GICS SectorFinancials

GICS IndustryGroupBanks

GICS IndustryBanks

Earnings (Last)07-16 2025-07-16/bmo

Earnings (Next)10-15 2025-10-15/bmo

Inst Owners67.04%

Inst Owner Change-2.87%

Ins Owners0.12%

Ins Owner Change-0.49%

Market Cap384.38B

Analysts80

Price Target53.02 (2.17%)

Short Float %1.53%

Short Ratio3

Dividend

		Industry Rank	Sector Rank
Dividend Yield	5.84%

Yearly Dividend1.23

Dividend Growth(5Y)13.83%

DP35.8%

Div Incr Years11

Div Non Decr Years15

Ex-Date09-05 2025-09-05 (0.28)

Surprises & Revisions

EPS beat(2)2

Avg EPS beat(2)5.9%

Min EPS beat(2)2.97%

Max EPS beat(2)8.83%

EPS beat(4)4

Avg EPS beat(4)5.42%

Min EPS beat(4)2.97%

Max EPS beat(4)8.83%

EPS beat(8)8

Avg EPS beat(8)5.5%

EPS beat(12)12

Avg EPS beat(12)6.25%

EPS beat(16)16

Avg EPS beat(16)6.85%

Revenue beat(2)1

Avg Revenue beat(2)-0.25%

Min Revenue beat(2)-1.41%

Max Revenue beat(2)0.92%

Revenue beat(4)2

Avg Revenue beat(4)-0.11%

Min Revenue beat(4)-1.41%

Max Revenue beat(4)0.92%

Revenue beat(8)4

Avg Revenue beat(8)-0.91%

Revenue beat(12)7

Avg Revenue beat(12)-0.08%

Revenue beat(16)8

Avg Revenue beat(16)-0.06%

PT rev (1m)0.44%

PT rev (3m)6.98%

EPS NQ rev (1m)-0.03%

EPS NQ rev (3m)-0.54%

EPS NY rev (1m)0.09%

EPS NY rev (3m)0.43%

Revenue NQ rev (1m)-0.03%

Revenue NQ rev (3m)-0.13%

Revenue NY rev (1m)0.01%

Revenue NY rev (3m)0.09%

Valuation

		Industry Rank	Sector Rank
PE	15.17
Fwd PE	12.03
P/S	3.68
P/FCF	N/A
P/OCF	N/A
P/B	1.28
P/tB	1.67
EV/EBITDA	N/A

EPS(TTM)3.42

EY6.59%

EPS(NY)4.31

Fwd EY8.31%

FCF(TTM)-3.06

FCFYN/A

OCF(TTM)-3.06

OCFYN/A

SpS14.11

BVpS40.45

TBVpS31.13

PEG (NY)1.2

PEG (5Y)4.33

Profitability

		Industry Rank	Sector Rank
ROA	0.77%
ROE	8.88%
ROCE	N/A
ROIC	N/A
ROICexc	N/A
ROICexgc	N/A
OM	N/A
PM (TTM)	25.44%
GM	N/A
FCFM	N/A

ROA(3y)0.81%

ROA(5y)0.79%

ROE(3y)8.89%

ROE(5y)8.81%

ROIC(3y)N/A

ROIC(5y)N/A

ROICexc(3y)N/A

ROICexc(5y)N/A

ROICexgc(3y)N/A

ROICexgc(5y)N/A

ROCE(3y)N/A

ROCE(5y)N/A

ROICexcg growth 3YN/A

ROICexcg growth 5YN/A

ROICexc growth 3YN/A

ROICexc growth 5YN/A

OM growth 3YN/A

OM growth 5YN/A

PM growth 3Y-9.96%

PM growth 5Y-2.56%

GM growth 3YN/A

GM growth 5YN/A

F-Score5

Asset Turnover0.03

Health

		Industry Rank	Sector Rank
Debt/Equity	2.54
Debt/FCF	N/A
Debt/EBITDA	N/A
Cap/Depr	N/A
Cap/Sales	N/A
Interest Coverage	N/A
Cash Conversion	N/A
Profit Quality	N/A
Current Ratio	N/A
Quick Ratio	N/A
Altman-Z	N/A

F-Score5

WACC11.68%

ROIC/WACCN/A

Cap/Depr(3y)N/A

Cap/Depr(5y)N/A

Cap/Sales(3y)N/A

Cap/Sales(5y)N/A

Profit Quality(3y)N/A

Profit Quality(5y)N/A

High Growth Momentum

Growth

EPS 1Y (TTM)4.91%

EPS 3Y-0.4%

EPS 5Y3.5%

EPS Q2Q%7.23%

EPS Next Y12.67%

EPS Next 2Y14.51%

EPS Next 3Y14.13%

EPS Next 5Y9.12%

Revenue 1Y (TTM)6.31%

Revenue growth 3Y4.57%

Revenue growth 5Y2.23%

Sales Q2Q%4.19%

Revenue Next Year6.4%

Revenue Next 2Y6.19%

Revenue Next 3Y5.74%

Revenue Next 5Y4.74%

EBIT growth 1YN/A

EBIT growth 3YN/A

EBIT growth 5YN/A

EBIT Next YearN/A

EBIT Next 3YN/A

EBIT Next 5YN/A

FCF growth 1Y-150.8%

FCF growth 3YN/A

FCF growth 5YN/A

OCF growth 1Y-150.8%

OCF growth 3YN/A

OCF growth 5YN/A

BANK OF AMERICA CORP (BAC) Stock Fundamental Analysis

1. Profitability

1.1 Basic Checks

1.2 Ratios

1.3 Margins

More info and screens

2. Health

2.1 Basic Checks

2.2 Solvency

2.3 Liquidity

More info and screens

3. Growth

3.1 Past

3.2 Future

3.3 Evolution

More info and screens

4. Valuation

4.1 Price/Earnings Ratio

4.2 Price Multiples

4.3 Compensation for Growth

More info and screens

5. Dividend

5.1 Amount

5.2 History

5.3 Sustainability

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