Getting big returns from financial portfolios, whether through stocks, bonds, ETFs, other securities, or a combination of all, is an investor's dream. But when you're an income investor, your primary focus is generating consistent cash flow from each of your liquid investments.While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is the distribution of a company's earnings paid out to shareholders; it's often viewed by its ...

CHARLOTTE, N.C., Jan. 29, 2025 /PRNewswire/ -- The Bank of America Corporation Board of Directors today appointed Maria Martinez as a director, effective immediately. Maria Martinez. Photo by Beth Hall Maria Martinez, 67, was a senior executive at Cisco Systems, a global leader in networking and cybersecurity solutions, from 2018 to 2024.  She most recently served as the Chief Operating Officer with oversight of Cisco's Worldwide Operations, Customer Experience, Security & Trust, Supply Chain, and othe ...

CHARLOTTE, N.C., Jan. 29, 2025 /PRNewswire/ -- Bank of America Corporation today announced the Board of Directors declared a regular quarterly cash dividend on Bank of America common stock of $0.26 per share, payable on March 28, 2025 to shareholders of record as of March 7, 2025.The Board also declared a regular quarterly cash dividend of $1.75 per share on the 7% Cumulative Redeemable Preferred Stock, Series B. The dividend is payable on April 25, 2025 to shareholders of record as of April 11, 2025.Bank o ...

CHARLOTTE, N.C., Jan. 29, 2025 /PRNewswire/ -- Bank of America Corporation announced today that it will redeem on February 13, 2025, all $1,500,000,000 principal amount outstanding of its 2.015% Fixed/Floating Rate Senior Notes, due February 2026 (CUSIP No. 06051GHY8) (the "Notes"), at a redemption price equal to 100% of the principal amount of the Notes, plus accrued and unpaid interest to, but excluding, the redemption date of February 13, 2025.  Interest on the Notes will cease to accrue on the redemptio ...

Company Performance - Bank of America Corporation (NYSE: BAC) exceeded profit estimates in its fourth quarter, partly due to the central bank easing short-term interest rate cuts [1] Industry Focus - The financial researcher focuses on innovation, disruption, growth buy-outs, and value stocks, with a particular interest in high-tech and early-growth companies [2] Analyst Position - The analyst holds a beneficial long position in Bank of America Corporation (NYSE: BAC) through stock ownership, options, or other derivatives [3]

Company Overview - Bank of America is one of the world's largest financial institutions with over $3.2 trillion in assets [1] - The company has a market capitalization of $350 billion [2] - Bank of America is Warren Buffett's third-largest holding through Berkshire Hathaway, accounting for approximately 12% of its portfolio [2] Business Model and Industry Dynamics - The banking business model involves earning net interest income from the difference between loan interest rates and deposit interest rates [3] - Big banks like Bank of America are complex institutions that touch nearly every aspect of the economy, including personal and business banking, mortgages, student loans, commercial real estate, and financial markets [4] - The banking industry is characterized by a boom-and-bust nature, with performance closely tied to economic cycles [6] Historical Performance and Challenges - Bank of America's stock performance has been significantly impacted by financial crises, with the 2008-2009 crash wiping out decades of investment returns [7] - The company currently faces $108 billion in unrealized losses on hold-to-maturity securities due to rising interest rates [8] - Despite challenges, Bank of America's stock has returned over 3,000% since the early 1970s when held through market cycles [11] Growth Prospects and Investment Considerations - Analysts expect approximately 10% annualized earnings growth for Bank of America over the next three to five years [11] - The company offers a stable dividend yield of 2.2%, making it a solid holding in diversified portfolios [11] - While Bank of America is expected to grow alongside the U.S. economy, its large size and maturity make explosive growth unlikely in the near future [12] Notable Investor Activity - Warren Buffett's Berkshire Hathaway has been a significant investor in Bank of America since 2011, though it has recently trimmed its stake [9] - Buffett's initial investment involved a unique deal for preferred stock and warrants during a period of need for the bank, differing from typical common stock purchases [9]

