Financial services giant Bank of America (NYSE: BAC) will be announcing earnings results this Wednesday before market open. Here’s what you need to know.
Bank of America beat analysts’ revenue expectations by 2.1% last quarter, reporting revenues of $27.37 billion, up 6% year on year. It was a satisfactory quarter for the company, with a decent beat of analysts’ EPS estimates but a slight miss of analysts’ net interest income estimates.
Is Bank of America a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Bank of America’s revenue to grow 4.5% year on year to $26.52 billion, improving from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $0.86 per share.
Heading into earnings, analysts covering the company have mixed opinions about the business, with revenue estimates seeing 6 upward and 5 downward revisions over the last 30 days. Bank of America has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Bank of America’s peers in the banks segment, only FB Financial has reported results so far. It missed analysts’ revenue estimates by 43.5%, posting year-on-year sales declines of 40.1%.
Read our full analysis of FB Financial’s earnings results here.There has been positive sentiment among investors in the banks segment, with share prices up 11.6% on average over the last month. Bank of America is up 6.1% during the same time and is heading into earnings with an average analyst price target of $52.35 (compared to the current share price of $47.10).
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