NEW YORK (TheStreet) -- Shares of Bank of America Corp. (BAC) are up 0.32% to $15.64 in pre-market trade after U.S. District Judge Max Cogburn, at a hearing in Asheville, NC, said he would consider dismissing a Justice Department lawsuit accusing the bank of civil fraud in the sale of mortgage securities that soured during the global financial crisis, Reuters reports
While not issuing a formal ruling, the judge said he had concerns and indicated that he might adopt the recommendation of a federal magistrate judge for a dismissal of the fraud claims tied to the $850 million sale of securities, Reuters noted.
"DOJ may not have the evidence to try this as a fraud case," the judge said.
TheStreet Ratings team rates BANK OF AMERICA CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate BANK OF AMERICA CORP (BAC) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, expanding profit margins, notable return on equity and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income."