Headquartered in Charlotte, North Carolina, Bank of America Corporation (BAC) is a leading financial institution known for offering a wide range of services, including banking, investing and asset management. Its operations span many countries, helping individual, corporate and government clients with tailored financial solutions.
The company integrates cutting-edge technology to improve service efficiency and customer experience. With a market capitalization of $379.22 billion, the company is considered a “mega-cap” stock.
BAC stock hit a 52-week high of $54.69 on Nov. 12 on strong investor sentiment, and is only down 4% from that high. Over the past three months, the stock has gained 6.1%. In contrast, the Invesco KBW Bank ETF (KBWB) gained just 2.8% over the same period. Therefore, BAC is clearly outperforming its banking peers.
In the longer term, slight outperformance persists. Over the past 52 weeks, BAC stock is up 10.5%, while it is up 21.5% over the past six months. In contrast, the Invesco KBW Bank ETF gained 9.7% and 21%, respectively, over the same periods. The stock has been trading above its 200-day moving average since late May and is currently near its 50-day moving average.
On October 15, BAC reported its third-quarter results for fiscal 2025. The company’s total revenue, net of interest expense, increased 10.8% year-over-year (YOY) to $28.09 billion, beating Wall Street analysts’ expectations of $27.28 billion. This growth was based on an increase in net interest income. The company’s EPS was $1.06, up 30.9% from the year-ago period and above the $0.94 expected by Street analysts.
While the stock gained 4.4% during the day on October 15, it fell 3.5% the next day. BAC noted that revenues grew faster than expenses, resulting in strong operating leverage and an efficiency ratio below 62%. The third quarter also marked the annual and sequential increase in average deposits, demonstrating good momentum.
We compare BAC’s performance with that of another banking giant, Wells Fargo & Company (WFC), which has climbed 10.7% over the past 52 weeks and gained 16.9% over the past six months. Therefore, BAC has clearly outperformed over the past six months.
