FY2026 EPS Estimate for Bank of America Reduced by Analyst

Posted by Francis Steltz on Oct 15th, 2026

Bank of America Corporation (NYSE:BAC – Free Report) – Research analysts at Erste Group Bank decreased their FY2026 earnings per share estimates for shares of Bank of America in a research report issued on Thursday, October 8th. Erste Group Bank analyst H. Engel now expects that the financial services provider will earn $4.55 per share for the year, down from their previous estimate of $4.64. The consensus estimate for Bank of America’s current full-year earnings is $4.60 per share. Erste Group Bank also issued estimates for Bank of America’s FY2027 earnings at $5.22 EPS.

Bank of America (NYSE:BAC – Get Free Report) last announced its quarterly earnings data on Wednesday, October 14th. The financial services provider reported $1.08 EPS for the quarter, missing analysts’ consensus estimates of $1.10 by ($0.02). The firm had revenue of $29.96 billion during the quarter, compared to the consensus estimate of $30.58 billion. Bank of America had a net margin of 17.56% and a return on equity of 12.20%. The firm’s quarterly revenue was up 3.2% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.06 earnings per share.

Other equities analysts have also issued research reports about the company. Argus set a $70.00 price target on Bank of America in a research note on Wednesday, July 15th. Royal Bank Of Canada raised their price target on Bank of America from $59.00 to $65.00 and gave the company an “outperform” rating in a report on Wednesday, July 15th. TD Cowen assumed coverage on Bank of America in a research report on Thursday, October 8th. They issued a “hold” rating and a $60.00 price objective for the company. Truist Financial dropped their price objective on Bank of America from $65.00 to $62.00 and set a “buy” rating for the company in a report on Thursday, October 1st. Finally, Rothschild & Co Redburn set a $72.00 price objective on Bank of America in a report on Tuesday, October 6th. Nineteen equities research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $64.22.

Check Out Our Latest Report on BAC

Bank of America Trading Down 4.7%

BAC stock opened at $51.40 on Tuesday. The company has a market cap of $359.45 billion, a P/E ratio of 11.79, a PEG ratio of 0.87 and a beta of 1.21. Bank of America has a twelve month low of $46.12 and a twelve month high of $65.22. The company has a quick ratio of 0.82, a current ratio of 0.83 and a debt-to-equity ratio of 1.23. The business has a fifty day moving average of $59.51 and a 200-day moving average of $56.69.

Institutional Trading of Bank of America

Several hedge funds have recently added to or reduced their stakes in BAC. Legal & General Group Plc acquired a new position in shares of Bank of America in the second quarter valued at approximately $2,571,060,000. Deutsche Bank AG bought a new stake in shares of Bank of America during the second quarter worth $2,359,172,000. Bank of New York Mellon Corp bought a new stake in shares of Bank of America during the second quarter worth $2,313,953,000. Amundi raised its holdings in shares of Bank of America by 12.5% during the first quarter. Amundi now owns 42,385,115 shares of the financial services provider’s stock worth $2,066,274,000 after acquiring an additional 4,721,969 shares during the period. Finally, Dimensional Fund Advisors LP raised its holdings in shares of Bank of America by 1.8% during the first quarter. Dimensional Fund Advisors LP now owns 31,135,112 shares of the financial services provider’s stock worth $1,517,599,000 after acquiring an additional 561,413 shares during the period. Institutional investors and hedge funds own 70.71% of the company’s stock.

Bank of America Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, September 25th. Investors of record on Friday, September 4th were given a $0.32 dividend. The ex-dividend date was Friday, September 4th. This represents a $1.28 dividend on an annualized basis and a dividend yield of 2.5%. This is an increase from Bank of America’s previous quarterly dividend of $0.28. Bank of America’s dividend payout ratio is currently 29.36%.

Key Stories Impacting Bank of America

Here are the key news stories impacting Bank of America this week:

Positive Sentiment: Underlying banking activity remained healthy: net interest income increased 8% year over year to $16.4 billion, consumer banking revenue rose 4%, wealth-management revenue climbed 13%, average loans grew 6%, and deposits increased 2%. The bank also returned $8.3 billion to shareholders through dividends and share repurchases. Bank of America Reports Third-Quarter Results
Positive Sentiment: Some market commentary argued that the selloff could create a long-term buying opportunity, while options activity and a reported institutional purchase of long-dated BAC call options pointed to bullish interest among some investors. Unusual Long-Dated BAC Call Options
Neutral Sentiment: CEO Brian Moynihan said Bank of America is addressing regulatory requirements and expects elevated remediation and software-patching expenses to decline over time. The bank hired about 1,000 contractors to help fix software vulnerabilities identified through Anthropic’s Mythos testing. Bank of America Software-Patching Costs
Negative Sentiment: Adjusted EPS was $1.08 versus the $1.10 consensus, while revenue of roughly $30.0 billion missed estimates near $30.6 billion. Reported net income fell 17% to $6.9 billion, or $0.91 per share, after the regulatory charge. Bank of America Earnings Miss
Negative Sentiment: Regulators imposed approximately $1.21 billion in penalties over anti-money-laundering, Bank Secrecy Act, and sanctions-compliance failures, including failures to timely report more than $5 billion in suspicious transactions. The non-tax-deductible charge reduced quarterly earnings by about $0.17 per share and intensified concerns that compliance problems may persist. Bank of America Regulatory Penalties
Negative Sentiment: Expenses rose faster than revenue, pushing the adjusted efficiency ratio to about 62% from 60%. Bond-trading revenue fell 17%, investment-banking and trading results disappointed, and provisions for credit losses reached $1.3 billion. Hotter-than-expected inflation and several shareholder-law-firm investigations added to the cautious backdrop.

About Bank of America

(Get Free Report)

Bank of America Corporation (NYSE:BAC) is a diversified financial services company serving individual consumers, small businesses, middle-market companies and large corporations. Its principal businesses include consumer banking, wealth and investment management, commercial banking, corporate and investment banking, and sales and trading.

Through its banking and financial services businesses, the company offers deposit accounts, credit cards, mortgages, home equity products, consumer and business loans, payment services, treasury management, brokerage services and investment advice.