Bank of America: Financial Winners & Losers
NEW YORK (
) --
Bank of America
(BAC) - Get Report
lost ground Monday despite a flurry positive analyst notes on the bank's first-quarter performance.
on Friday posted a first-quarter profit of $3.2 billion, or 28 cents a share, on revenue of $31.96 billion. The bank saw stabilizing credit conditions, which prompted positive comments from bank analysts.
|
FBR Capital Markets analyst Paul Miller reiterated his outperform rating on the stock and bumped his price target to $22 from $20, saying that the bank's fixed income performance was much stronger than he had anticipated.
Rochdale Securities analyst Dick Bove upped his price target for Bank of America to $27.50 from $21, noting the likelihood of lower loan losses, the ability of the balance sheet to support much higher revenues and earnings, and the strength of
Merrill Lynch
.
Elsewhere, Citigroup upped its price target for Bank of America to $26 from $23, and both Barclays and UBS raised their stock price target to $21.
Like many other banks, Bank of America shares were pressured by the continued fallout from the fraud charges brought against
Goldman Sachs
(GS) - Get Report
by the
Securities and Exchange Commission
.
The SEC is now is investigating whether mortgage deals set up by other big Wall Street firms may have misled investors, according to a report in
The Wall Street Journal
.
Meanwhile, FBR dropped Goldman Sachs from its Top Picks list due to the SEC's actions, although the firm still holds an outperform rating on the stock.
Goldman Sachs, which dropped 13% Friday, was down 1% to $159.04.
Meanwhile,
Citigroup
(C) - Get Report
said it had net income of $4.4 billion, or 15 cents a share, compared with the average estimate that the bank would break even, according to Thomson Reuters. Citigroup said it had revenue of $25.4 billion, above the $20.8 billion consensus target.
Citigroup said net credit losses fell by $1.6 billion, or 16%, sequentially to $8.4 billion. Provisions for credit losses and for benefits and claims fell by $2.4 billion, or 22%, sequentially to $8.6 billion.
Shares of Citigroup were among few winners of the financial sector Monday, rising 5.8% to $4.82.
Most other U.S. bank stocks were trading mixed.
JPMorgan Chase
(JPM) - Get Report
fell 1% to $45.10, while
Wells Fargo
(WFC) - Get Report
advanced 0.3% to $32.64 and
Morgan Stanley
(MS) - Get Report
tacked on 0.1% to $29.19.
Elsewhere,
M&T Bank
(MTB) - Get Report
reported first-quarter earnings of $1.15 a share, which was better than the Thomson Reuters average estimate for a profit of 99 cents a share.
M&T's provision for credit losses was $105 million in the quarter, down from $158 million and $145 million in the year-ago quarter and in the fourth quarter, respectively.
M&T Bank shares were down 0.2% to $84.06.
-- Written by Robert Holmes in Boston
.
Follow Robert Holmes on
and become a fan of TheStreet.com on