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Charlotte, North Carolina-based Bank of America Corporation (BAC) is a leading financial institution that provides a broad range of banking, investing, and other financial and risk management services to individual consumers, small and middle-market businesses, institutional investors, and large corporations. Valued at a market cap of $386.7 billion, the company is scheduled to release its fiscal Q3 earnings for 2025 before the market opens on Wednesday, Oct. 15.
Before this event, analysts expect this financial institution to report a profit of $0.94 per share, up 16.1% from $0.81 per share in the year-ago quarter. The company has a solid trajectory of consistently beating Wall Street’s bottom-line estimates in each of the last four quarters. Its earnings of $0.89 per share in the previous quarter topped the consensus estimates by 3.5%.
For the current fiscal year ending in December, analysts expect BAC to report a profit of $3.69 per share, up 12.5% from $3.28 per share in fiscal 2024. Its EPS is expected to further grow 15.7% year-over-year to $4.27 in fiscal 2026.
Shares of BAC have rallied 32.1% over the past 52 weeks, outpacing both the S&P 500 Index's ($SPX) 15.6% uptick and the Financial Select Sector SPDR Fund’s (XLF) 19.6% return over the same time frame.
On Jul. 16, shares of BAC dipped marginally following its mixed Q2 earnings release. While its total revenue, net of interest expense, rose 4.3% year-over-year to $26.5 billion, it narrowly missed the consensus estimates. Nonetheless, on the brighter side, the bank experienced its fourth straight quarter of sequential net interest income growth and a 7.2% annual increase in EPS to $0.89, which exceeded Wall Street expectations by 3.5%.
Wall Street analysts are highly optimistic about BAC’s stock, with a "Strong Buy" rating overall. Among 26 analysts covering the stock, 16 recommend "Strong Buy," six indicate "Moderate Buy," and four suggest "Hold.” The mean price target for BAC is $53.88, implying a 3.2% potential upside from the current levels.
