Bank of America Corporation

Find Ratings Reports
BAC : NYSE : Financial
$23.395 -0.085 | -0.36%
Today's Range: 23.31 - 23.65
Avg. Daily Volume: 9.99628E7
03/29/17 - 1:15 PM ET

Financial Analysis


BANK OF AMERICA CORP's gross profit margin for the fourth quarter of its fiscal year 2016 is essentially unchanged when compared to the same period a year ago. The company managed to grow both sales and net income at a faster pace than the average competitor in its industry this quarter as compared to the same quarter a year ago.

At the same time, stockholders' equity ("net worth") has remained virtually unchanged only increasing by 4.15% from the same quarter last year.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.



Income Statement Q4 FY16 Q4 FY15
Net Sales ($mil)22563.022479.0
EBITDA ($mil)10462.09698.0
EBIT ($mil)9913.09115.0
Net Income ($mil)4696.03284.0


Balance Sheet Q4 FY16 Q4 FY15
Cash & Equiv. ($mil)355823.0359579.0
Total Assets ($mil)2187702.02144316.0
Total Debt ($mil)411058.0439153.0
Equity ($mil)266840.0256205.0


Profitability Q4 FY16 Q4 FY15
Gross Profit Margin85.1783.51
EBITDA Margin46.3643.14
Operating Margin43.9340.55
Sales Turnover0.040.04
Return on Assets0.810.73
Return on Equity6.085.6
Debt Q4 FY16 Q4 FY15
Current Ratio0.00.0
Debt/Capital0.610.63
Interest Expense0.00.0
Interest Coverage0.00.0


Share Data Q4 FY16 Q4 FY15
Shares outstanding (mil)10052.6310380.27
Div / share0.080.05
EPS0.40.28
Book value / share26.5424.68
Institutional Own % n/a n/a
Avg Daily Volume9.578192E71.161854E8

Valuation


BUY. This stock's P/E ratio indicates a discount compared to an average of 23.73 for the Commercial Banks industry and a significant discount compared to the S&P 500 average of 26.33. Conducting a second comparison, its price-to-book ratio of 0.87 indicates a significant discount versus the S&P 500 average of 2.93 and a discount versus the industry average of 1.26. The current price-to-sales ratio is above the S&P 500 average, but below the industry average. Upon assessment of these and other key valuation criteria, BANK OF AMERICA CORP proves to trade at a discount to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
BAC 15.38 Peers 23.73   BAC 12.67 Peers 183.61

Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.

BAC is trading at a significant discount to its peers.

 

Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

BAC is trading at a significant discount to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
BAC 11.09 Peers 85.79   BAC 0.97 Peers 1.60

Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations.

BAC is trading at a significant discount to its peers.

 

Discount. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

BAC trades at a significant discount to its peers.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
BAC 0.87 Peers 1.26   BAC 14.50 Peers 4.16

Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

BAC is trading at a significant discount to its peers.

 

Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

BAC is expected to have an earnings growth rate that significantly exceeds its peers.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
BAC 2.48 Peers 2.73   BAC 0.15 Peers 3.69

Average. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

BAC is trading at a valuation on par with its industry on this measurement.

 

Lower. A sales growth rate that trails the industry implies that a company is losing market share.

BAC significantly trails its peers on the basis of sales growth

 

 

Latest Stock Upgrades/Downgrades