Bank of America (BAC) Analysis - The main concern regarding Bank of America (BAC) in the summer of 2024 was the high level of expectations already priced into its stock [1] - Since the previous article, BAC shares have not been discussed further in terms of performance or valuation [1] Analyst's Position - The analyst holds a beneficial long position in shares of JPMorgan Chase (JPM) and Truist Financial (TFC) through stock ownership, options, or other derivatives [1] - The article represents the analyst's personal opinions and is not influenced by any business relationships with the mentioned companies [1]

Core Viewpoints - Big US banks, including Bank of America and JPMorgan Chase, faced criticism from President Trump, who suggested they were not allowing conservatives to do business with them [1][2] - Both banks denied the allegations, stating they do not consider politics when closing accounts and follow extensive government regulations [3][5] - JPMorgan emphasized the need for a fresh approach from Washington to address financial crime and regulatory ambiguity [4] - Bank of America highlighted its commitment to serving over 70 million clients, including conservatives, and reiterated that it does not close accounts for political reasons [5] - Despite the controversy, shares of both banks rose more than 1% on the day, and the KBW Nasdaq Bank Index finished in positive territory [5] Bank of America - Bank of America denied having a "political litmus test" for clients and stated it never closes accounts for political reasons [1][5] - The bank emphasized its adherence to extensive government rules and regulations, which sometimes lead to decisions to exit client relationships [5] - Bank of America serves over 70 million clients and welcomes conservatives, according to its statement [5] JPMorgan Chase - JPMorgan Chase also denied closing accounts for political reasons and stressed its compliance with the law and regulatory guidance [4] - The bank called for a new approach from Washington to address financial crime and regulatory ambiguity, expressing a willingness to work with the new Administration and Congress [4] - CEO Jamie Dimon had previously discussed the topic on a company podcast earlier in the week [4] Market Reaction - Shares of both Bank of America and JPMorgan Chase rose more than 1% on the day [5] - The KBW Nasdaq Bank Index, which tracks major financial companies, finished the day in positive territory, though it was lower than levels seen in early afternoon trading [5]

Momentum Investing Overview - Momentum investing involves following a stock's recent trend, aiming to buy high and sell even higher [1] - The Zacks Momentum Style Score helps investors identify stocks with strong momentum potential [2] Bank of America (BAC) Momentum Analysis - BAC currently has a Momentum Style Score of B and a Zacks Rank of 2 (Buy) [3][4] - Stocks with Zacks Rank 1 or 2 and Style Scores of A or B tend to outperform the market over the following one-month period [4] Price Performance - BAC shares are up 3.15% over the past week, compared to the Zacks Financial - Investment Bank industry's 7.51% gain [6] - Over the past month, BAC shares have increased 5.14%, slightly below the industry's 6.16% performance [6] - BAC shares have gained 9.71% over the past quarter and 42.39% over the past year, outperforming the S&P 500's 3.62% and 26.55% gains, respectively [7] Trading Volume - BAC's average 20-day trading volume is 27,437,878 shares, indicating strong investor interest [8] Earnings Outlook - Over the past two months, 6 earnings estimates for BAC have moved higher, with only 1 downward revision for the full year [10] - BAC's consensus estimate for the full year has increased from $3.65 to $3.67 in the past 60 days [10] - For the next fiscal year, 6 estimates have moved upwards with no downward revisions [10] Conclusion - BAC is a strong momentum pick with a Zacks Rank of 2 (Buy) and a Momentum Score of B, making it a promising candidate for near-term growth [12]

Warren Buffett's Stock Sale - Warren Buffett sold approximately 26% of his stake in Bank of America Corporation (NYSE: BAC) [1] Analyst's Perspective on BofA Stock - Investors are advised to ignore Warren Buffett's actions and continue to buy Bank of America stock [1] Analyst's Background and Methodology - The analyst is a technically-oriented Canadian investor with a focus on U.S. markets, particularly in tech and financials [1] - The analyst holds a Bachelor of Commerce Degree with Distinction, majoring in Finance [1] - The analyst is a lifetime member of the Beta Gamma Sigma International Business Honour Society [1] - The analyst's motto is 'First-Class Business In A First-Class Way' [1] - The analyst aims to provide high-quality technical analysis articles on Seeking Alpha [1] - Core values include Excellence, Integrity, Transparency, and Respect [1]