HSBC analyst Saul Martinez upgrades $Bank of America (BAC.US)$ to a buy rating, and adjusts the target price from $39 to $50.
According to TipRanks data, the analyst has a success rate of 58.2% and a total average return of 4.2% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Bank of America (BAC.US)$'s main analysts recently are as follows:
The outlook is viewed positively for bank stocks into 2025, with anticipated acceleration in earnings growth due to improved loan growth, heightened capital markets activity, the return of positive operating leverage, and ongoing share buybacks. The economic environment is expected to be stable, which, along with reduced regulatory pressures, higher returns, and continued mergers and acquisitions, could lead to an expansion in price-to-earnings multiples. Large-cap banks are expected to continue outperforming the market as earnings growth picks up pace.
For banks, the expectation for 2025 appears established with only minor adjustments in earnings models and estimates. Exploring the potential of banks in 2028, it's anticipated that the banks will aim to maximize growth within the framework of managing a low-to-mid-teens return on tangible common equity. The sentiment remains generally skeptical regarding a significant reduction in regulatory and capital requirements in the future. The sector is perceived as reasonably valued, indicating that investment opportunities still exist.
Note:
TipRanks, an independent third party, provides analysis data from financial analysts and calculates the Average Returns and Success Rates of the analysts' recommendations. The information presented is not an investment recommendation and is intended for informational purposes only.
Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
TipRanks provides a ranking of each analyst up to 5 stars, which is representative of all recommendations from the analyst. An analyst's past performance is evaluated on a scale of 1 to 5 stars, with more stars indicating better performance. The star level is determined by his/her total success rate and average return.
