Bank of America Financials

BAC Stock  USD 36.01  0.60  1.69%   
Based on the key measurements obtained from Bank of America's financial statements, Bank Of America may be sliding down financialy. It has an above-average probability of going through some form of financial hardship next quarter. At present, Bank of America's Retained Earnings are projected to increase significantly based on the last few years of reporting. The current year's Cash is expected to grow to about 358.5 B, whereas Total Assets are forecasted to decline to about 1.7 T. Key indicators impacting Bank of America's financial strength include:
Current ValueLast YearChange From Last Year 10 Year Trend
Net Profit Margin0.160.2815
Way Down
Slightly volatile
Return On Assets0.00950.0083
Moderately Up
Slightly volatile
Return On Equity0.110.0909
Fairly Up
Slightly volatile
Debt Equity Ratio1.841.1463
Way Up
Very volatile
Current Ratio0.971.0234
Notably Down
Pretty Stable
The financial analysis of Bank of America is a critical element in measuring its lifeblood. The essential information of the day-to-day investment outlook for Bank of America includes many different criteria found on its balance sheet. For example, investors should never minimize Bank of America's ability to pay suppliers or employees on time, making sure interest payments are not accumulating or correctly timing where and how to re-invest extra cash. Any individual investor needs to monitor Bank of America's cash flow, debt, and profitability to effectively and accurately make more informed decisions on whether to invest in Bank of America.

Net Income

27.84 Billion

With this module, you can analyze Bank financials for your investing period. You should be able to track the changes in Bank of America individual financial statements over time to develop the understanding of its risk, liquidity, profitability, or other critical and vital indicators.
  
Understanding current and past Bank of America Financials, including the trends in assets, liabilities, equity and income are directly related to making proper and timely investing decisions. All of Bank of America's financial statements are interrelated, with each one affecting the others. For example, an increase in Bank of America's assets may result in an increase in income on the income statement.
Evaluating Bank of America's financials involves analyzing a range of financial metrics and ratios to gain insights into the company's financial health and performance. However, considering all of Bank of America's profitability, liquidity ratios, and efficiency indicators at the same time could be an enormous task, and our Financial Distress score can provide you with a snapshot of the Bank of America's relative financial performance

Chance Of Distress

Less than 6

 
100  
 
Zero
Low
Bank Of America has less than 6 (%) percent chance of experiencing financial distress in the next two years of operations. The calculation of odds of distress for Bank of America stock is tightly coupled with the Probability of Bankruptcy. It complements the equity performance score by supplying investors with insight into company financials without requiring them to know too much about all of the complex accounting and financial indicators surrounding the entity.
Please note, Bank of America's odds of distress score SHOULD NOT be confused with the real chance of Bank Of America filing for bankruptcy protection for chapters 7, 11, 12, or 13. We define Financial Distress as an operational condition where an entity such as Bank is having difficulty meeting its current financial obligations towards its creditors or delivering on the expectations of its investors. Macroaxis derives these conditions daily from public financial statements and analysis of stock prices reacting to market conditions or economic downturns, including short-term and long-term historical volatility. Other factors considered include Bank of America's liquidity analysis, revenue patterns, R&D expenses, and commitments, as well as public headlines and social sentiment.
More Info
The data published in Bank of America's official financial statements usually reflect Bank of America's business processes, product offerings, services, and other fundamental events. But there are other numbers, ratios, or fundamental indicators derived from these statements that are easier to understand and visualize within the underlying realities that drive quantitative information of Bank Of America. For example, before you start analyzing numbers published by Bank accountants, it's critical to develop an understanding of what Bank of America's liquidity, profitability, and earnings quality are in the context of the Banks space in which it operates.
Please note, the presentation of Bank of America's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Bank of America's management is honest, while the outside auditors are strict and uncompromising. Whatever the case, the imprecision that can be found in Bank of America's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Bank Of America. Please utilize our Beneish M Score to check the likelihood of Bank of America's management manipulating its earnings.

