Bank of America (NYSE:BAC) Releases Earnings Results, Misses Estimates By $0.02 EPS

Bank of America Corporation (NYSE:BAC) posted its earnings results on Wednesday. The financial services provider reported $1.08 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.10 by ($0.02), FiscalAI reports. The firm had revenue of $29.96 billion during the quarter, compared to the consensus estimate of $30.58 billion. Bank of America had a net margin of 17.56% and a return on equity of 12.20%.

Bank of America Stock Performance

Shares of Bank of America stock opened at $54.05 on Wednesday. The company has a debt-to-equity ratio of 1.23, a current ratio of 0.83 and a quick ratio of 0.82. The firm has a 50 day simple moving average of $59.75 and a 200 day simple moving average of $56.67. Bank of America Corporation has a fifty-two week low of $46.12 and a fifty-two week high of $65.22. The firm has a market cap of $377.93 billion, a P/E ratio of 12.40, a P/E/G ratio of 0.88 and a beta of 1.21.

Bank of America Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, September 25th. Investors of record on Friday, September 4th were issued a $0.32 dividend. This is an increase from Bank of America’s previous quarterly dividend of $0.28. This represents a $1.28 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date of this dividend was Friday, September 4th. Bank of America’s dividend payout ratio (DPR) is 29.36%.

Wall Street Analysts Forecast Growth

BAC has been the topic of a number of research analyst reports. Royal Bank Of Canada increased their price target on Bank of America from $59.00 to $65.00 and gave the stock an “outperform” rating in a research report on Wednesday, July 15th. Rothschild & Co Redburn set a $72.00 price objective on Bank of America in a research report on Tuesday, October 6th. Morgan Stanley reissued an “overweight” rating on shares of Bank of America in a research note on Tuesday, September 15th. TD Cowen began coverage on Bank of America in a research note on Thursday, October 8th. They issued a “hold” rating and a $60.00 price objective on the stock. Finally, Barclays increased their target price on Bank of America from $71.00 to $72.00 and gave the stock an “overweight” rating in a report on Wednesday, July 15th. Nineteen research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $64.22.

Key Bank of America News

Here are the key news stories impacting Bank of America this week:

• Positive Sentiment: Underlying banking trends were constructive: net interest income increased 8% year over year to $16.4 billion, average deposits rose 2% to $2.02 trillion, and average loans and leases grew 6% to $1.23 trillion. Bank of America also returned $8.3 billion to shareholders through dividends and share repurchases. Bank of America Reports $6.9 Billion Third-Quarter Net Income
• Neutral Sentiment: Reported third-quarter net income was $6.9 billion, while revenue reached approximately $30.0 billion. Credit costs included $1.3 billion of provision expense and $1.3 billion in net charge-offs, keeping asset quality and loan-loss trends important for investors. Bank of America Reports Third Quarter 2026 Financial Results
• Negative Sentiment: Headline earnings missed expectations. One market report cited EPS of $1.08 versus a $1.10 consensus, while the company’s reported diluted EPS was $0.91, down from $1.04 a year earlier, after including a large regulatory charge. Revenue of about $30.0 billion was also below the roughly $30.6 billion estimate. Bank of America Third-Quarter Earnings
• Negative Sentiment: U.S. regulators imposed more than $1.2 billion in penalties over anti-money-laundering and sanctions-compliance failures, including the alleged failure to report more than $5 billion in suspicious transactions. Bank of America acknowledged willful Bank Secrecy Act violations, raising concerns about governance, controls and potential future regulatory scrutiny. Bank of America Hit With More Than $1.2 Billion in Penalties

Bank of America Company Profile

Bank of America Corporation (NYSE:BAC) is a diversified financial services company serving individual consumers, small businesses, middle-market companies and large corporations. Its principal businesses include consumer banking, wealth and investment management, commercial banking, corporate and investment banking, and sales and trading.

Through its banking and financial services businesses, the company offers deposit accounts, credit cards, mortgages, home equity products, consumer and business loans, payment services, treasury management, brokerage services and investment advice.