BANK OF AMERICA CORP (BAC)
US0605051046 - Common Stock
Overall BAC gets a fundamental rating of 3 out of 10. We evaluated BAC against 412 industry peers in the Banks industry. BAC has a bad profitability rating. Also its financial health evaluation is rather negative. BAC has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
BAC had positive earnings in the past year.
In the past year BAC had a positive cash flow from operations.
In the past 5 years BAC has always been profitable.
The reported operating cash flow has been mixed in the past 5 years: BAC reported negative operating cash flow in multiple years.
1.2 Ratios
BAC has a Return On Assets of 0.78%. This is comparable to the rest of the industry: BAC outperforms 42.48% of its industry peers.
BAC's Return On Equity of 8.53% is in line compared to the rest of the industry. BAC outperforms 43.20% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.78% | ||
| ROE | 8.53% | ||
| ROIC | N/A |
ROA(3y)0.87%
ROA(5y)0.85%
ROE(3y)9.79%
ROE(5y)9.04%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 25.22%, BAC is in line with its industry, outperforming 56.31% of the companies in the same industry.
In the last couple of years the Profit Margin of BAC has declined.
The Operating Margin and Gross Margin are not available for BAC so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 25.22% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y9.41%
PM growth 5Y-2.97%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
BAC does not have a ROIC to compare to the WACC, probably because it is not profitable.
BAC has less shares outstanding than it did 1 year ago.
BAC has less shares outstanding than it did 5 years ago.
BAC has a worse debt/assets ratio than last year.
2.2 Solvency
BAC has a debt to FCF ratio of 13.61. This is a negative value and a sign of low solvency as BAC would need 13.61 years to pay back of all of its debts.
BAC's Debt to FCF ratio of 13.61 is on the low side compared to the rest of the industry. BAC is outperformed by 80.58% of its industry peers.
BAC has a Debt/Equity ratio of 2.03. This is a high value indicating a heavy dependency on external financing.
BAC has a Debt to Equity ratio of 2.03. This is amonst the worse of the industry: BAC underperforms 91.99% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.03 | ||
| Debt/FCF | 13.61 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC13.04%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.56% over the past year.
The Earnings Per Share has been growing slightly by 5.39% on average over the past years.
BAC shows a small growth in Revenue. In the last year, the Revenue has grown by 3.82%.
BAC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.61% yearly.
EPS 1Y (TTM)5.56%
EPS 3Y22.95%
EPS 5Y5.39%
EPS growth Q2Q-17.65%
Revenue 1Y (TTM)3.82%
Revenue growth 3Y4.85%
Revenue growth 5Y1.61%
Revenue growth Q2Q-10.49%
3.2 Future
BAC is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.34% yearly.
The Revenue is expected to grow by 2.15% on average over the next years.
EPS Next Y-7.26%
EPS Next 2Y0.76%
EPS Next 3Y4.46%
EPS Next 5Y1.34%
Revenue Next Year-0.31%
Revenue Next 2Y1.27%
Revenue Next 3Y2.3%
Revenue Next 5Y2.15%
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 decreasing.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 10.81, which indicates a very decent valuation of BAC.
Based on the Price/Earnings ratio, BAC is valued a bit more expensive than the industry average as 60.19% of the companies are valued more cheaply.
BAC's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.76.
With a Price/Forward Earnings ratio of 11.66, the valuation of BAC can be described as very reasonable.
The rest of the industry has a similar Price/Forward Earnings ratio as BAC.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.26, BAC is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.81 | ||
| Fwd PE | 11.66 |
4.2 Price Multiples
BAC's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. BAC is cheaper than 74.03% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.49 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)2
EPS Next 2Y0.76%
EPS Next 3Y4.46%
5. Dividend
5.1 Amount
BAC has a Yearly Dividend Yield of 2.72%.
BAC's Dividend Yield is slightly below the industry average, which is at 3.92.
Compared to an average S&P500 Dividend Yield of 2.40, BAC has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.72% |
5.2 History
The dividend of BAC is nicely growing with an annual growth rate of 10.60%!
BAC has been paying a dividend for at least 10 years, so it has a reliable track record.
BAC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)10.6%
Div Incr Years10
Div Non Decr Years14
5.3 Sustainability
36.54% of the earnings are spent on dividend by BAC. This is a low number and sustainable payout ratio.
The dividend of BAC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP36.54%
EPS Next 2Y0.76%
EPS Next 3Y4.46%
BANK OF AMERICA CORP
NYSE:BAC (4/19/2024, 5:30:00 PM)
After market: 36.94 -0.03 (-0.08%)36.97
+1.2 (+3.35%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap291.72B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.72% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.81 | ||
| Fwd PE | 11.66 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.78% | ||
| ROE | 8.53% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | 25.22% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.03 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)5.56%
EPS 3Y22.95%
EPS 5Y
EPS growth Q2Q
EPS Next Y-7.26%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)3.82%
Revenue growth 3Y4.85%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y