Bank of America Company Summary

Bank of America competes with Progressive Corp, Comfort Systems, JPMorgan Chase, JPMorgan Chase, and Bank Of America. Bank of America Corporation, through its subsidiaries, provides banking and financial products and services for individual consumers, small and middle-market businesses, institutional investors, large corporations, and governments worldwide. The company was founded in 1784 and is based in Charlotte, North Carolina. B of A operates under BanksDiversified classification in the United States and is traded on New York Stock Exchange. It employs 213000 people.
Foreign Associates
Specialization
Financial Services, Banks - Diversified
InstrumentUSA Stock View All
ExchangeNew York Stock Exchange
CIK Number0000070858
ISINUS0605051046
CUSIP060505104 06605F102 638585109
RegionNorth America
LocationNorth Carolina; U.S.A
Business AddressBank of America
SectorBanks
IndustryFinancials
BenchmarkNYSE Composite
Websitewww.bankofamerica.com
Phone704 386 5681
CurrencyUSD - US Dollar
You should never invest in Bank of America without having analyzed its financial statements. Do not rely on someone else's analysis or guesses about the future performance of Bank Stock, because this is throwing your money away. Analyzing the key information contained in Bank of America's financial statements can give you an edge over other investors and help to ensure that your investments perform well for you.

Bank of America Key Financial Ratios

Generally speaking, Bank of America's financial ratios allow both analysts and investors to convert raw data from Bank of America's financial statements into concise, actionable information that can be used to evaluate the performance of Bank of America over time and compare it to other companies across industries. There are many critical financial ratios that investors are exposed to on a daily basis, but they are usually grouped into few meaningful categories from each financial statement that Bank Of America reports annually and quarterly.

Bank of America Key Balance Sheet Accounts

201920202021202220232024 (projected)
Total Assets2.4T2.8T3.2T3.1T3.2T1.7T
Net Debt96.4B(104.8B)(51.5B)65.5B(7.1B)(6.8B)
Retained Earnings156.3B164.1B188.1B207.0B224.7B235.9B
Cash168.7B387.0B355.4B237.5B341.4B358.5B
Net Receivables55.9B64.2B72.7B67.4B96.7B52.2B
Other Current Assets1.3T1.2T1.2T133.8B981.0B811.0B
Total Liab2.2T2.5T2.9T2.8T2.9T1.5T
Total Current Assets490.0B702.7B742.0B539.3B981.0B1.0T
Short Term Debt24.2B19.3B23.8B26.9B32.1B49.7B
Other Current Liab(24.2B)(19.3B)(23.8B)(26.9B)926.5B972.8B
Common Stock91.7B86.0B62.4B59.0B56.4B93.5B
Other Liab5.3B11.1B6.7B5.6B5.1B4.8B
Accounts Payable182.8B181.8B2.1T224.1B201.7B352.2B
Other Assets1.2T1.2T1.1T1.3T275M261.3M
Long Term Debt240.9B262.9B280.1B276.0B302.2B282.8B
Inventory285M164M130M170M(68.8B)(65.4B)
Intangible Assets1.7B1.6B2.2B2.1B1.9B1.8B
Net Tangible Assets195.9B204.0B176.3B204.2B234.8B192.0B
Long Term Debt Total362.4B379.8B280.1B276.0B248.4B297.6B

Bank of America Key Income Statement Accounts

An income statement is very similar to a cash flow statement, but instead of showing net revenue minus expenses, it only includes earnings before interest and taxes (EBIT). This number does not have all of the same line items that are on a cash flow statement, but it leaves out non-cash expenses like depreciation and amortization. For example, if you bought $100 worth of goods from Walmart (WMT) using your debit card that has an interest rate of 20%, then paid off the balance at the end of the month with a credit card that charges 30% interest, you would have an income statement showing EBIT of $80 because your expenses are lower than the amount that went into your pocket. The other reason investors look at the income statement is to determine what Bank of America's earnings per share (EPS) will be in order to see if they want to buy more shares or not. For example, if a company earned $20 million in the last quarter and has 100,000 shares outstanding, its EPS is 20 cents. If you find that this number beats analysts' forecasts or is higher than it was from the same period last year, then you might want to buy more of this stock even though its price per share may not have changed.
201920202021202220232024 (projected)
Interest Expense22.3B8.2B4.7B20.1B73.3B77.0B
Total Revenue85.6B74.2B93.7B92.4B94.2B64.8B
Gross Profit85.6B74.2B93.7B92.4B94.2B64.8B
Operating Income32.8B19.0B34.0B31.0B28.3B16.4B
Ebit32.8B19.0B34.0B31.0B28.3B16.4B
Ebitda34.5B20.8B35.9B32.9B30.4B18.0B
Income Before Tax32.8B19.0B34.0B31.0B28.3B16.4B
Net Income27.4B17.9B32.0B27.5B26.5B27.8B
Income Tax Expense5.3B1.1B2.0B3.4B1.8B1.7B
Tax Provision5.3B1.1B2.0B3.4B1.8B1.7B
Net Interest Income48.9B43.4B42.9B52.5B56.9B50.9B
Interest Income71.2B51.6B47.7B72.6B130.3B73.1B

