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Bank of America (BAC) Stock Analysis

Financial Services Updated August 25, 2026
$62.16
52W $46.12 – $65.23
58/100
$442.33B
14.1
1.17
AI Committee Verdict
Buy
58/100
Conviction: Contested · 67% agreement · 6 analysts
-18.7%
Contested

Is BAC Bullish or Bearish?

Bullish. Innellis AI committee rates Bank of America (BAC) Buy with a composite score of 58/100 , based on 6 analysts with 67% agreement. Last updated August 25, 2026.

What Would Change This View

Upgrade to Strong Buy
Requires a committee score of 75.0 — +17.03 from today. Applies on the first day at or above the line; upgrades are never dampened.
Downgrade to Watch
Requires the score to fall below 55.0 — -2.97 from today. The band boundary is 60.0, but a one-step downgrade must clear a further margin first. A score oscillating around the line should not change the rating every night.

Executive Summary

The committee is genuinely divided. Growth Analyst sees a compelling case — revenue growing 99.4% yoy -- genuine top-line momentum. Risk Analyst remains cautious — high leverage (debt-to-equity 2.33) amplifies downside in a stress scenario. This disagreement is itself the signal — the setup is not clean in either direction.

Bull & Bear Case

Bull Case
  • P/E of 13.3 is inexpensive for the broad market — Value
  • Price-to-book of 1.3x is a discount to asset value — Value
  • Dividend yield of 3.2% pays you to wait — Value
  • Revenue growing 99.4% YoY -- genuine top-line momentum — Growth
  • EPS growing 25.8% YoY — Growth
  • 5 consecutive earnings beats -- consistent execution — Growth
Bear Case
  • Debt-to-equity of 2.33 adds balance-sheet risk to the value case — Value
  • Growth rate is decelerating quarter over quarter -- the trend line matters more than the level — Growth
  • MACD histogram negative -- bearish momentum — Technical
  • High leverage (debt-to-equity 2.33) amplifies downside in a stress scenario — Risk
Both cases are generated from quantitative data signals, not qualitative or forward-looking judgement. They summarise what the numbers say today.
Price History (6M)

AI Investment Committee

Committee Consensus As of August 25, 2026
Overall Committee Score
58/100
Agreement
67%
Analysts
6
Conviction
Contested
Sector Rank
Top 59%
of 211 Financial Services peers
Value Analyst bullish
65 / 100 · Moderate confidence
Classic value case: cheap on multiples with earnings power to back it up
+ P/E of 13.3 is inexpensive for the broad market
− Debt-to-equity of 2.33 adds balance-sheet risk to the value case
Growth Analyst bullish
71 / 100 · High confidence
Strong, accelerating growth with consistent execution
+ Revenue growing 99.4% YoY -- genuine top-line momentum
− Growth rate is decelerating quarter over quarter -- the trend line matters more than the level
Technical Analyst bullish
61 / 100 · High confidence
Price action is constructive -- trend and momentum agree
+ Price structure making higher highs and higher lows
− MACD histogram negative -- bearish momentum
Risk Analyst bearish
30 / 100 · Low confidence
Elevated risk from leverage, volatility, event exposure, or portfolio concentration -- size accordingly
− High leverage (debt-to-equity 2.33) amplifies downside in a stress scenario
Macro Analyst bullish
65 / 100 · Low confidence
Macro backdrop is supportive of risk assets generally, and this name's beta works in its favor
News Analyst neutral
55 / 100 · Low confidence
News flow is mixed or quiet -- no strong signal either way right now
Portfolio Manager neutral
45 / 100 · High confidence
Portfolio-level factors are mixed -- worth a deliberate sizing decision, not a default-size position
+ Portfolio position concentration is currently healthy
− Sector concentration is already high (HHI 3063.01)
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Investment Thesis Evolution

Committee score moved marginally from 58.0 to 58.0.

Comparing 2026-08-24 to 2026-08-25 (1 day apart).

Technical Analysis

RSI (14)
42.5
Neutral
MACD Histogram
-0.405
Bearish Momentum
Trend Direction
Uptrend
Weekly: Uptrend
Market Structure
Mixed
Bollinger %B
0.33
Inside Bands
Price vs Moving Averages
EMA 9
$62.89 Below
EMA 21
$62.64 Below
EMA 50
$60.55 Above
EMA 200
$54.89 Above

Fundamental Analysis

Valuation
100
Growth
78
Profitability
61
Financial Health
2
Cash Flow
70
Valuation
P/E Ratio 14.1×
P/B Ratio 1.48×
PEG Ratio 0.51
Dividend Yield 1.80%
52W High $65.23
52W Low $46.12
Quality & Growth
ROE 1006.1%
ROA 89.5%
Gross Margin 5932.2%
Operating Margin 2247.0%
Revenue Growth YoY
Debt / Equity 2.43
AI Fundamental Assessment
P/E ratio of 14.1 (inexpensive relative to a 15-40x range); Price-to-book of 1.5x; PEG ratio of 0.5 (under 1.0 suggests growth is undervalued relative to price); Return on equity of 10.1%; Return on assets of 0.9%; Net margin of 17.2%; Gross margin of 59.3%; Current ratio of 0.07 (tight short-term liquidity); Debt-to-equity of 2.43; Free cash flow per share is positive (13.25); Most recent quarter beat estimates by 5.9%; 5 consecutive earnings beats; EPS growth decelerating (+13.3% -> +9.0% QoQ); Average YoY EPS growth of 36.0%; Analyst estimates rising over recent quarters
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