Bank of America
Bank of America's shares have returned 6% year-to-date, following a whopping return of 110% during 2012. That was by far the best return among the components of the KBW Bank index, however, it was only a partial recovery from a 58% decline during 2011. Putting it all together, Bank of America's shares are still down 7% since the end of 2010. The shares trade for 9.5 times the consensus 2014 earnings estimate of $1.29 a share, among analysts polled by Thomson Reuters. The consensus 2013 EPS estimate is $0.99. Bank of America still trades at a discount to tangible book value, with only Citigroup and Morgan Stanley ( MS) sharing that distinction among the largest U.S. bank holding companies. The company's reported Dec. 31 tangible book value was $13.36 a share. Guggenheim Securities analyst Marty Mosby said in a report on Jan. 18 that the discount to book value represented "the market's expectation for future losses from outstanding mortgage-related overhang issues." Mosby on Feb. 5 raised his price target for the shares to $15.00 from $14.00. The analyst estimates the company will earn $1.15 a share this year, with earnings growing to $1.25 a share in 2014.
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