Bank of America Key Cash Accounts

Cash flow analysis captures how much money flows into and out of Bank Of America. It measures of how well Bank is doing because it can show the actual money that comes into and out of the Company from sales instead of measuring expenses against revenue to determine earnings. You have to read the cash flow statement in three sections. The first section shows how much money Bank of America brought in, usually known as net revenue or sales. This is different from earnings because it does not include expenses when determining net revenue for use on this part of the cash flow statement. Next, are operating activities, which show how much money Bank had leftover after paying for its expenses. This number can be calculated in two ways: by subtracting the total of all operating expenses from net revenue or by adding up changes to cash and other assets or liabilities on this part of the statement. The third section is about investing activities, which shows what Bank of America has done with the money that it received from the sale of assets or what it spent to acquire new ones. This section can be broken down into two parts: investing in existing businesses (in other words, buying more stock) and investing in non-business activities like paying off debt or making acquisitions.
201920202021202220232024 (projected)
Change In Cash(15.8B)218.9B(32.2B)(118.0B)102.9B108.0B
Free Cash Flow61.8B38.0B(7.2B)(6.3B)45.0B47.2B
Depreciation1.7B1.8B1.9B2.0B2.1B2.2B
Other Non Cash Items15.0B18.3B(3.1B)12.5B12.8B13.4B
Dividends Paid5.9B7.7B8.1B8.6B9.1B5.0B
Net Income27.4B17.9B32.0B27.5B26.5B27.8B
End Period Cash Flow161.6B380.5B348.2B230.2B333.1B349.7B
Investments(157.2B)(265.8B)(468.8B)(108.0B)(35.4B)(37.2B)
Net Borrowings(20.3B)9.4B56.3B38.3B44.1B46.3B
Change To Netincome(18.8B)(19.4B)(41.7B)(21.3B)(19.1B)(18.2B)

Bank Financial Ratios Relationships

Comparative valuation techniques use various fundamental indicators to help in determining Bank of America's current stock value. Our valuation model uses many indicators to compare Bank of America value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Bank of America competition to find correlations between indicators driving Bank of America's intrinsic value. More Info.
Bank Of America is number one stock in short ratio category among related companies. It is number one stock in profit margin category among related companies fabricating about  0.17  of Profit Margin per Short Ratio. The ratio of Short Ratio to Profit Margin for Bank Of America is roughly  5.75 . At present, Bank of America's Operating Profit Margin is projected to increase slightly based on the last few years of reporting.. Comparative valuation analysis is a catch-all model that can be used if you cannot value Bank of America by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Bank of America's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Bank of America's earnings, one of the primary drivers of an investment's value.

Bank Of America Systematic Risk

Bank of America's systematic risk plays a vital role in portfolio allocation when considering its stock to be added to a well-diversified portfolio. Bank of America volatility which cannot be eliminated through diversification, requires returns over the risk-free rate. Over the long run, a well-diversified portfolio provides returns that match its exposure to systematic risk. In this case, investors face a trade-off between expected returns and systematic risk and, therefore, can only reduce a portfolio's exposure to systematic risk by sacrificing expected returns on the portfolio.
The function did not generate any output. Please change time horizon or modify your input parameters. The output start index for this execution was one with a total number of output elements of sixty. The Beta measures systematic risk based on how returns on Bank Of America correlated with the market. If Beta is less than 0 Bank of America generally moves in the opposite direction as compared to the market. If Bank of America Beta is about zero movement of price series is uncorrelated with the movement of the benchmark. if Beta is between zero and one Bank Of America is generally moves in the same direction as, but less than the movement of the market. For Beta = 1 movement of Bank of America is generally in the same direction as the market. If Beta > 1 Bank of America moves generally in the same direction as, but more than the movement of the benchmark.

About Bank of America Financials

What exactly are Bank of America Financials? Typically, a company's financial statements are the reports that show the financial position of the company. Three primary documents fall into the category of financial statements. These documents include Bank of America's income statement, its balance sheet, and the statement of cash flows. Potential Bank of America investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Bank of America investors may use each financial statement separately, they are all related. The changes in Bank of America's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Bank of America's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.

Steps to analyze Bank of America Financials for Investing

There are several different ways that investors can use financial statements to try and predict whether a stock price will go up or down. Unfortunately, there is no surefire formula, but there are some general guidelines you should consider when looking at the numbers. First, realize what kind of company it is so you know if its revenues are more likely to grow or shrink over time. For example, a software company's revenue is expected to increase yearly due to new products and services that its customers will want to buy. At the same time, a car manufacturer might not be able to sell as many cars when the economy slows down, so it would have less net income during those times. Second, pay attention to its debt-to-equity ratio because this number will tell you how much risk it has. If a company such as Bank of America is not taking on any additional risks, its debt-to-equity should be less than one. As a general rule of thumb, if the market value or book value (which can be found in the footnotes) of assets exceeds the company's liabilities, then it is probably in good shape. Finally, use other financial statements to determine if a stock price will go up or down because investors are always looking for growth opportunities when they buy new stocks. For example, if you see that the net revenue of Bank has grown by more than 25% over the last five years, then there is a good chance that it will continue growing by at least 20% or more each year. On the other hand, if you see that net revenue has only increased by about 15%, which is barely above inflation levels, then chances are it will not grow much faster than this over time, and investors may shy away from buying it.
In summary, you can determine if Bank of America's financials are consistent with your investment objective using the following steps:
  • Review Bank of America's balance sheet accounts, such as liabilities and equity, to understand its overall financial position.
  • Analyze the income statement and examine the company's revenue, expenses, and profits over time to determine its financial performance.
  • Study the cash flow inflows and outflows to understand Bank of America's liquidity and solvency.
  • Look at the growth rates in revenue, earnings, and cash flow over time to determine its potential for future growth.
  • Compare Bank of America's financials to those of its peers to see how it stacks up and identify any potential red flags.
  • Use valuation ratios to evaluate the company's financials using commonly used ratios such as the price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and enterprise value-to-earnings before interest, taxes, depreciation, and amortization (EV/EBITDA) ratio to determine if Bank of America's stock is overvalued or undervalued.
Remember, these are just guidelines and should not be the only basis for investment decisions. It is always important to analyze the leading stock market indicators., conduct additional research and seek professional advice if needed.

Bank of America Thematic Clasifications

Bank Of America is part of several thematic ideas from Baby Boomer Prospects to Investor Favorites. If you are a theme-oriented, socially responsible, and at the same time, a result-driven investor, you can align your investing habits with your values without jeopardizing your expectations about returns. You can easily create an optimal portfolio of stocks, ETFs, funds, or cryptocurrencies based on a specific theme of your liking. Get More Thematic Ideas
Today, most investors in Bank of America Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Bank of America's growth ratios. Consistent increases or decreases in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's growth growth rates may not be enough to decide which company is a better investment. That's why investors frequently use static breakdown of Bank of America growth as a starting point in their analysis.

Price Earnings To Growth Ratio

(2.41)

At present, Bank of America's Price Earnings To Growth Ratio is projected to slightly decrease based on the last few years of reporting.

Bank of America March 18, 2024 Opportunity Range

Along with financial statement analysis, the daily predictive indicators of Bank of America help investors to analyze its daily demand and supply, volume, patterns, and price swings to determine the real value of Bank Of America. We use our internally-developed statistical techniques to arrive at the intrinsic value of Bank Of America based on widely used predictive technical indicators. In general, we focus on analyzing Bank Stock price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build Bank of America's daily price indicators and compare them against related drivers.
When determining whether Bank Of America offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Bank of America's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Bank Of America Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Bank Of America Stock:
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Bank Of America. Also, note that the market value of any Company could be tightly coupled with the direction of predictive economic indicators such as signals in nation.
For information on how to trade Bank Stock refer to our How to Trade Bank Stock guide.
Note that the Bank Of America information on this page should be used as a complementary analysis to other Bank of America's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..

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When running Bank of America's price analysis, check to measure Bank of America's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Bank of America is operating at the current time. Most of Bank of America's value examination focuses on studying past and present price action to predict the probability of Bank of America's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Bank of America's price. Additionally, you may evaluate how the addition of Bank of America to your portfolios can decrease your overall portfolio volatility.
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Is Bank of America's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Bank of America. If investors know Bank will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Bank of America listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.61)
Dividend Share
0.92
Earnings Share
3.08
Revenue Per Share
11.731
Quarterly Revenue Growth
(0.11)
The market value of Bank Of America is measured differently than its book value, which is the value of Bank that is recorded on the company's balance sheet. Investors also form their own opinion of Bank of America's value that differs from its market value or its book value, called intrinsic value, which is Bank of America's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Bank of America's market value can be influenced by many factors that don't directly affect Bank of America's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Bank of America's value and its price as these two are different measures arrived at by different means. Investors typically determine if Bank of America is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Bank of America's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.